The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-04-09
COURTENOUGHPOR RAILWAYS.
spEErH or SAMUEL SPENCER
BEFORE TINE TRAFFIC CLUB.
Punish Onenoes DraStieaily IN the Con-
,Ituted Tribunais-A different 1hinG
10 PrnallIe Inyestmeut-DaVd Will
cpy on Infrequeney OF Rate Cutting.


cox on InfreQueney OF Rate Cutting.
IN discussing the regulation Of railway
,,t,s before the Tuflo Club NJ Pittsburg,
On Friday night. Samuel Spencer, described
A. speaking for much more than a majority
ofthe railroad interests OF the United States,
said
The simple direct, equitable and effective
method Of dealing with the question seems
10 me to be this: II further legislation he
accessory, and / do not aay that II Ia not,
lst Il he given the direction pointed out by
the evils calling for correction, and along
logical, not experimental, lines for the
remedying OF those evils.
DRAW tho distinction broadly and lm-
, nstak ably between punishment for crime
or nlisdemeanor, on the one hand, and
the unnecessary and unwise Governmental
or patenal interference with legitimate
and legal exercise Of individual endeavor,
on the other.
Separate widely the functions Of Gov
eminent which detect and arraiEn end
prosecute from those which cit In judgment
upon complaints and offences against the
as.
Strengthen the laws in condemnation
of rebates secret devices and unjust dis
examinations TO any extent that may be
found possible, and provide, II such further
provision still be- necessary, for the prompt
arraignment and prosecution Of all offenders
Of the law In the duly constituted courts
Of the country, and for the unsparing pun
ishment Of those who are found TO be guilty.
II there are such offenders In the railway
fraternity, their offences should be exposed
and punished; but IL il un-American and
Unfair, not to say outrageous, because It is
alleged there are such, that every manager.
that every president and director, shall be
subject to indiscriminate public oondemna-
ton, and that the Innocent investors Rban
have their property jeopardiped and their
rights infringed because those 70 whom
the prosecution Of the law il entrusted fail
to and the offender and to punish him.
Bring under the provisions Of the Inter
state Commerce act and tie Jurisdiction
Of the commission those water lines which
are engaged in interstate commerce In
competition OF In conjunction with the
railways; place such restrictions upon the
interstate traffic passing partly through
foreign countries as will compel compliance
with all the laws and regulations which
apply 70 that moving solely within United
States boundaries; spread the mantle OF
the law and Of the commission over the
fast freight and private car lines doing
Interstate commerce, ana institute,
needs be, such regulations In respect 20
industrial tracks and phantom railways
as shall prevent such allowances to them
as may breed insidious evasions OF the
sin a vord-stop illegal abuses draS-
hcally but avoid action which will aneot
savings put into railroads In good faith;
avoid legislation which might impair serviCs
and efficiency and reduce the wages OF our
500 900 employees, for TO the wage earneTa
alone among that number now go over
half Of the gross expenses OF the American
railroads.
David Wilcox. president Of the Delaware
and Hudson Company, when asked yester-
day to comment up on Mr. spenoeTS ad-
dress, said
Spencers address at Pittsburg last evening
and think that II presents very clearly
the questions In regard to political rate
fixing The demand that there should be
some tribunal to pass upon the questions
arising under the interstate commerce
law Ia entirely nlusory. Such tribunals
were given fun jurisdiction by the Inter
state Commerce act Of 1887 and by the
Eldns law of 1908, The Interstate Com
meroe Commission has fun power TO invest-
gate and prosecute wherever rebates exist
wherever mates are unreasonable opNwher-
ever there . unjust discrimination or undue
or unreasonable preference. The circuit
Courts have full Jurisdiction TO entertain
such cases. II Is therefore misleading TO
say that some tribunal should exist Ia which
such powers should be lodged, because
IL would he impossible to confer such power
in broader words than those Of the present
statutes. What Is now sought Is the power
to FIX exactly what the railroad properties
shall be allowed 20 earn. The requirement
that rates shall be reasonable and that
there shall be no unjust or undue disoimi-
nations or preferences Ia obviously, entirely
different from the suggestion that the
earning power Of property shall be regl-
lated by order OF a political body having
no responsibility for the results Of opera
don.
The public Discussion has now pro-
eeeded far enough TO establish the facts
that rebates and rate cutting are extremely
infrequent and that the statutes upon the
subject are sufficient. As has been stated
In the last two annual reports OF the Inter
state Commerce Commission, such dis
cllsson has also demonstrated that the
rates are not unreasonable In amount.
This is shown very clearly by the fact that
not q single case Of unreasonable rates
has been established in the courts since the
Interstate Commerce act was passed, The
only serious question remaining u that OF
alleged Determinations between localities.
These are really questions between different
markets, rather than between carriers.
Il il natural that they should be numerous,
because Of the keen and srlf1 competition
among DIOQuCNIna InCy GNAAAgN ~ HgNNlGhs
however, IN any other manner than by
natural processes. A very full discussion
Of the matter coming 20 the conclusion
just stated was contained IN an address
by Judge Veazey, formerly Of the Inter
state Commeroe Commission, which was
published In the annual report Of the Com
mission for 1893. The fact that no sub
stantial Injustice has been done In the past
Ia shown by the Circumstance that during
the seventeen years since the 1nterstate
Commerce act was passed only one and
one-hah cases Of such discrimination have
been established IN the courts.
There n no delay Of any msritorious
cause Of action In the courts, The pro-
visions for procedure expedite the cases
before the courts In every possible way.
In addition 20 that, during the seventeen
years Of the commissions existence only
2 per cent. OF the complaints made to that
body have been Irrigated, and In e9 per
cent, Of that per cent the Interstate Com
merce Commission has been reversed.
The result u that out OF thirty-two cases
which have gone 10 final Judgment there
have been thirty reversals, one Rhirmonce
and one case which was reversed IN part
and affirmed In part. This, Of course
shows that there has been a very small
amount Of litigation. and the attitude OF