The Washington herald., 1906-11-02


rights defense OF protection from favor
ing State statutes IS beaten down.
In the Beef Trust case the Supreme
Court held that. although the business Of
manufacture was carried on within the
limits of a single State. yet the purchase
of the raw material in different States
and the sale Of finished product in d.fferens
States brought the bus ness within the In
terstato commerce clause Of the Consti-
tuition and gave the Federal government
authority over IT, Thus the defense that
the state al0ne can deal with manufac-
turing corporations, however widespread
their business. Is beaten down.
The obstacles TO the enforcement OF the
Federal antitrust act thus removed are
obstacles which stood in the way Of all
proceedings, and they had TO be cleared
away before any proceedings Il the same
character against the same class of cor
poTatious could be successfully maintain
ed They have been removed. not by
Newspaper headlines and denunciation.
but 10y skill. ability, and energy Of the
highest Order
War Against Rebates.
After the Elkins anti-rebate law was
beA1a~NA ~ Ar-t11 t%c1 Alt A1foF ~ was 0AA
posed. and the Interstate Commerce Com
mission reported, that the railroads had
substantially abandoned giving rebates
Their good resolutions do not seem, how
ever, to have lasted The struggle for
business enabled the shippers soon to Sc
cure renewal Of rebates or. by in
geuious devices. advantages equivalent to
rebates
Thereupon the Department OF Justice
began active prosecutions for the enforce
ment OF the law Fifty-three indictments
have been found against hundreds Of de-
feudlnts and covering many hundreds Of
There have been fourteen
convictions. Fourteen individ-
lals have been fined 10 the gross amount
nj Se5.l25 Nine corporations have been
fined 10 the amount Of S253O00. ThTty-five
indictments are ready for trial IN their
regular order upon the court calendar.
The original statute provided only for
punishment by fine. Last WilteT il was
amended By providing for punishment by
Imprisonment and if the fines imposed
noer the original law shall not prove 10
have stopped the practice. we shall see
whether fear OF the penitentiary under
the amendment viii not do so.
Rate Tax Justified.
Under this statute also IL was necessary
TO sweep away defenses which stood as
barriers to general prosecution. and in
The New York. New Haven and Hartford
case. decided by the Supreme
Court February 19 Of this year. and the
Milwaukee Refrigerator Transit case, de-
= ded in the Seventh circuit on the 3Ist
Of Nay OF this year. the courts have held
that the substance and not the form 10
to control in the application Of the stat
ute and that, however the transaction
may be disguised, an unlawful dlscrimina-
ton can be reached and punished. The
way is therefore cleared for all other
The railroad-rates act. which was the
subject Of such excited discussion during
the last session of Congress. has already
justified itself Since the passage Of the
act, less than FIVE months ago. there have
beer more voluntary reductions Of rates
by our railroads than during the entire
nineteen years Of the previous life Of the
Interstate Commerce Commission. On the
single day Of the 18th OF August, 1895, two
days before the act went into force, over
ZOO notices OF voluntary reduction Of
rates were fled with the Interstate Com
merce Commission by the railroads OF
the United States.
Overcap apitalization is an evil peculiar
" within the control OF State govern
m6uts, uud one for which We ought 10
have In every state capital a man who
,an DO what -dr. Hughes has shown him
self capable Of doing; but the Federal
government through the Bureau of Cor
Dorations is going Tar on the road 10 q
cure by getting at the truth and dlspeil-
Ing the darkness under the cover Of
which the evil has grown.
Pure FOOd and Meat Inspection.
Nor should other evils with which the
FederaI Government is graphing be for
sotten--the pure food act and the meat
Inspection act Of the last session Of Con-
5ress are protecting the food Of the peo-
PIE against fraud and adulteration and
ton; justice from the employer
70 the employed Is advanced by the wise
liability act Of the last session:
he Federal contractors eight-hour labor
aw, too long ignored, is being vigorously
enforced and every week come reports
# new convictions for its violation; the
Hafety-appliance law, disc edited in the
over courts, has been taken by the gov
rrment intervening IN aid If an Injured
mpIoye TO the Supreme Court Of the
-nited States IN a suit against the South
m Pacific Pai'road Company. and has
'een established upon a sure foundation
~ the decision Of that great court
All this has not been easy; II has re-
.uired not merely skill and ability and
]atlent industry and the tremendous per
onality Of the President against all pow
rful influences urging on Congress and
awyers and courts but il has required
nd still requires peTsisteucv, Iong-contiu-
Ted and constant effort. d deliberate. set
led. and unvarying policy.
That policy Is now before the American
'eople for their approval or disqpprovaI,
nd it IS confronted by two dangers.
Republican House Necessary.
The FIRST danger is lest the people should
efuse to return a majority Of RepubIi- I
ans in the House of Representatives,
which has stood so Loyalty by the Presi-
lent and should return a Democratic ma
ority, which VIII be in opposition TO the
resident. Do not be deceived about
hat Under our system Of government,
nective, affirmative governmental action
equires the cooperation Of both Presj- /
lent and Congress; that cooperation can
.e had only with q House Of Representa-
ives Of the Presidents own party. It
aEnot be had by rejecting and punish /
ng the members Of the House who have
-een working with the President in the
iast.
\ Democratic House, in inevitable con-
ict with a Republican Senate, would not
eally help the Democratic party. but ii 1
you'd hinder. embarrass, weaken. and
Is haa--rc-, The D-.aella-.t - -.