The Idaho Springs siftings-news., 1910-01-15

ed how effective this remedy really is.
Experience has shown that many. per-
haps most shippers do not resort to pro-
ceedinss to recover the excessive rates
which they may have been required to
pay. for the simple reason that they have
added the rates paid TO the cost OF the
goods. and thus enhanced the price there
OF to their customers. and that the public
has in effect paid the bill. On the other
hand, the enormous volume of transpor-
tation charges. the great number of sep
arate tariffs filed annually with the in
terstate commerce commission. amount
ing to almost 100000, and the impossible
ity of any commission supervising the
making of tariffs In advance of their be-
coming effective on every TRANSPORTATION
line within the United States to the
tent that would be necessary IL their ac-
tive concurrence were required in the
King OF every tariff. has satisfied me that
this power. II granted. should be CON
ferred in very limited and restricted
form.
Commission Should Probe Change.
I therefore recommend that the inter-
state commerce commission be empow-
cred whenever any proposed increase of
rates Is filed, at once, either on COM
plalnt or of Its own motion. to enter
upon an investigation into the reasona BILE
ness OF such change, and that 1t be fur
ther empowered. in its discretion to
postpone the effective date of such pro-
posed Increase for period not exceed
ing 80 days beyond the date when such
rate would take effect. IL within this
time 1t shall determine that such in
crease Is unreasonable. II may then by
Its order, either forbid the increase at
all. or fix the maximum beyond which
II shail not be made. II. on the other
hand. at the expiration of this time the
commission shall not have completed its
investigation. then the rates shall take
erect precisely as 1t would under the ex-
istns law. and the commission may con-
unue its investigation with such results
as might be realized under the law as II
stands
The claim is very earnestly advanced
pS some large associations of shippers
that shippers OF freight should be en-
powered to direct the route over which
their shipments should pass to destina-
ton. and in this connection it has been
urged that the provisions of section Is
OF the interstate commerce act which
now empowers the commission, after
hearing on complaint to establish
through routes and maximum Joint rate
to be charged. etc. when no reasonable
or satisfactory through route shall have
been already esta hlished be amended so
as to empower the commission to take
such action. even when one existing rea-
sonahle and satisfactory route already
exists. II It be possible. to establish ad-
duonai routes This seems to mo to
be reasonable proposition
The Republican platform OF 1908 de-
clared in favor of amending the inter
state commerce law, but so as ALWAYS tn
maintain the principle of competition be-
tween naturally competing lines, and
avoiding the common control of such
lines by any means whatever One OF
the most potent means of exercising such
control has been through the holding Of
stock of one railroad company by an
other company owning competing line
This condition has grown up under ex-
1-,rt ul,
laws of many states, and to attempt now
to suddenly reverse that policy so far
as 1t affects the ownership OF stocks here
tofore SO acquired, would be to infIict
grievous injury. not only upon the cor
porations affected but upon a large body
Of the investment holding public.
Plan to End Rail Combine.
I. however. recommend that the law
shall be amended SO as to provide that
from and after the date OF its passage
no railroad company subject to the inter-
state commerce act shall, directly or in
directly, acquire any interests Of any
kind in capital stock purchase or
lease any railroad of any other corpora
ton which completes with 1t respecting
business to which the Interstate com
merce act applies. But especially for
the protection of the minority stockhoid-
ers in securing to them the best market
for ther stock. l recommend that such
prohibition be coupled with a proviso
that II Snai nOt operate 10 prevent
corporation which. at the date OF passage
of such act shall own not less than one
half of the entire issued and outstanding
capital stock of any other railroad COM
pany from acquiring all or the remain
der of such stock: nor to prohibit any
railroad company which at the date Of
the enactment of the law is operating a
railroad OF any other corporation under
lease executed OF term not less than
25 years, from acquiring the reversionary
Cf ha nJsaI rail
that such provisions shall not operate to
authorize or validate the acquisition.
through stock ownership or otherwise
of a competing line or interest therein in
violation of the antitrust or any other
law.
The Republican platform of 1903 fur
ther 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 l recommend
the enactment of law providing that
no railroad corporation subject to the in
terstate commerce act shall hereafter for
any purpose connected with or relating
to any part of Its business governed by
said act. issue any capital stock without
previous or simultaneous payment to 1t
of not less than the par value of such
stock or any bonds or other obligations
Except notes maturing not more than
one year from the date Of their issue).
without the previous or simultaneous pay
ment to such corporation Of not less than
the par value of such bonds. or other OBJ
legations. or, II issued at less than their
par value, then not without sucn pay
ment OF the reasonable market value of
such bonds or obligations ascertained
by the interstate commerce commits
sion; and that no property, service.
other thing than money, shall be
taken in payment to such carrier
poratton, of the par or other required
price of such stock, bond other obliga-
ton, except the fair value of such prop
erty. services or other thing ascertained
by the commission; and that such act
shall also contain provisions to prevent
the abuse by the improvident or improp-
issue of notes maturing at a period
not exceeding 12 months from date, in
such manner to commit the commits
sion to the approval of larger amount
of stock bonds in order to retire such
aI,f,i larri at1l,t b.,,.