Omaha daily bee., 1906-02-13
South Carolina Senator Appeal, to Patriot
ism and Honor Of His Colleagues.
Mr.. LODGE SPEAKS ON RATE MEASURES
Massachusetts, Senator Says That Leg isla-
ton oD Subject is Necessary.
HAS DISPOSED or RAILWAY HOLDINGS
Discriminstion should BE Abolished
and Prison Sentences Imposed
for Failure 90 Comply
with the Law.

WASHINGTON, Feb. 12.-The senate to-
day adopted a joint resolution reported by
Mr.. Tillman from the senate committee on
interstate commerce which directs the
Interstate Commerce commission TO inves-
tigate the charge of discrimination ana
combination in restraint of trade made
against the railroads.
The adoption of the resolution was pre-
ceded by a speech by Mr.. Tillman In which
he practically charged that the admins
tration was not proceeding in good faith
10 secure railroad legislation because ne
was not satisfied with the presidents ad-
visers Among these he mentioned Secre-
tary Root and Senator Knox. the former
OF whom he said was an adviser OF the
'nagnates responsible for the devilment,
and the latter of whom had been for years
attorney for the Pennsylvania Railroad
company Mr.. Knox contradicted the
. charge relative to himself. saying that he
never had been attorney for the Pennsyl-
vania railroad,
Mr. Lodge spoke at length on the railroad
question. He delivered a carefully pre-
pared speech in which he took position
for governmental regulation of rates but
advised the utmost caution against too
radical action. He expressed the opinion
that the giving of rebates was practically
the only evil existing in connection with
the railroad systems of the country.
Return of MIR. Hepburn.
For the first time in two weeks Mr.. Hey
burn was in his seat when the senate was
called TO order today. His absence has
been due to an attack OF appendicitis. from
which he has almost recovered
Mr.. Tillman, from the committee on in
terstate commerce, reported joint resolu-
commission to investigate the alleged dis
elimination by railroad companies in the
matter OF transportation OF coal and other
commodities. The resolution is the result
of the complaint against conditions in
West Virginia. but that state is not specf-
cally mentioned in the resolution.
Mr.. Patterson resigned as a member OF
the committee on privileges and elections
and Mr. Frazer was designated TO fiI the
vacancy. - 80.
Lodge on Rate Regulation.
MIR. Lodge then addressed the senate on
the railroad rate question. He spoke to
Mr. Clays resolution on that subject and
was listened to by an audience that filed
the galleries.
Mr. Lodge announced his support OF legis-
lation for the control of railroad rates
along the lines of Esch-Townsend bill Of
last session, and said that he believed the
practice of giving rebates TO be the most
serious Of all the evils complained Of He
expressed the conviction that only by legis-
lation along the lines suggested could gov
ernment ownership be prevented He said
that before entering upon the investigation
OF the question he had disposed of his rail-
road interests, in order that his inquiry
might be free from bias.
He expressed the opinion that the rate
question is second only, as an economical
problem. to the financial question, and
one of the most important ever before
congress. All were agreed, he said, to
n what we. as people, desire to do but the
tiiferences arise over the method of pro-
ceeding. He was convinced that there are
evils to be remedied in connection with
transportation and the railway systems.
but the problem consisted in finding a fair
and just means OF dealing with them.
He passed over as established fact
the right OF congress to legislate for the
regulation of the railroads.
l. The grievances against the railroads he
2rdlvided into three classes. as follows: Re
bates or discrimination between persons,
excessive rates, discrimination between To-
calities.
IIc quoted statistics in an effort to show
that freight rates are lower in the United
States than in any other country. and con-
cluded that II no other grievance were pre-
sented there would he no cause for legs-
lation. and that in the matter of the dis
elimination between localities Il is very
difficult to Interfere in behalf of one place
without doing injustice TO others, but that
the only way 10 accomplish anything is for
the government to assume supervision OF
rate making
ORA site puntshment NrceSsary
He confessed the difficulty of dealing
with the problems, said the fixing OF rates
by the government would not cure TN,
evil and concluded that that could only bs
effected by provision for the punishment
OF those who violate the law by giving
rebates, Regarding rebates. he said:
Tho rebates have been wrong and in
Justice To the people and a serious IniurN
10 the railroads themselves. | don't thini
that II would be possible TO pass legisla
ION non '9H tS ions e pHcSe o. stopplni
have a Law now upon the statute book
which. so far as prohibition can go. ough
To he sufficient IL undoubtedly has checked
rebates, hut It has not storSed them en-
tirelN. To make the law thoroughly eff
cient we ought to add, i'm my Judgment
three provisions. We siOui@ restore tn,
former penalties OF the interstate cOmmeTc,
iaw-which should not have been repealed
lished rates punishable by imprisonment
The men who perpetrate these violations Il
defiance Of law suffer but little by fine
even il il be a heavy one Their resource
are too large to make money penalty ,
serious one. For this very reason they ar
persons who would feel acutely a punish
nent by Imprisonment. and that penalt,
4 ought To be provided in any law which w
paSS
Experience of other Nations.
Mr, Lodge reviewed the experience o
other governments, including most of tn
European countries. Canada and Australia
in government control Of rate making an.
added
This examination shows us that IL is no
only entirely, possible to abolish all dis
ordinations between persons-that Is, al
rebates or undue preferences-but that thi
has been actually and effectively accom-
plished In other countries. ID is now neces