New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-04-18
E. H. Outerbridge's Warn
ing StartIes Senator's at
Tolls Hearing.
DITCH BIG MISTAKE,
SAYS GEORGE l.. FOX
Declares United States VIII Be
Deprived of Wages Now Going
TO Railroad Employees.
frrom IN, Tribune Rnrcsu. ]

iflnn iNF lilnNNF hIfhht
Washington. April ia grave warning
that tho Panama Canal may have n dis
astrous effect on transcontnental rail-
roads was sounded before tho Senate
Committee on lntcrocehnlo Canals TO-DAY
BY Eugene H. Outerbridge, who appeared
with n delegation representing the New
yorl, Chamber Of Commerce TO advocate
tho repeaI OF the tolls exemption clause.
Tho witness. who was followed WIN
close attention By the members OF mo
committee. declared that there might DC
grave danger to the railroads In inc
Panama Canal and that already the busl-
ness OF tho country was suffering from
the campaign against the railroads. re-
sulting I'm the restrlcatlon OF expehdl-
lures.
81 cant determine" said Mr.. outer
bridge. what tho effect OF tho opening
OF the canal will be on ocean transpor-
tation but I am fearful OF what the ell
feet will be on tho transcontnental ran
roads. Next TO agriculture the rallroauS
have the greatest purchasing power Il
this country. and n they have 10 curtain
their expenditures the effect upon busi-
ness is noticeable at once. Tho trouple
with the business condition Of tho coun-
try to-day Is the fact that the railroads
cannot spend money as they have here
tofore Their revenues pour into every
village and hamlet and when they are
reduced the purchasing power OF the
country is reduced
Mr. Outerbridge declared that there
was no Justification for the exemption OF
tolls on coastwise vessels. ION moral
and economical grounds and from the
point OF view Of business and pohtical
cxpedicncy." ne said, "the repeal Dill
ought to be passed"
The testimony OF Mr.. Outerbridge
startled the committee, which had not
hitherto considered this phase or the
Panama Canal question. Tho suggestion
that the railroads, already staggering
under load Of difficulties, might suffer
disaster by the diversion OF freight 20 the
all-water route from coast TO coast by
way Of the Panama Canal was received
with the utmost gravity.
4 similar suggestion was made by
George /. Fox, Of New Haven, who said
that the people OF the United states would
be deprived OF the wages which 20 to
railroad men for hauling the freight
across the continent which would be d.
verted to the canal when IT is opened,
The British and German ships. he said,
would profit 10 the extent OF the loss Of
tho United States. I'VE have a ire
mendous white elephant on our hands.
he declared, emphaticaly. THE canal
was n tremendous mistake. And the ad-
vocates OF tolls exemption ask So per cent
OF the people OF the United States 20
pay for tho advantage accruing 10 not
more than per cent. II Is deadbeat
socialism. as against duties treat social
ISM. II is robbing Peter 10 pay Paul
Colonel George W. Cocktails was asked
b. Senator Simmons to-day 10 appear
before the committee. Il possible II he
IS not able TO testify before the time
allowed for hearings comes 10 an end a
statement from him will probably be in
corporated in the record OF the committee
hearings, Seth Low was expected 10 tes-
tlfy to-day but was not able 10 appear
Not all OF them" was the reply.
Welding Ring, OF the executive board Of
the New York Chamber OF Commerce IA
vored repeal on tie ground that the OK
emption clause was subsidy and vio-
lated treaty obligations, and said that his
organization had voted for repeal by 1888
TO Z.
Senator Bristow. opposing repeal. asked
Mr. Ring why il tolls are charged through
the Panama Canal, they should not be
charged for entering New York and other
harbors and rivers on which large sums
OF money have been spent. Senator Sim
mons contended there was no dlscrimna-
tion between American and foreign ships
coming to American ports and rivers.