Evening star. [volume] (Washington, D.C.) 1854-1972, 1910-03-07
DEFENDS TAFT BILL. CAST UNDER SPELL
Administration Measure Tefair Says He Was Hypno
Control of Railways. tized and Robbed.
SENATE COMMITTEE ACTS DIFFICULT TO AWAKE HIM
Declares Provisions Are Physicians Hospital Give In
With Republican Promise tions of Srychnine.
TWO MINORITY REPORTS FILED STORY SOME SUPPORT
minis and Clapp-Newands' But Appearances Did Not In
Administration Measure on
Control of Railways.
SENATE COMMITTEE ACTS
Majority Declares Provisions Are in
Accord With Republican Promise.
TWO MINORITY REPORTS FILED
Dissenting Views of Senator'S Cum.
minis and Clapp-Newlands'
Individual Opinion.

Declaring that the provision allowing
common carriers to enter into traffic
agreements is In direct accord with the
principles of the republican platform of
1905 and that the new regulations gov
ernins the issue of stocks and bonds are
n long step toward future overissue of
stock and bonds by railroad corporations.
the majority members of the Senate COM
nittee on interstate commerce filed a de-
fense of the administration railroad bill
in the Senate today The report is
signed by Senators Elkins, Cullom. Aid
rich. Kean. Crane and Nixon. 1t will be
printed in the Congressional Record along
viii the minority report of Senators
Curlmns and Clapp, which attacks the
uII. and the Individual report of Sena-
tor New lands. which favors the national
Incorporation of railroads.
Compliance With Promise.
The republican platform is quoted in
Connection with the discussion of the pro-
risior permitting traffic agreements
The provision is. in the opinion Of a
majority of your committee, in exact
compliance with the declaration in the
rcpublican platform of 1905, which is in
the following language:
We believe, however, that the inter-
state commerce law should be further
amended SO as to give railroads the
right to make and publish traffic agree
rnents subject to the approval of the COM
mission, but maintaining always the
principle of competition between natu-
rally competing lines and avoiding the
common control of such lines by any
means whatever
THE contention that this declaration
only be compiled with by requiring
the approval of such agreements by the
interstate commerce commission before
Of your committee, destitute of the
slightest foundation The right to make
agreements subject to the approval of
the commission is obviously very diff
ferent thing from the right to make
agreements only with the previous ap-
proval OF the commission. The section In
question carefully preserves the principles
so clearly enunciated s,,,, in the platform:
language could it be contended that this
carefully guarded provision involved any
abandonment of the principle OF COM
netition between naturally competing
Hires.
I'm order TO prevent any misunder-
Standing on the subject. the section ex-
pressly declares that its provisions shall
rot be construed TO Iegalize pooling
agreements between carriers, which are
expressly prohibited by section of the
Interstate commerce act"
Defense of Bond Provision.
The provisions of the bill regarding
the issue of stocks and bonds are
strongly defended
while 1t may be objected that the
provisions of this act do not go far
enough in regulating the capitalization
of railroad corporations" say the
majority. no candid critir can fail to
admit that they constitute A long step
national legislation and supervision as
Will prevent the future overissue Of
stocks and bonds by interstate carriers.
and that they go far prudent
legislation should go in entering upon
this new field OF national restraint upon
the issue Of stocks and bonds by inter
Indorsing the proposed court Of com
merce. the report says that the prin-
cipal argument in favor of it's creation
IS that ii will prevent delay and con-
fusion in the enforcement of the law
by creating one tribunal specially
versed in the complicated and often
technical questions arising out Of the
application OF the interstate commerce
law n railroads and other carriers sub
ject to the act.
Court Rulings Quoted.
Supreme Court rulings are cited In sup
port of the contention that the scope OF
review of the commissions orders in the
court will not De wider than il is now In
tie circuit courts. II is contended that
courts ought not TO be endowed with
merely administrative powers such as are
tnvolved In the exercise of the commits
sion's discretion The claim that there
viii not he enough business to keep the
tribunal occupied is not regarded seri-
"usly by the committee
The administration bill gives to the At
torney General entire charge and control
of the interests of the government in all
Cases and proceedings in the court OF
commerce and in the Supreme Court on
appealed cases. This is change from
the existing law. The committee saws
that the present system combines in the
members or the Interstate commerce COM
mission the functions of investigator.
Judge and prosecutor. which is declared to
or procedure
View of the Majority.
Commenting upon the provision for in
vestisation by the commission of proposed
increases IN rates. the report says that a
majority of the committee is of opinion
that the commission should be authorized
to commence the investigation OF pro-
posed increase in rate or charge in ciassi-
rratiOr as soon as il Is fled. The major
itv supports also the proposition that al
auy time before the rate or classification
viii become effective tho commission
should he empowered 10 postpone the eff
fective date for a reasona bile period 10
o,abe II 70 investigate the proposed ac-
tIGu
I'll" bill tXes this reasonable period al
sixty days and although the commiss sion
recommended that this time be extended
to - DAYS, tlte committee says II feels
that with due diligence the commission
can determine within the time allotted
Wnctacr the increase should be approve
~ 10 the provisions relating to I .ouch h
r'Ites and through rates. the shipper 5
rlgh: 70 route shipments and the making
or annual reports. the nIi jority follows
the iiae OF argument advanced by At
torney General Nickersham I'm his pub
hsheG abstract of tho bill
Relates to Mergers.
Concerning the important section re-
latiug 70 the purchase OF competing lines
the report says:
SOME criticism of jnis section has been
made upon the ground that il did not
prohibit the acquisition by means of a
holding corporation Of stocks of com
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