The sun. [volume] (New York [N.Y.]) 1833-1916, 1910-04-01
DISCUSS TAFT RAILWAY BILL
SENATOR ROOT CONFINES MS
SPEECH ~ ITS 81 PPORT.
Ne says We d No, Prepared 10 Piace
the Railroad Business ln ihe Hands
OF = single BodI WITH Power To
say How % should ne Operated.

senator Root on the Administration
railway bill than has heen shown AZ any
previous time in the debate. This was
the second dAv that Mr.. Root has Sgboken
IN support Of the hill AMI he viii continue
q. tomorrow
The Senator from Nv York devoted
nearly all OF the time to-day to a dis
cOssion OF section ~ OF the btll which
seeks tn prevent the acquisition by one
common carrier ot stock IN a competing
line. He argued AZ length to prove that
the section viii not repeal or modify the
sherman antitrust law. la thus cOnt-n-
ton he takes sharp issue with senator
Cummins and the insurEent Republicans
who are opposing the bIll
Mr. Root declared that there was
nothing in the existing Law that makes the
acquisition OF stock hv one common
carrier in the property OF another an
offenss in itsslt lie cited the decision in
the Northern Securities case to show that
Il was only when such acquisition was
one act in a conspiracy To suppress com
petition and restrain interstate COM
merce that il became unlawful under the
sherman antitrust law. He had several
Interesting colloquies With Senator
Bacon. Prom senator Bailey he elected
heopinion that II the Northern Securities
corporation had acquired no more than
forty-five shares OF stock IN the COM
pesing line the supreme Court would
probably have held that the holding COM
pany was not unlawful because Il was
not q conspiracy IN restraint Of trade.
Mr.. Root defended the bill "a step
forward in that u created new
and substantial offence. supplem~ntlng
the antitrust law bv asserting control
over acquisitions Of stock in competing
hnes The senator declared that the
only serious question before the Senate
was whether the proposed legislation was
constitutional lie had some doubts on
the subject. but IN view IT the decision
IN the Northern Securities case he be-
lisved that the Supreme Court would hold
the pending bill to be Constitutional
because OF its close relation TO the en-
foroement Of the antitrust Law
Senator Root made no defence of that
feature OF section I: which permits the
acquisition nv one carrier NJ all the stock
Of q competing tine whe'e the acquiring
carrier already possessed more than 80
Der cent. OF the stock of the company TO
be acquired Mr.. Root declared that the
parnRrap Oh had been misunderstood IN the
senate and WAS likely to he misunderstood
by the country. that u served no useful
purpose and he was willing u should go
out OF the bill
Senator Root began hi. speech to dav
with q discussion ~ the section of the
ball authorizing railroad companies -
enter into agreements after rates have
bssn fled with the Interstate Commerce
Commission ara made public THIS
amendment. he said - ~ tho greatest
Importance and he called attention to
the fact that no senator had expressed
exposition 20 il IN the debate.
Most Of US agree. said Senator Ray
Of Maryland. that there ought TO be a
change. but 1t seems TO me these rates
ought to he submitted TO the Interstate
Commerce Commission for approval
before they 20 into effect. ] do not inn
pute the motives Of the President or the
Attorney General who are responsible
for the bill hut il looks 10 me that IN This
section appears insidiouslv the hand Of
the railroads. VIII the Senator from
New York favor an amendment providing
that these agreements shall not go INTO
effect until approved by the Interstate
Commerce Commission
senator Root replied that he had written
in his copy OF the bill this amendment.
These agree nDents shall be nlhIeCt to
the approval Of the comm ssion
senator Rayner wanted TO know u the
Senator from New York would consent
go the addition Of the words before they
10 into effect
senator Root SAID that the language
IL his amendmenf has no other mea ming
than that the agreements cannot 90 into
eject without the approval OF he com
mission
Senator Clapp said he would insist that
the bill sh ould he 50 worded as TO make
agreements unlawful unless approved
by the commission.
Il cs mot but hope that thu senator
from Minnesota will stand alone IN thus
contention. Mr Root responded
The Senator from Minnesota does not
hesitate TO stand alone in this matter
said Senator Clapp
Senator Root paid high tribute TO
the American railroads He Vas not
prepared 20 place this great business in
the hRnds Of a single bodv. with the power
TO say how u should ma operated Ha
declared that such a change means Gov
eminent ownership. II 10 change. he
said. from the system under which Amer
ica has become prosperous 10 the Con
tinental system Of Europe
The Government, ownership ~ rail
roads would be insyItahle folly, dsclA red
Senator Root and do not believe the
senate IL ready 10 enter on pathway that
American ehterprs . nthe bulldin g ofrall
roads.snd the end Is not yet We al desire
that the railroads be extended TO the
sparsely settled sections of the country
in the further development Of the coItn-
try. but that will not happen n the tra MS
portation companies sr- 10 he subjected
to the arbitrary control ~ the Govern
ment here At Washington
-Doss the Senator from New York con
tend. inquired Senator Bacon OF Georgia
that the power TO Ak rates in@vita bly
leads TO Government ownerships-
Yes replied the Senator from New
TOsk.
We'll, I regret he has not demonstrated
that position said the Georgia senator
-tn my State q commission has Tor more
imam thirty years exercised the arbitrary
power 10 hx rates. Never has = sugSrs-
ton Of government Ownership resulted
The power To IN rates in Georgia alone
which are intrastate rsteS may nor lead
20 such result. said Senator Root but
the power TO AZ the compensation %
railroads for the service they perform is
the chief power Of owneFshiD Thai
result 10 gradually working out in Europe
What I object to IL the Admiration of the