The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-03-28
Mr.. CUMMINS' BOMB.
Merger Bill Unconstitutional, Dis
criminate and Wholly Bad.
SECRET MOTIVE, TOO, BEHIND IT
believed That War Between Cum.
Minis and Blythe VIII Break
Out Afresh.
Special to The Journal.

special to The Journal.
Des Moines, Iowa. March Ex-Governor
Cumm1ns transmitted to the senate yes
terday veto of the Molesberry merger
Dill TO permit railway corporations to
incur unlimited Indebtedness The veto
fell like bomb in the camp Of the rail-
road lobby and has produced profound
sensation in the legislature. That it will
De impossible to pass the bill over the
veto is conceded
The facts pertaining to the bill have
been fully explained by TIL Journal
Ihat 1t is designed to enable the Burling-
ton to issue bonds to absorb the Great
Nolshern ana Northern Pacific companies
OF the Northern Securities company is it's
undoubted purpose. Governor Cummins
taxes this view and in an able argument
OF z,ou0 words covers the objections to
the bill which are that it is unconstitu-
tional and discriminative in addition to
the TACT tnat an evident secret motive lies
back of it.
1t was rumored Wednesday that the gov
ernor would veto the bill and ]. w. Blythe
was called here in hot haste He saw the
governor; but. the latter was firm. In a
political way the veto is of tremendous
Importance: 1t skaters completely all
hope OF effecting the much talked ~ o.
lance between the Cummins and RIvtha
elements and means war to the .tnife
between them.
Governors Objections.
me veto, after referring to constitu-
uonal and other objections, says:
There is however, another classification IN
the Dill mat Is even less reasonable II not
only segregates railroad COMBINATIONS r,hiaL
extend beyond the state from all other vail
ROAD corporations, but it limits the privileges
conferred by the proposed amendment to rail-
toau corporations owning or operating a rail-
road or railroads in this state and anv otbar
state. That is, before any such comnanv
could acquire the benefits of the bill it must
actually own or operate line both within
and without the state.
II a railroad corporation were ORGANIZED
under Iowa laws to build road from, Chi
cago to Des Molnes it would not be within
the provisions Of the proposed status for the
reason that it would neither own nor oper-
ate line. The very purpose of all tho
engagements that have heretofore been made
has been to encourage the building of rail-
ways, but this bill declares that a line must
be already built before the company owning
1t would have the right to incur debt with
out limit.
l submit that such an act of classification
can find no warrant in our constitution and
must fall when tested by the authority which
controls both the assembly and the execu-
tive.
Departure From Fixed Principles,
IT, however, the bill were in harmony with
the constitution | would be unable to an
prove 1t, for the reason that it is so radical
departure from the policy of the state in
relation to corporations for more than half
century and Its effects would, in nv ;udg-
ment, be subversive of the best interest of
the people. .-..
Under its own policy Iowa has done we'll.
Her railroad systems are many and ex-
tensive They have been successfully con-
structed and operated. So far as know il
has never been suggested that the state was
not liberal in its grantings to corporate
power for lawful purposes. The bill am
examining proposes to take off for the first
time every limitation and to confer upon a
class Of railroad companies privilege which
within the limits of my investigation has no
parallel in modern legislation 1 beg to re-
fer more especially to the companies to
which this extraordinary license would apply.
In view Of these conditions, he says, which
are we'll known and part Of the states his
tory, cannot resist the belief that the real
application of the proposed amendment would
Re to overcome real or imaginary difficulties
growing out Of the purchase of the stock of
the Chicago, Burlington & Quincy Railroad
company by the Great Northern and North i.
ern Pacific companies
Species of Special Legislation.
It is matter of knowledge that the new
company, with an insufficient amount of it's
capital stock actually taken, has leased
the entire system Of the old company 1t
must be true that it is without substantial
assets save the lease, and with rental at