Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-11-20
W0ULDACT AS CHECK
Government Owned Line to the
Pacific Urued.
PLEA OF BERNARD N. BAKER
Capitalists Refuse Support to indie
pendent Project.
FEAR TO HURT TRUNK LINES
Tells Senate Interstate Commerce
Committee of His Plan to Use
Panama Canal.
PLEA OF BERNARD N. BAKER
FEAR TO HURT TRUNK LINES

Bernard N. Baker of Baltimore. who
undertook to organize an Independent
steamship line to operate by way OF
Panama and to take advantage of the
post office subsidy act, told the inter-
state commerce committee of the Senate
today that the financial interests of the
country had refused to give support to
the independent project.
Mr.. Baker urged that the government
go into the steamship business as a
method of regulating rates from coast to
coast by both water and over the trans
continental railroads. A government
owned line. he said, would give the inter-
troll over transcontinental railroad rates
by enabling it to establish fair and
| reasonable Atlantic-to-Pacific rate basis.
The Independent steamship line pro-
jected by Mr.. Baker was undertaken as
the result of conferences with the War
Department and after Attorney General
Wickersham had decided that it would be
entitled to the postal grants. Bids for
the postal contracts must be made next
Saturday, November %. and Mr.. Baker
said he had failed thus far to obtain suf-
| ficient guarantees to go after the gov
eminent contracts
Refusal of Capitalists.
He did not charge that the transcon-
tinental railroads had directly influenced
banks and financial institutions not to
support the Independent line, but he said
the financial companies had declined to
give support for fear of injuring the value
of transcontinental railroad securities.
ut is difficult to prove that there has
been any concerted opposition to this in
dependent project" said Mr.. Baker.
I'VE want to know whether the rail-
roads are doing anything to prevent this
competition" said Senator Cummins.
Il have not found any interest doing
anything directly contrary to law" said
Mr.. Baker, but l have found objection
on their part to putting on any fast
steamship line by way of the canal
Proposed Independent Company.
Mr.. Baker said that in 1909, as the re-
suit of conferences with Secretary of War
Wright, he agreed to undertake the
financing Of company that would build
ten steamships fitted to be army trans
ports or naval auxiliary vessels. When
Secretary Dickinson came into Office the
project WIS temporarily dropped. In
July, 1911. Attorney General Wickersham
gave a formal opinion that Panama and
COlOn we're foreign ports ana that the
post Office subsidy payments could be
given to steamship lines TO develop trade
TO those ports.
do you believe there is concerted ac-
ton on the part of the railroads or their
hackers to prevent the establishment of
line of steamships between the east and
west coasts?'' asked Senator Cummins.
only so far as they desire to con-
troll the route themselves" said Mr..
Baker.
He said the Pacific Mail Steamship
Company, controlled by the Southern Pa
cific railroad. is planning to use the canal
What is needed, he declared, is a line of
fast steamers with refrigerating pants,
capable of carrying fruits, so there may
Blames Railway Influence.
Mr.. Baker said he could give no spe-
cif1c instance where railroad influence
had prevented the pledge of support to
the proposed Independent line. He was
convinced. however, that much support
had been withheld because of this in
fluenee; the wide distribution of railroad
investment makes it almost impossible.
ship line that is likely to offer serious
competition to the railroads.
Senator Brandegee. who is chairman of
the Senate committee on interoceanic
canals. expressed the hope that satisfac-
tory independent steamship service can
be established through the canal. Mr..
the commerce laws that the interstate
commerce commission have control of
the rates on all water routes operating
between American ports.