The Washington times., 1908-12-10
Dolliver Bill to Regulate
Railroad Securities TO
Make Debate.
AUTHOR WAITING
FAVORABLE TIME
Iowa Senator Expects Lawyer
Members to Try TO Pick Meas
ure TO Pieces on Floor.
By JOHN SNURE.

ahead Of it what VIII amount TO a repe-
tition of the rate fight of the first ses-
sion Of the Fifty-ninth Congress.
This fight. which now seems to be
coming at no great distance, apparently
viii be brought about by the effort 10
regulate the security issues Of inter
state transportation companies. The in
PRODUCTION Of the Deliver bill, which
the senior Senator from Iowa has Just
put into the Senate hopper, may be
taken as a sign of the contest that
seems certain to develop.
In all likelihood. this contest viii come
in the first session OF the Sixty-first Con-
gress, a year hence. While Senator Dol
liver has introduced a bill this session,
he does not expect it to be PASSED this
winter.
He has introduced it in order to get the
subject before Congress in something
Ike a definite way ana in order to
arouse argument and discussion in the
press and elsewhere, to the end that
tho best possible measure may eventu-
ally be the result Of the evolution OF
thought on this important problem.
Lies on the Table.
Senator DOlliver in presenting his bu
purposes to call it up after the holidays
and address, the Senate. The speech he
viii deliver VIII contain such facts and
ideas concerning Government regula-
ton of security issues Of Interstate car
riers as he has developed in year or
more Of study
Senator DolIiver began TO prepare this
bill last winter. He found that II was
a dnhcut problem to deal with. He
had conferences with some Of his col
leagues about II and he conferred with
the venerable Senator Allison among
others. Senator Allison was in accord
with the Idea there should be regula-
ton.
1t developed, too, that some Of the
more conservative members OF the Sen
ate were inclined TO favor some such
course last winter That, however was
at the time when Senator Ia Toilette
was pressing hard for physical valua-
ton and legislation Of a radical charac-
ter to squeeze the water out Of rail-
road stocks.
Are Frightened.
The conservatives were frightened and
were willing to ponder the matter Of
regulation. But now that President
Roosevelt is getting out OF office, the
situation is considerably changed, and
the indications are that when the bin
or bills to control security issues OF
railroads and other carriers come into
the Interstate Commerce Committee and
when a bin gets to the floor Of the
Senate, the constitutional lawyers viii
pounce upon II and have the time Of
their lives in trying 20 rend its vitals.
Senator DoIliver has conferred with
President Roosevelt about his bill The
President is understood TO favor tbe
general theory Of the bin, without hav-
ing gone over it in all details. Presi-
dent-elect Taft is also committed TO
the principle.
Platform for It.
The Chicago platform favors the regu-
lation of the securities Of interstate
transportation companies, and iuasmuch
as the Sixty-first House was elected on
this platform, it cannot we'll refuse to
pass the proposed legislation. IT is
quite likely that the Senate is the body
that win present the largest difficulties
In way Of getting a bill passed, for the
reason that the upper house is inclined
10 give the most careful scrutiny to any
proposal to enlarge the regUlative &C
tivitles Of the Government
If the railroads Of the country are
wise they Will not oppose legislation OF
the kind proposed in the bill I have in
troduced," said Senator Deliver, In com
menting on lis bill.
1T does not seek to destroy property
in railroad securities, but to protect ex-
isting securities, and to insure rigid
Government scrutiny Of future security
issues
Will They Do It7
But whether the railroad managers
viii SEQ the situation in this light is
doubtful II is Senator Delivers idea
that II legislation Of toe sort he pro-
poses is not passed, tho railroads are
likely TO suffer from more radical Iegis-
latiOn. which would squeeze the water
out of existing securities and would
hurt many innocent purchasers. Sen
tor Dolliver holds that the Government
for all these years has left the security
issues OF transportation companies nm
regulated and that Il is unfair now to
so back and strike at securities that
were issued when there wa no law
governing them
It is to be noticed that the bill Of SEN
ator Dolliver has been drawn with a
view to having Il stand the test of the
Supreme Court. 1t does not delegate
the power OF Congress to the Interstate
Commerce Commission, but fixes the
legal standards that should apply to
securities; tells what are legal and what
are not.
Then It leaves the administering of
the law to the Interstate Commerce
Commission.
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