Daily press. [volume] (Newport News, Va.) 1896-current, 1910-01-11
BONDS MUST BE FOR
LEGITIMATE RAu ROADS
issue Will be Required to Meet the
Approval Of the commission-Meas-
ure Provides for Special Court Com
posed of Five Federal Circuit Judges
Carriers Must Quote Right.
(By Associated Press)

WASHINGTON. ID. C., Jan. "
Representative Townsend. of Michi-
gan. introduced in the house this az
ternoon the bill embodying the recon-
mendations outlined in the special
message of President Taft for amend
m hts 10 the interstate commerce law.
1t provides. among other things, for
a special court composed of five fed>
erai circuit judges TO have exclusive
original jurisdiction over matters
growing out of orders of the inter
state commerce commission.
This court is to be composed OF
five circuit judges who shall serve
by assignment of the chief justice for
a term of five years, but no two OF
the judges terms will expire at the
same time, thus, undsr all circum-
stances, four of the judges will have
had several years experience with
these technical questions. When an
order of the commission is contested
in the commerce court the petition OF
the carrier taking these matters into
the court, will not stay the operation
of the order nor can it be enjoined ex-
cept by the court or by some mem
Der of it and then oily upon notice
and hearing. except in cases where lr-
ref arabic injury would be caused by
such notice and hearing. in which
case the court or judge granting the
injunction must make a finding from
facts to the effect that irreparable IN
jury would result
Provision is made for the proSecu-
ton and defense of all matters taken
into the commerce court by the de-
partment Of justice. and for this pur-
pose it is proposed to appoint an as
sistant to the attorney general who
shall have special charge of such
csses.
Permit Agreement.
AS recommended by the President,
agreements between carriers will be
permitted, provided they are made
public and fled with the commission
and subject to the same rules and
regulation as to business and reason
ableness as are rates and other rec
ognized regulations.
Carries must correctly quote in
writing upon the written request OF
a shipper any rate between the place
of proposed shipment and any other
place on the carriers line or any line
. with which the initial carrier has
traffic arrangements as evidenced by
Unpublished tariffs. In case an er-
gornerous rate is given in writing.
whereby a shipper Is injured, the car
rier, whose agent has made the mis-
qnotation, Is subject TO penalty OF
$3.50 to be collected by and paid to
the government. The bill would en-
power the commission TO suspend the
carriers notice of change of rate pend
ing the decision as to whether the
proposed new rate is just and reason
able.
As for the route the sh' rpers are
given the right TO route his freight"
and classifcations must be just and
reasonable.
The commissioner Is authorized TO
institute proceedings on its own mo-
ton.
MU-t be Legitimate.
II Is proposed 70 prevent the issu-
Gnce Of stock and bonds except for
legitimate railroad purposes and with
the approval OF the commission and
as recommt nded in the special mes
sage Of the President. Il is proposed
10 prohibit every carrier from acqnir-
ing any stock in . line & railroad
which IA any way completes with II.
except as a court may find that the
recple are better ssTved BY such sc
o-ssiiion. n Is not proposed 70 COM
carriers to dispose e stock which
they nov owen In competing lines. and
where a carrier nov owns a majority
Of the stock Of a parallel line & may
BE- permitted q purchase the balance
% the stock. and II carrier Is now
operating under a 25-year or longer
lease a competing line Il may par
chase such road "a he end Of the
lease.
The b.u win Be presented TO TIC