The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1910-03-04
MAKE ATTACK ON
COMMERCE BILL
Senators Cummins and Clapp, in
Minority Report, Point To Flaws
In Administration Measure.

WASHINGTON. March S-A broad
side against The administration inter
state commerce bin as reported from
the committee on interstate com
merce. was fired today by senators
Cummins lRep. la and Clapp (Rep-
MIMI
In q minority report. the two west
trn senators condemn the measure
unsp4riugly. coutcndlng that II creates
a useless court. reduces the authority
OF the interstate commerce commits
sion and fails Go properly regulate the
railroads or protect the public.
They make the startAns statement
that the bill prevents neither the
combination nor the OFer-capitaliza'
Jion OF railroads
The plan proposed by these two sec
tious az the bill that We're supposed
20 abolish the evils tand 30 SO. It's
friends claim, j. declared by the
minority report 20 be- ineffective for
these among other reasons
L. Il is confined TO railroad corpora.
tons whereas IL ought 20 include all
corporations. common carriers suolett
10 the act
The inhibition as 20 the issuance
OF both stocks ana bonds IS limited IS
follows shall hereafter issue for any
purpose connected with or relating 10
any part of It's business governed by
said act. - regulate commerce etc.
A moment thought viii convince any
enc tina, these words DESTROY the force
OF the whole plan, and II n l. neces-
sary 10 use them 90 make the plan
constitutions! II might a. well be
abandoned. for IL would lead the peo-
pie into the belief that We are doing
something when In fact, we are not
3 There is nothing 10 prevent a
holding corporation from issuing a.!
the stock and bonds that il pleases 70
issue
The privileges extended In reor-
CARNATIONS and consultations have
practically no limit
g. There Is no regulation concerning
the capitalization OF the increasing
values OF existing property or OF earn
ings that have been expended IN eX-
tendinc or improving property.
3 IL is expressly provided that al
though every provision OF the law be
violated In the Issuance Of stocks and
bonds. they shall nevertheless be valid
in the hands OF innocent purchasers
That in itself makes the proposed
substantially valueless II
this is 20 be the policy As 20 future
issues We might as well forego the
attempt 70 limit capitalization
Section II of the bill as reported
by the committee. says the TWO sent
tors. begins with the laudable attempt
10 prevent the consolidation ar com
bination OF railroad lines which di-
rectly and substantially compete with
each other before h. reaches rs end
II not only nullifes the prohibition
with which 1t started out, hut actually
takes the lack track. and II II were 70
become E part OF the law. II Is our
opinion that consultations and com
\ nations could be lawfully effected
lat are now forbidden
1T does not pretend even 10 control
or combination between
water routes and railroad routes IL
does not include express. telephone or
telegraph companies. and suburban or
electric passenger railway
corporations are declared not to be
corporations Any electric
passenger railway company could pur-
chase insofar as this bill would affect
The transaction all the railways in the
United States and combine them into
a single corporation