Gilpin observer., 1910-12-08

the Philippine islands and has Do
scribed his trip in the report. He
found the islands in state Of tran
guilty and growing prosperity, due
largely to the change in the tariff
laws. which has opened the markets
Of America to the products of the
Philippines. and has opened the Phil
tppine markets to American manu-
factures.
"The year has been one Of prosper
ity and progress in Porto Rico.
Panama Canal.
AT the instance Of Colonel Goeth-
ais. the army engineer oficer in
charge Of the work on the Panama
canal. have Just made q visit to
the Isthmus to inspect the work done
and to consult with him on the
ground as to certain problems which
are likely to arise in the near fu-
ture. The progress Of the work is
most satisfactory. II no unexpected
obstacle presents itself. the canal
will be completed well within the
time fixed by Colonel Goethals, to-
wit, January 1. 1915. and within the
estimate of cost. $376.000.000.
Among questions arising for pres
ent solution 10 the decision whether
the canal shall be fortified. have
already stated to the congress that
strongly favor fertilization and
now reiterate this opinion and ask
your consideration Of the subject in
the light Of the report already be-
fore you made by competent board.
Another question which arises for
consideration and possible legislation
II the question Of tolls in the canal.
This question is necessarily affected
by the probable tonnage which will
90 through the canal.
In determining what the tolls
should be we certainly ought not to
insist that for q good many years to
come they should amount to enough
to pay the interest on the invest
ment Of 100000 900 which the United
States has made In the construction
Of the canal. We ought not to do
this. first. because the benefits to be
derived BY tho United States from
this expenditure is not to be meas
ured solely BY q return upon the In
vestment- II It were then the con-
struction might well have been left
to private enterprise.
my own impression 10 that the
tolls ought not to exceed II per net
ton. and I should recommend that
within certain limits the president be
authorized to M the tolls Of the canal
and adjust them to what seems to
be commercial necessity.
Il cannot close this reference to
the canal without suggesting a. .
wise amendment to the interstate
commerce law . provision prohibiting
Interstate commerce railroads from
owning or controlling ships engaged
in the trade through the Panama
canal. 1 believe such provision
may be needed to save to the people
Of the United States the benefits Of
the competition in trade between the
eastern and western seaboards which
this canal was constructed to secure"
Department Of Justice.
Discussing the affairs Of the de-
partment Of Justice. the president
says:
Il invite especial attention to the
prosecutions under the federal law
of the so-called bucket Shops and
of those schemes to defraud in which
the use Of the mail is an essential
part of the fraudulent conspiracy.
prosecutions which have saved IT,
norant and weak members of the pub
lie and are saving them hundreds Of
millions Of dollars. The violations Of
the antitrust law present perhaps the
most important litigation before the
department, and the number Of cases
filed shows the activity Of the govern
ment in enforcing that statute.
I'm q special message last year 1
brought to the attention Of congress
the propriety and wisdom Of enacting
= general law providing for the in
corporation of Industrial and other
companies engaged in interstate COM
merce. and renew my recommen-
dation in that behalf"
The crying need in the United
States Of cheapening the cost Of liti-
CATION by simplifying judicial proceed
ure and expediting final judgment is
pointed out and action looking to cor
rection Of these evils IL urged.
Tho president recommends an In
crease in the salaries Of federal
judges.
Postal Savings Banks.
AT its last session congress made
p revision for the establishment Of
savings banks by the postoffice de-
partment Of this government by which
under general control Of trustees. con.
sisting Of the postmaster general. the
secretary Of the treasury and the At
torney general. the system could be
begun in few cities and towns. and
enlarged to cover within its opera
tions as many cities and towns and -