The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1910-01-08


Their declares in favor of such national
legislation and supervision as will pre-
vent the future over-issue of stocks
and bonds by interstate carriers. and in
order to carry out its provisions. 1
recommend the enactment of a law pro-
viding that no railroad corporation
sub ject to the interstate commerce act
shall hereafter. for any purpose con-
nected with. or relating to any part of
it's business. governed by said act,
issue any capital stock without pre-
vious or simultaneous payment 70 1t
of not less than the par value of such
stock, or any bonds or other obliga-
lions Except notes maturing not more
than one year from the date of til eir
issue) without the previous or sim
ul.aneous payment to such corporation
OF not less than the par value IF such
bonds. or other obligations, or If issued
at less than par value, then not with
out such payment of reasonable mar
ket value of such bonds. or Obligations
ascertained by the interstate COM
MERGE commission; and that no plo-
portion, service or other thing than
money shall be taken In payment to
such carrier corporation, or the part of
other required price of such stock.
bond or other obligation, except At the
fair value of such property, services or
other thing as ascertained by the COM
mission; and that such act shall also
contain provisions to prevent the abuse
by the improvident or improper Issue
of notes maturing at period not eX-
ceeding IL months from date, in such
manner as to commit the commission to
approval of a larger amount of stock
or bonds, in order to retro such notes
than should legitimately have been re-
quired.
Such act should also provide for the
approval by the interstate commerce
commission of the amount of stock and
bonds to be issued by any railroad
company subject to this act upon any
reorganization, pursuant to judicial
sale or other legal proceedings in order
to prevent the issue of stocks and
bonds to an amount In excess of the
fair value OF the property which is IL 9
subject of such reorganization.
Complete Notifications.
1 believe these suggested inodfica-
tions in and amendments to the inter
state commerce act would make ii a
complete and effective measure for Sc
curing reasonbleness OF rates and
fairness of practices In the operation Ct
interstate railroad lines, without undue
preference to any individual or class
over any others and would prevent the
recurrence of many of the practices
which have given rise in The past 10 so
much public inconvenience and loss.
BY my direction the Attorney General
has drafted bill to carry out these rec
concentrations, which will be furnished
upon request to the appropriate commit
tee whenever it may be desired.
In addition to the, foregoing amend
ments of the interstate commerce law
the interstate commerce commission
should be given the power after hear
ing, to determine upon the uniform con-
struction of those appliances-such as
sill steps, ladders roof hand holds, run
! ming boards and hand brakes on freight
/ cars engaged in Interstate commerce
used by the trainmen in the operation
of trains, the defects and lack Of uni
formity in which are apt to produce
+ accidents and injuries to railway train
! men,
j Safety CoupIcrs.
The wonderful reforms effected in the
1 number of switchmen and trainmen in
jured by coupling accidents, due to the
enforced introduction of safety couplers
: is demonstration of what can be done
! If railroads are compelled to adopt proper
! safety applianceu
The question has arisen in the opera
ton of the Interstate commerce en-
ployers' liability act as to whether suit
can be brought against the employer
company in such place other than that
of it's home office. The right to bring the
| suit under this act should be as easy
of enforcement as the right of privatc
person not in the con.pany's employ tc
+ sue on an ordinary claim and process
in such suit should be sufficiently served
! If made upon the station agent or the
company upon whom service Is author
lied to be made to bind the company
in ordinary actions arising under state
laws.
Bills for both the foregoing purposes
have been considered by the House OF
Representatives and have been passed
and are now before the. int srstate COM
MERGE committee of the Senate. | earn
estly urge that they be enacted into
law.
There has been marked tendency II
business in this country for 40 years
last past toward combination of capita
and plant In manufacture sale and trans
portation. The moving causes have beer
several; First it has rendered possible
(, great economy; second, by a union Of
/ former competitors 1t has reduced the
probability Of excessive competition, ant
third, if the combination has been ex
tensive enough. and certain methods II
toners have been adopted, the complner'
have secured a monopoly and complete
control Of prices or rates
A combination successful In ach1ev'
! Ing complete control over particular
line of manufacture has frequenh,
been called a trust" ! presume thai
the derivation of the word is to b'
explained by the fact that usua
method of carrying out the plan Of TN
combination has been to put the CAPT
tai and plants Of various individuals
firms, or corporations engaged in th'
same business under the control O
trustees
The increase in the capital of busi
ness for the purpose Of reducing thu
cost of production and erecting econ
omy in the management has become o.
essential In modern progress as tn
change from the hand tool to the ma
chine When, therefore, we come L
construe the object OF Congress II
adopting the so-called Sherman anti
trust act" in 1890. WHEREBY in the frs
section every CONTRACT. combination II
the form OF trust or otherwise, o
conspiracy in restraint Of interstate o
f0refQn trada cor11unhrco. Ia con