The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-09-11
Il. Z. Ripley Presents Views On
Proposed Legislation.
Replies to Questions From the
Railway Journal.
SYMPATHY LACKING
He Does Not See Equity in Sug
gestiOns Made.
Other Items Of Interest to
Railway People.

! In the current issue of the Railway
Journal is printed a letter from E. P.
| Ripley, president OF the Atchison. To-
peka & Santa Fe Railway company,
outlining his views in regard to future
railroad legislation. 1t is as follows:
Editor. Railway Journal:
Dear Sir:-I have yours of the 21st
instant, enclosing memorandum out
lining certain probable legislation
during the next session of congress,
and asking for an expression of MY
views concerning same:
l. Prohibition of railway cousoIi-
datfon when the ombinations include
lines that are actually parallel or that
may easily become so in effect in
their business relations with each
other:
1 see no reason for an absolute pro-
hibitiOn OF this nature-on the con-
trary l think there are many cases
where consolidation of parallel lines
is clearly to the advantage of every
body concerned whether as shippers.
or carriers, or producers or consum-
ers. I am very clear that there should
be no actual and absolute prohibition
of such consolidation. The most that
should be done in this line is to pro-
vide for it's approval by the govern
ment before it is carried into effect.
,. Prohibition of joint ownership
in parallel lines and entire separation
of directorates and official staff:
1 think il is going too far to sepa-
rate by law the directorates and to
say that a man may net represent his
own financial interest on the boards
of two different companies Any such
prohibition would be ineffective. il
made, because in practice, should a.
man own large blocks of stock in two
competing companies, it is an easy
matter for him to obtain as his rep
resentative on the board of one of the
companies, a man who would be en-
tfreIy subservient to his wishes and
virtually represent him and him
alone
8. Permission to pool earnings between
lines. subject to the approval of agree
ments by the interstate commerce COM
mission and the fling of same with the
commission:
think everybody who has given this
subject any study realizes that the
passage of such an act would be not
onIv wise but would be doing nothing
but simple justice
T. Permission to form and conduct as
sociations for the PRONUNCIATION OF rates
and the issuance of tariffs:
There ought to be no question what
ever about this nor is there any reason
whv these associations should require
the approval Of the interstate commerce
commission It is a simple necessity OF
the business
). Prohibition of the unrestricted is
sue OF securities for extension Of OLD
lines and construction OF new ones, Sucn
securities hereafter to be issued after in
vestigation and approval by the govern
ment; also the clause forbIddIng the
use of the surplus of any road in the
purchase of the stock OF any otner road,
unless il can be clearly shown that such
surplus is not required for the better
ment and maintenance of the property,
and then only for the purchase OF STOCK
of connections forming CONTINUOUS
through route and in no way interrupt
ing the control or operation OF another
parallel line
do not believe in such restriction II
seems to me that a company should De
permitted to issue such securities as III
the Judgment of its directors, are neces-
sary for corporate purposes. In general
the public has little or no interest II
the amount of securities issued by rail-
way companies, such securities having
no effect on the relations of the carrier
TO the shipper. and any attempt on the
M TT of the government TO regulate the
amount of such securities will be an
effort in the direction of paternalism and