The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1911-03-27
nENLANDS TELLS
DUTY Of H|SPARTy
In Letter to Champ Clark He
Outlines What Democrats
Should Do.
WANTS TARIFF REVISION
Believes That Railway Stocks and
Bonds Should Be
Regulated

Washington March 26.--It is the
duty of the incoming Democra tic House
10 show the good faith OF the Demo-
cratic party by passing bills carrying
out the pledges OF the party at the
extra session beginning April 4, and
at the next regular session of Congress,
declares Senator Newlands. of Nevada.
This view was expressed in a letter ad-
dressed to Champ Clark, tho prospcc-
tive Speaker of the House, which was
made public last night
Senator Newlands takes it for grant
ed that the Democrats will pass a
bill in the House revising the tariff,
or some of the tariff schedules, as
we'll as passing upon the reciprocity
treaty with Canada. lie, therefore,
gives his attention 10 matters out
side the tariff. The reform measures
which should be taken MP as soon as
possible BY the House, he says. relate
principally to the three branches OF
portation, or the railroads.; interstate
| trade, or the trusts, and interstate
| exchange, or banking.
Question OF Transportation.
The Democrats, declares Senator
Newlands have supported all the va
rious measures amendatory Of the In
tcrstate commerce act which have been
passed. He says:
All OF our platform requirements
on the transportation question have
been complied with except those re.
lating TO a valuation Of the physical
properties and to the control OF stock
and bond issues Of railroads ged
IN interstate commerce. The Demo
cratic party should pass a bill EN-
hracing these subjects
In order to combine numerous State
railroads into a great Interstate
system it has become the custom of the
railroads TO organize holding COM
panies under the laws OF a single state.
in whose legislation the other states
comprised within The railroad system
have no participation. 1t seems to
me that in railroad corporate orgauiZa-
ton we should pursue. SO far as prac-
tic2ble. the Federal system which pre-
walls IN government. and that If 1t is
necessary 10 unionize State railroads
for the purpose of creating an inter-
state system of transportation, 1t
should be done through the organiza-
ton of national holding companies
created under a national law, in the
making OF which all the states inter
csted can participate, instead Of under
a State law, In the legislation Of which
only the people OF a single State can
participate. We Will thus, While pre-
serving our State railroads as cor
porate units. relying upon their re-
spcctive states for their organization
and powers. be able 10 fcderalize them
under a Federal law for interstate pur-
poses The stock ana bond issues OF
such holding companies. Of course,
should be subject to the control OF the
Interstate Commerce Commission"
Discusses the Trusts.
Turning TO the question of trusts,
Senator Newlands says:
The administration of the antitrust
act has been lame and hating. chang
ing With the shifting incumbents of tle
| Attorney Generals office. and accord
! ing TO the requirements Of political
J eNigencies. AS result practically
! no progress has been made in the con.
| troll Of the trusts. ana while a few suits
| have been prosecuted to a succcssfu
result and others arc now in process
! OF prosecutions there exist to-day owe,
500 trust organizations of cnormou.
capitalization practically without reg
uiation or control. Experience shoul,
teach us that with reference to inter,
state trade a commission or Boar,
should be organized. similar 10 The In
terstate Commerce Commissions viii
H powers or investigation. of ccndenpa
:. ZION and OF recommendations an,
Win view, willie preserving the goo,
arising from commercial combination
TO curing the pernicious practices con
aected herewith.
Such legislation; will lie necessary
Whatever may be the action Of tn
Supreme Court upon the pending cases
! II such combinations are held 10 H.
, legal the regulation OF their price
and practices becomes public necns
*lty; it they arc held 10 he ulera,
] 'hen there should be some law which
willie permitting large capitali2a,io,
and the ownership OF many plants u,
single corporation engaged in intor
state trade. viii protect The publi
from the abuses attendant upon sutl
I. large capitalization and the opprcs
. SION exercised By t."
Federal system or I,nnI<jnp
+ senator Newlanda advocates The on
} actmcnt OF law Ia fcdcralizn m
system Of banking, Just as The svs
tern OF transportation IS foderali2ed
In each State he would organize IA
uonai reserve association in.sy!i,L al
the banks OF the suites, .lots nn,Ionn
and state engaged III h1crstnt,' OK