The Birmingham age-herald., 1908-12-21
Interstate Commerce Commis
 siOner Clements Speaks
EFFECT OF INVESTIGATION
Mir. Clements Says That Questions of Great Importance Are Decided In the Answer Made to Harri-
 man In the Rate Case.

New Orleans. December 20.-That keen disappointment was caused at least three members of the interstate commerce com mission by the recent decision of the United States supreme court declaring that E. H Hartman should not be re- quired to answer the questions of the commission concerning certain dealings in stocks, is shown in an interview with Judson c. Clements one of three commis- sioners who conducted the hearing at New Orleans in the matter of lumber shipments.
 In deciding the case of E. H. Harri- man and Otto H. Kahn of New York az gainst the interstate commerce commis- sion, the supreme court held that the com- mission is not entitled under the inter- state commerce law to press questions relative to private transactions. The spe- cific case concerned dealings in stocks between the Union Pacific and other roads Both Hartman and Kahn, the la tier a banker, refused to make re- sponses when the subject was under in vestigation in New York.
 Following the announcement of this de- cision, the interstate commerce eommis- sion was credited with having antici- pated the opinion of the court. This is denied by Commissioners Clements, Clark and Harlan.
 'It is not true, as has been reported, that the interstate commerce commission had anticipated a reverse decision or that it regards as of little importance the decision of the supreme court deny ing it's authority to require testimony ex- cept in proceedings on complaint for spe- cific violations of the act or for invest gations of like cause" said Commits sicner Clements "The questions involved were not, as has been said..merely 'acad- emic' but they were Of great practical importance"
 ''The commission deemed it's effort and position to be clearly in the line of it's duties and within the purpose and intent of the law. No desire to criticise the court is entertained but, manifestly, the scope of effective inquiry and disclosure will be greatly hampered and narrowed by this decision. The wholesome effects of investigation have often been seen in the dissipation of methods and practices, which, though unjust and even repre- hensible had not been specifically for bdden by law. Such investigations have also demonstrated the need of amend ments to the law, as well as the form they should take, and that, too, without individual harm or even inconvenience at all compared with the harm to the public resulting from the evil practices disclosed These investigations have also pointed the way to more effective administra- ton of the law than would otherwise nave been possible.
 ''There are many thoughtful persons who believe that publicity which discloses any evil and indefensible practice, in the man agement of corporations engaged in bus mess which is affected with a public in- terest is even more efficacious against wrong-doing than formal rules of regula- ticn. It is difficult to overestimate the importance of full publicity in these mat ters, which can never be had except upon the searching examination of witnesses cognizant of the facts and transactions which are the subject of inquiry.
 Many schemes of manipulation in the use and application of the proceeds of stocks and bonds. as well as the issu- ance of the same, which, though not ex- pressly forbidden by any law, greatly ccnplicate the just determination of the questions affecting the rights of shippers and the public in general, as well as in- vestors, are possible. and have often been practiced, as shown by previous in- quiries.
 ''The foundations for the successful proceeding of the government in the Northern Securities case was laid in an investigation of this kind, begun upon an order of the commission substantially similar in all respects to the one upon which the recent investigation of the Har- riman lines was conducted