The Lexington intelligencer. [volume] (Lexington, Mo.) 1901-1949, 1905-12-09

EME"L"". N"-"".H .E.#HHZN
erly radical or hasty action The first
thing 90 DO is 20 deal with the great
corporations engaged lu the business
OF interstate transportation. AS ] said
in my message OF December s last. the
immediate and most pressing need. so
FAR as legislation is concerned. Is the
enactment into law OF some scheme to
secure 20 the agents of the govern
ment such supervision and regulation
of the rates charged by the railroads
Of the country engaged i'm Interstate
tramc as shall summarily and efec-
lively prevent the imposition of unjust
or unreasonable rates. 10 must include
putting a complete stop to rebates in
every shape and form. This power to
regulate rates like an similar powers
over the business world, should Doe eN-
ercisod with moderation, caution and
self-restraint; but il should exist So
that II car be effectively exercised
when the need arises.
The first consideration 20 be kept
In mind is that the power should be
affirmative ~01 should be given TO
some administrative body created by
the congress. If given 10 the present
interstate commerce commission or to
a recognized interstate commerce
commission. such commission should
be made un~equivocally administrative,
I do not believe in the government in
terfering with private business more
than Is necessary. / do not believe In
the government undertaking m work
which can with propriety be left in
private hands, But neither do l be-
lieve in the government finching from
overseeing any work when it becomes
evident that abuses are sure to OBJ
tain therein unless there is govern
mental supervision. 1t is not my prov
ince to indicate the exact terms OF the
law which should be enacted; but l
call the attention of the congress to
certain existing conditions with which
it is desirable to deal. In my judg-
ment the most important provision
which such law should contain is that
comforting upon some competent adj
ministrative body the power to decide,
upon the case being brought before it,
whether a given rate prescribed by a
railroad is reasonable and Just, and
il II is found to be unreasonable and
unjust, then, after full investigation
Of the complaint, to prescribe the limit
Of rate beyond which It shall not be
lawful to go-the maximum reason
able rate, as it is commonly called
this decision to go into effect within a
reasonable time and to obtain from
thence onward. subject to review by
the courts. 1t sometimes happens at
present. not that a rate is too high
but that a favored shipper is given too
low a rate. In such case the commits
sion would have the right to fix this
already established minimum rate as
the maximum; and 1t would need only
one or two such decisions by the com
mission to cure railroad companies Of
the practice Of giving improper mini
mum rates. / call your attention to
the fact that my proposal is not to
give the commission power to initiate
or originate rates generally. but to
regulate a rate already fixed or origi-
by the roads, upon complaint
and after investigation. A heavy
penalty should be exacted from any
corporation which fails to respect an
order of the commission ! regard this
power to establish a maximum rate.
as being essential to any scheme of
real reform in the matter of railway
regulation. The first necessity Is to
secure II; and unless It is granted to
the commission there is little use in
touching the subject az all.
Rebates Really Blackmail.
Illegal transactions often occur un-
der the forms of law. 1t has often oc-
CURED hat a shipper has been told
by a traffic officer to buy a large
quantity of some commodity and then
it has been bought an open re-
is made in the rate to take
effect Immediately, the arrangement
resulting to the profit OF the one ship
per and the one railroad n to the
damage OF all their competitors; for
IT must not be forgotten that the big
shippers are at least as much to
as any railroad in the matter
OF rebates. The law should make 1t
so that nobody can fail to under
stand that any kind Of commission
paid on freight shipments, whether in
his form or in the form Of fictitious
damages. or OF a concession, a free
pass, reduced passenger rate, or pay
.ent of brokerage. is Illegal. 1t Is
worth while considering whether II
not be wise to confer on the
government the right of civil action
against the beneficiary Of a rebate for
at least twice the value OF the rebate;
this would help stop what is really
blackmail. Elevator allowances should
be stopped. for they have now grown
to such an extent that they are de-
llLllk anu al h1NA no RhoNN1s
The best possible regulation of rates
would. Of course, be that regulation
secured by an honest agreement
the railroads themselves to
carry out the law. Such a general
agreement would. for instance, at once
put a stop to the efforts Of any n
big shipper or big railroad to dis
against or secure advan-
over some rival; and such agree
ment would make the railroads them
agents for enforcing the law.
The power vested in the government
to put a stop to agreements to the
detriment of the public should, in my
Judgment. be accompanied by power to
under specified conditions and
supervision, agreements clear
" in the interest Of the public. But,
in my Judgment, the necessity for
giving this further power is by no
means as great as the necessity for
giving the commission or administra-
tive body the other powers / have
enumerated above; and II may well
he inadvisable to attempt to vest this
particular power in the commission OF
other administrative body until it al
ready possesses end is exercising what
I regard as by far the most important
OF all the powers l recommend-as in
deed the vitality important power
that to fix a given maximum rate
which rate. after the lapse of a reason
able time. goes into fun effect, subject
to review by the courts,
All private car lines, industrial roads
refrigerator charges, and the like should
be expressly put under the supervision
Of the interstate m commission
or some similar body so far as rates anc
agreements practically affecting rates are
concerned. The private car owners ant
the owners OF industrial railroads are en-
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