New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-05-31
NO WAR AGAINST RAILROADS.
President Roosevelt Restates His Policy in Address at
Lawton Monument Unveiling.
REASSURING WORDS TO INVESTORS
Physical Valuation and Measures Check Ovecapitazaon Ad
vocated-No Halt in Assertion of National Control

indomitable resolution, but with a kindlinesA
patience and common quite as remark
able. he faced four weary years of open in
front. of calurnny, detraction and intrigue from
behind, and at the end gave 10 his countrymen
whom he had served so well the blood bought
gift OF a race freed and nation forever united
PRESERVATION OF PROPERTY RIGHTS.
One great problem that we have before US II
TO preserve the rights of property; and these
only be preserved if we remember that they are
in less jeopardy from the socialist and the an
archtst than from the predatory man of wealth.
II has become evident that TO refuse to invoke
the power OF the nation TO restrain the wrongs
committed by the man OF great wealth who does
evil is not only 10 neglect the interests of the
public, but is to neglect the interests of the
man OF means who acts honOrably by his fell
lows The power of the nation must be exerted
10 stop crimes of cunning no less than crimes
Of violence.
There can be no halt in the course we have
deliberately elected to pursue, the roIey of as.
serting the right of the nation. so far as it has
the power, to supervise and control the busi-
ness use Of wealth, especially in its corporate
form.
CONTROL OF COMMON CARRIERS,
To-day / wish 10 say a word 20 you about thu
first and most important feature OF this task.
the control OF the common carriers doing an
interstate business, control absolutely vested
In the nation, while in so far as the common
carriers also transport the mails, il is, in my
opinion probable that whether their business
is or is not Interstate it is TO the same extent
subject 10 federal control. under that clause or
the Constitution granting to the national govern
ment power TO establish post roads. and there
fore by necessary implication, power TO TAXI
all action necessary in order 10 keep them the
highest point Of efficiency.
Every federal law dealing with corporations
or with railroads that has been put upon the
statute books during the last six years has been
step in advance in the right direction An
action taken by the administration under these
and the pre-existins laws has been just and
proper. Every suit undertaken during that
period has been a suit not merely warranted,
but required by the facts; a suit in the interest
OF the people a whole and in the long run.
particularly in the interest of stockholders as
we'll in the interest OF business men of prop
the course that has thus been mapped out in
the legislation actually enacted and in the mes
sageS in which have asked for further legis-
lation
Wo best serve the interests of the honest rail-
way men when we announce that we will follow
out precisely this course. u is the course Of
real of ultimate conservatism.
NO HALT IN FORWARD MOVEMENT
There will be no halt in the forward movement
toward a full development OF this policy: and
those who wish us TO take step backward or
TO stand still, If their wishes were realized would
find that they had invited outbreak OF the
very radcalisn they fear. There must be pro-
gressive legislative and administrative action for
the correction of the evils which every sincere
man must admit TO have existed in railroad
management in the past.
Such additional legislation as that for which
have asked in the past. and especially that for
which asked in my message ar the opening Of
the last session of Congress- is not merely in tht.
interest of the public, but most ernphatically in
the interest of every honest railway manager
and Of all investors or would-be investors in
railway securities.
There must be vested in the federal govern
n1ent a full power OF supervision and control
power in many respects analogous to and "a
connpete that the government exercises over
the national banks. IL must possess the power
to exercise supervision over the future issuzncs
OF stocks and bonds, either through a national
INCORPORATION (Which should prefer) or in some
s. s-uniiar fashion, such supervision TO include the
Or n Nxs,fr L.
investors and the public at large have a right
to know.
To PREVENT Observation-Disclosures
The federal government will thus be able to
prevent all overcapitaltzatiOn in the future: TO
prevent any hereafter from plunderng
others by loading railway properties with obli-
cations and pocketing the money instead OF
spending It In improvements and in legitimate
corporate purposes; and any acting in such
fashion should be held to criminal accounta-
bility. II should be declared contrary 10 public
policy hencefOrth TO allow railroads devote
their capital 10 anything but the transportation
business. certainly not to the hazards OF specula
ton For the very reason that We desire 10 favor
the honest railroad manager, We should seek TO
discourage the activities of the man whose only
concern with railroads is to manipulate their
stocks. The business of railroad organization
and management should be kept entirely dis
tinct from investment brokerage business.
especially of the speculative type and the credit
and property of the corporation should be de-
voted to the extension and betterment of its
railroads and TO the development of the
trx naturally tributary to the lines. These prin-
c~es are fundamental.
Railroads should not be prohibited from ac-
curing connecting lines, by acquiring stocks,
bonds, or other securities of such lines; but il is
already well settled contrary TO public policy
to allow railroads 10 acquire control parallel
and competins lines of transportation.
Subject TO first giving TO the government the
power of supervision and control which have
advocated above. the law should be amended so
that railroads may be permitted and encouraged
TO make traffic agreements when these are h
che interest or the general public as well a. ot