The Washington times., 1909-08-19
INTERSTATE LAWS
TO Be MADE CLEAR
Government Lawyers Will
Meet Soon to Regulate
the Railroads.

An important conference viii be held
in New York within the next two weeks
to consider proposed changes in the in
terstate commerce law and in the Sher-
man antitrust law.
Among those who will be present will
be Attorney General Wickersham, So
Hcitor General Bowers, Chairman Knapp
of the Interstate Commerce Commits
sion: Mr.. Pro lty. a member of that
body, and Representative Townsend. OF
Michigan. who Is member OF the
House Committee on Interstate Com
merce, and who has made the question
of railroads and transportation a spe-
cial study.
The purpose Of the conference will be
to suggest alterations in the laws gov
erninE railroads and corporations which
are to be subn,itted 10 President Taft
in order that he may include them in
his recommendation to Congress in his
annual message. The President has
certain well-dehned ideas as to the
changes that he considers necessary to
facilitate and make more effective the
Government supervision Of railroads on
the ore hand, and on the other. to re-
necessary burdens and restrictions.
VIII Perfect Plans.
He has requested that these experts
in the law and in the practical applica-
ton Of the regulations get together and
put into concrete shape the plans he
has in mind With their recommended
tons in hand he will discuss them with
leaders of both House and Senate when
ne returns to Washington in the fall,
and will doubtless also call into con-
snltation practical railroad men and
captains Of industry. He has already
made definite enga genents with Senator
Cumu1ins of Iowa for November 10, ano
Representative Mann, the chairman OF
the House Interstate Commerce com
rnIftee, for November 10. to meet him at
the White House to discuss this sub
iect and to outline the Congressional
camDaiEn for the enactment of the
Legislation that he desires. Undoubtedly
this subject will form one OF the prin-
cipal, If not the most important parts
of his message to Congress next De-
cernber.
Although the Presidents plans cannot
he said TO be entirely deTineds II IS
known that the central idea Is 10 di-
vest the Interstate Commerce Commis-
sion of its administrative functions and
to establish Il as a ouasi-juGicial body
with the power TO determine cases, en-
force its rulings, and limit appeals only
10 the Supreme Court on constitutional
questions.
Commission Loaded Down.
At present the commission is loaded
down with multifarious line of duties
which occupy 50 much of the time Of
the members that long delays frequently
occur in the settlement of important
questions II is proposed to turn over
TO a bureau Of the Department OF Com
merce and LeOor such matters as The
administration of the law requiring
safety appliances on railroads, hours Of
employees, the informal settlement Of
miner cases arising between shippers
and the roads, the fling of rates, and
the preliminary investigation OF COM
plants These matters now take up
much Of the time of the Interstate Com
merce Commissioners
II has not vet been decided whether
these subjects should be turned over
TO the Bureau of Corporations or
vision created to look after them but,
relieved of them, the railroad commits
siOners would be in position to de
vote their Time to the greater problems
Of interstate trade and, by rendering
speedier decisions, relieve uncertainties
which have In some cases seriously re-
tarded business for months.
II is also President Tafts belief. as
il was that of President Roosevelt, that
the railroads should be relieved from
the operation OF the Sherman antitrust
law. and that they should be permitted
10 make combinations and agreements
between themselves so long as they are
not in restraint Of trade, and provided
that they are made under the super
vision OF the Government. He also
thinks that the penalties Tor the forma-
ton Of combinations. which CO much to
sti1e competition and are in restraint
Of trade, should be made heavier than
under existing law.
An important subject under consider
alton is legislation giving TO the Gov
eminent control over the capitalization
not only Of railroads. but OF all corpora
lions doing an interstate business. Be
fore one Of the corporations could issue
new stocks or bonds. it would, If the
idea is worked out, be compelled 10
show TO the satisfaction of the Govern
ment that il had the property upon
which 10 base the issue. This would
prevent overcapitalization and the
watering of stocks in the future. but
the question is undetermined as TO
whether the Government should also De
authorized to examine existing issues
with the object of squeezing the water
cut of them.