The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-01-21
POLICY WILL REST
ON ITS OUTCOME
Acknowledgement Turns Whole
Matter Over to Interstate
Commerce Commission to
Investigate and Deter
mine What Is
Best to Do.

/. mission of the CON pulsory competitive
I provisions of the Sherman antitrust
law will be the means of solving, IN
large measure. the so-called telephone
trust problem" according to.Attorney-
/ General Wickersham, who to-day an
nounced he had referred the whole
/ question to the commission for invee-
tigation and action
This move terminates the investiga-
tlOn by the Department OF Justice OF
the alleged $500 600 900 telephone trust.
against which independent telephone
! companies have made charges of unfair
| treatment and of the employment or
methods destructive of competition
/ The conn missions investigation VIII be
far-reaching in effect and out of 1t 10
expected to grow the outline of a govern
mental policy with respect to the tele-
phone or telegraph. 1t must be deter
mined according to officials. whetner
the telephone or telegraph monopoly
under rigid regulation would be toll
Grated by the Federal government;
or whether the government should take
| over utilities. or finally competition
should be enforced under the Sherman
antitrust law and monopoly prohibited
VIII Make Investigation.
Chairman Lane. of the Interstate
| Commerce Commission. formally an
nounced tonight that in responseeto
/ information submitted TO it by the At
/ .ornev-General to-day the Interstate
| Commerce AOrnIliSciOl Wiz hidhC OIL
investigation into the operations, rates
and practices of the various telephone
| companies.
Pointing to the complaints which
have been lodged with the governments
against the American Telephone and
Telegraph Company. generally known
as the Bell Telephone System, the
Attorney General says in his COM
munication to the commission:
| Many of these questions. 1t seems
to me- cannot be appropriately dealt
with by the law department OF the
government but should be made the
subject of regulation after careful
investigation of the whole subject by
| vour honorable body. The powers
vested in you by statute appear to me
| TO be ample to enable you to make a
comparative and thorough investiga-
| ton of the matter. 1t may be that
as a result of such investigation you
will conclude that additional iegis-
lation should be suggested to Congress
Quite a number of States have enacted
/ laws vesting in public utilities COM
| missions or similar bodies. Jurisdiction,
which had been executed in some
| instances in respect to the acquisition
of the lines of one company by another,
and with respect &c the interchange
of business and facilities between
/ telegraph and telephone lines State
regulation however. cannot be
satisfactory method of ultimate So
luton of the questions arising out OF
these operations. The value OF teie-
phone service depends largely upon the
facility of connecting every individual
telephone user with any point upon
anv telephone line in the United
states. but this should be attained
under conditions which secure to the
puhtic the maximum of convenience
upon the most reasonable terms con-
/ sistent with fair return upon the in
=
vision and control by your honorable
body
Treated as Common Carriers.
Dealing with the powers of the COM
mission MT Wickersham points out
that the interstate commerce act makes
telephone telegraph and cable con-
NAMES engaged in interstate or foreign
business common carriers: requires
that all their rates shall! be Just and
reasonable. and prohibits the granting
Of undue OF unreasonable preference to
any one
THAT section of the act requiring
common carriers to file with the COM
mission. and keep open to public in
sDection schedules of rates. fares and
charges. the Attorney-General adds.
probably is not broad enough to extend
10 telephone and telegraph companies
He holds however. that the act con-
fcrs upon the commission ample power
of investigation on its own initiative.
and he points 20 the section of the law
specifically authorizing the commis-
sion 10 Ak just and reasonable rates
and to prohibit unjust and discrimina-
, tory practices by telephone and tele
raph companies.
Under the provisions or the statute
referred to" continues the Attorney
General. the commission l.. therefore.
/ fully empowered to make the most
thorough investigation into the rates
and practices Of the telephone COM
I NAMES to determine what are reasonable
maximum rates to be charged for COM
nunication from one state 20 another
I and the practice 90 be observed IN AT
OF the dealings Of the telephone com
panics with the public and with other
/ companies. No comparative inFcstisa-
I ,ion into the organization. manage
{ r,ons and conduct Of telephone COM
panies. has. 20 Tar as am aware ever
h.e, had bv governmental agencies
D The investigation OF this department.
has dealt only with certain suggested
d vtofafions OF the sherman antitrust
act but the whole problem OF the
relation OF the government TO the
. .r,.r.r,ission or intelligence BY feie-
. nhonc and telegraph is one OF such Tar
reaching importance and 80 Affects the
4 welfare Of the entire community. that
I. apocars to me TO be a subject which
shouid be thoroughly studied from the
standpoint Of the public IN order that
= governmental policy with respect %
Z fhe telephone and telegraph business
may be infeiiigcnfly Formulated and
ADOPTED The Interstate Commerce
/ Commission is clothed With the powers
above referred 20 and the subject -
one affecting such general public m
tcrc~fs that 7 venture 20 SUGGEST th1s
YOU undertake Iris work " these eue-
/ re.fioue commend themselves % your
honorable body I bex 70 add that Al
T Of ire Information which ha- been col
l~cfed IN fhis department bca-tnE Upon
re subject would be chccrfuiiy put -
your disposal
Caf15ne me CON mission = attention 20
The immensely % the subiect. Mr.
Wickershsnn said
There are said % Dc son> 49,