Missouri Valley times. [volume] (Missouri Valley, Iowa) 1874-1931, 1908-05-28
RAILROADS TO PAY
PENALTY IF THEY
RAISE THEIR RATES
Judson 6. Clement, Interstate
Commerce Commissioner,
Lays Down the Law.

Washington. May 23.-The railroads,
IL they persist in their plan of making
general advance OF rates as they
have announced as their purpose. are
much more likely to find themselves
confronted with the penalties of the
in the traffic association. than that
they can be granted any assurance
Of immunity and the approval of the
Interstate Commerce commission.
This is the intimation vigorously
advanced by Judson C. Clement. mem
Der of the Interstate Commerce com
mission committee in an authorized in
terview he gave out today. Mr..
Clement positively declares that the
commission has not approved any plan
for increase OF rates. His statement,
which he read over and approved be-
fore it was given to the press, follows:
rs IL true. as has been often stated
in the press and otherwise lately, that
the Interstate Commerce commission
approved general increase of freight
rates." was asked.
No Authority for 1t.
1T is not true, there is absolutely no
authority for any statement to the eff
feet that the commission has approved
amy contemplated increase of transpor-
tation charges. 1t is not within its
province to do 1t has no authority to
increase rates. neither can it reduce
them except upon complaint and full
hearing. Carriers are by the law per-
lmitted in the first instance to establish
the rates. They are not required to
consult the commission either in re-
spect to their establishment or altera-
ton.
IF the law could be so amended as
to empower the commission to hold in
allegiance any proposed increase of i'm
portance until it's reasonableness could
be inquired into and determined, many
complications would be avoided IRE
parable wrong necessarily follows from
the exaction of an unjust rate because
when the traffic has been once unduly
burdened with 1t, affecting the price Of
the commodity. the injury reaches fur
Their than can any possible reparation
prevention of the unjust exaction is the
only adequate mode of protection of the
public In its right to ship at Just and
reasonable rates. But there is now no
power III the commission to stop or post
pone the effectiveness of any increase
Which the carriers undertake to make
pending investigation as to its reason
ableness
| I'm this state of the law 1t would be
difficult in my estimation, to think OF
grosser breach of official duty than for
| the commission to assume to give advance
approval of an increase i'm rates The
mind of the commission, like any other
tribunal charged with the hearing and
determination of controversies. muss be
open and unembarrassed by previous
commitment so that it may approach the
hearing and determination Of controversies
submitted TO it, each On its own merits,
1 with complete freedom and impartiality. .
"Do you credit the current rumors of
concerted and combined action of the car
riers throughout the country to increa Sc
rates generally in the near future appar-
emily in disregard of the Sherman anti
trust law construed by the supreme
| court?"
~ have heard such rumors of some Wig
( orous protests by shippers and commercial
/ organizations, but To me it seems incredi-
BILE that the carriers would by such
| methods take the hazard of the penalties
and triple damages of this law, first hav-
ing provoked the public wrath by this
method of procedure. For congress to
modify the law SO as to permit concert
of action and contracts by competing car
riers under the conditions of open pub
4 lcity and subject to authorized public APP
prevail Is one thing of the carriers to defy
existing law Is quite another"