The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1907-06-26
ROOSEVELT REASSUR|NG.
TO RAILROAD INVESTORS
Restates His Policy in Address at
LaWton Monument Unwilling.
FOR FEDERAL CONTROL ONLY

Advocates Taking Away From States
All Power Over Roads-Thinks
Value Of Stocks and Bonds is
Greater Than Total Face Value.
Indianapolis, Ind. - Under the
shadow of the grim Court House Of
Indiana's capital President Roosevelt
made a notable address, dealing with
the subjects Of railroad control and
civic righteousness. His message,
though a warning to evildoers, con-
tained much to cheer the Individual
citizen, for it breathed robust opti-
mism, and assured the country that
in spite Of all the watering that rail-
road shares have received they are
still worth more than their face val
ues represent.
The speech, which was delivered to
a throng of 10000 or 10000 persons,
was the chief feature of the exercises
attending the unwilling of the statue
Of General Henry w. Lawton, the In
diana hero of Civil, Indian and Span
ish war fame, who died fighting the
Filipinos after all his laurels had been
fairly won.
What the Presidentsaid about hon
est management Of the railroads was
received with .tuInultuous applause.
His statement that there must be
Federal supervision in the interest Of
stockholders as well as for the protec-
ton of shippers was the hit Of the
day, Mr.. Roosevelt was in splendid
voice. He spoke for more than an
hour, and was followed closely for
every minute Of the time by the great
throng. "
The reasoning under which the
President believes such a project to
be possible and legitimate Is in the
argument that all the railroads carry
the mails and can therefore be con-
sidered as post roads.
President Roosevelt made 1t plain
that his desire to have all control of
railroad legislation vested in the
Federal Government Is prompted as
much by a wish to protect the rail-
roads from harassing legislation by
the States as to protect the public
from oppression by the railroads.
Next to the advancement OF this
project, the greatest thing IN the
Presidents speech was his, declara-
ton that the railroads Of the country
are worth the face value Of all their
securities in spite of the fact that
there have been instances Of fragrant
stock-watering and over-capitaliza-
ton. To insure that this condition
shall remain, and that the value OF
railroad investments shall not deter
iorate, he declared that with the
bringing of all railroads under Fed
eral control, the issuance Of railroad
stocks and bonds should be brought
under Federal control. Thus what
ever securities we're put out would
have the Governments guarantee
that they were issued In good faith
and were not the mere fruits OF lnha-
ton.
While the President, at the same
time that he was declaring his conf
dence in the worth of the railroads
and his determination that they
should be protected from unwise leg
islation and harassment, went fur
Their in favor Of governmental control
of railroads than he ever went before,
he took occasion to declare positively
against Government ownership. He
said:
ut is plainly inadvisable for the
Government to undertake. to d1rect
the physical operation Of the rail-,
ways, save in wholly exceptional
cases, and the supervision and con-
troll it exercises should be both en-
tirely adequate to secure its ends and
vet no more harassing than is neces.
sary to secure these ends"
An epitome of what the President
declared for is as follows:
Exclusive Federal control and SUI
peryision of the railways.
Exclusive Federal control of all
mail-carrying railroads, including
those which operate wholly within
the borders of any State.
National supervision over future
assurances Of stocks and bonds.
A national incorporation thai
would give the roads the seal Of Gov
eminent approval such as national
banks now enjoy.
Criminal prosecution Of any man
who plumbers others by issuing great
masses Of securities and sells then
for fraudulent or selfish interest In
stead of applying the money SO &C.
ouired to the legitimate use or the
road on whose property the securities
yer issued.
Protection of the honest railroad
whose aim is to maintain a
high standard of efficiency in his road
and seek an honest and legitimate re-
urn on the money invested.
Allowing railroads to acquire con-
Meeting lines, but forbidding them to
combine with parallel lines.
Public traffic agreements in b In
terest of the people, subject to the
approval of the Interstate Commerce
Commission.
Physical valuation Of railroad prop
critics, such valuations not to be re-
troactive, and present securities to DE
tested by the laws under which they
were issued.
The divorcing of railroad manage
ment from stock speculation.
The President admitted the posi-
Bile necessity of Government opera
ton of railroads by declaring against
If "saye in wholly exceptional cases"