The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-05-05
1As Presidents Message On
Commissioner eastIelG's
Report.
Secret Rates and UsDHst 0ls.
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WASHINGTON, May t.-President Rooso-
veit's expected message m ths result u
the investigation into alleged violation Of
the law by The Standard on Company
went to Congress to-day, In company with
reports from Commissioner Of Corporations
Garfield telling what no had found out
about tbe charges affecting this great
concern. To those who expected sensa
tional disclosures and promises Of imme-
date criminal prosecution the message
and the reports were somewhat OF a dis
appointment.
While the President and COMMISSIONS
Garfield return a verdict Of guilty against
the Standard for having taken advantage
Of it's great power to crush out COMPETE
ton, they do not suggest that the company
is to be prosecuted or is liable to proseci-
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exclusive favors to the Standard by grant
ing seCret rebates and in other ways o~overtly
discriminating in violation Of law against
the Standards compositions hat are TO be
hailed into court.
1The Department of Justice says tho
President, will take up the question OF
instituting prosecutions in at least certain
of the cases. meaning the cases in which
1t liz alleged that secret rebates were granted
by the railroad companies. The New York
Central Railroad is named specifically by
the President as one which has favored the
Standard, and Mr.. Garfield mentions others.
The reports Of Commissioned Garfield
deal only with the subject of t%ransporta-
ton and freight rates in connection with
the oil industry. Later he is expected
to report on the matter OF alleged illegal
oil combinations in restraint Of trade,
under which prosecutions would be had
in accordance with the antitrust law.
In a general why Mr.. Garfield's state
ments are more an exposition of the illegal
practices OF railway companies, and thers
Is no suggestion that the Standard, as bad
as Mr.. Garfield makes 1t out to be, lie to be
made to feel the force Of the Governments
power.
II Is too early yet to get competent opine
ions on the effect the statements In tie
Garfield reports and the Presidents mes
sage will have in bringing about additional
Legislation affecting great corporations,
but the suggestion is uppermost In the
minds of most OF those who will he called
upon 10 give consideration to this matter
that it is 90 late to hope for any acti n
by Congress at this session,
II the President, as it had been heralded,
intended that the Garfield reports and his
message should have the effect Of forcing
the Hepburn railway rate bill through
Congress without amendment that purpose
Is now Of no consequence, as the rate bill
controversy has been adjusted and the
agreement reached has the Presidents
approval, The President finds reason in
the Garfield report. however, for enacting
the rate bill quickly, in order, az he says,
TO cure the determinations complained Of.
The necessity for other legislation Is like
wise found to exist by Mr., Roosevelt in the
discoveries Of his Commissioner Of Corpora
tions.
He urges In his message the passage OF
senator Knox's bill to prevent Federal
Judges from granting immunity from
prosecution to prisoners charged with
violating the antitrust law who may
furnish information discriminating them
selves. The railroads should DO permitted
by Law, he holds, to make proper oombina-
lions with the approval Of the Interstate
Commerce Commission, and the Govern
ment should have the right to protect
railroads from being compelled to make
concessions to big corporations.
Another suggestion Of the Presidents
is that the Government should have the
right to examine into the conduct Of rail-
ways, just as examiners now have the
right to examine into the conduct Of ma
tional banks.
Still enother argument the President find4
In the Garfield reports Is in favor Of thu
bill putting denatured alcohol on the fres
list, thus permitting an element Of oom-
petitio against the Standard Oil Conc
pany. Fur thermore the President thinks
the reports show that the United States
should keep control OF the coal and oil
lands In territory inhabited by the Indian.
tribes. ,
The message and reports will he giveaJ
consideration by the appropriate COM
mittees Of the Sanate and the House, and
1t Ia likely that a crop of bills will 10 intro
Two telephone systems In New York would