Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1916-05-05
SMITHS FAILURE TO
ANSWER QUERY WILL
BE TAKEN INTO COURT
Continued Prom Page IL

CONTINUED Prom Page IL
and adopted the pen name of I-Rule-
UsT"
Yes. yes" the witness said eagerly,
shaking with laughter.
Not I-Rule-Us.' as you say it, but
IruIus."
How did you happen to adopt that
pen Manner
1T was my fathers name. 1 have
never heard of a man by that name
before, and in as much as the newspa-
pers have published that letter all over
the country. l am glad to have chance
TO explain it."
Mr. Smith said he knew nothing what
ever of the Pizarro-Cortez correspond
ence and regarded IT as a 'cheap at
tempt at humor ana a waste of type
writing labor" He asked permission
tc read a poem. II was granted and,
shaking with laughter, the witness took
out a red-back pamphlet and began to
read.
This he said, "is a prose poem en-
titled Comeritus. a Jim-Dandy One-man
lcomer-dy, not by William Shapespeare."
REFERENCE TO CONFER.
The apparent reference to former Gov
ernor Conner, of Alabama, caused a tit
TEL MI. SHllll Lcdu AOA dDOhN AANS AAAAAA-
utes and then was told that the rest
would be entered in the record.
He was then asked if he and Mr.:
Spencer had considered themselves Cor
tee and Pizarro.
Well" he said, II have heard we
did But it was some lawyer who said
so first. 1 think. And anyhow. gentle
men, isn't this a fine thing for the great
government of the United States to be
investigating
Mr. Smith laughed heartily.
President Smith today declined to in
form the interstate commerce commits
sion whether his railroad has expended
money for political purposes in Georgia
within the past few years, and conceal
ed this expenditure on its books and
/ from its stockholders by charging it
as legal expense.
DECLINES To ANSWER.
The question was put pointedly to
President Smith by former Governor
Folk. of Missouri, chief counsel for the
commission in the inquiry of it's alleged
political activities in Georgia, Alabama,
Tennessee and Kentucky.
What funds has the Louisville &
Nashville railroad expended in Georgia
for political. purposes during the years
1912. IS, Il and 1872" asked Governor
Folk.
Attorney Z. s. Jouett, Mr.. Smiths
counsel. advised him not to answer the
question. Chairman Meyer. of the com
mission, instructed the witness to an
swer.
by advice of counsel, refuse to
answer" said Mr.RSmith.
The refusal of the railroad magnate
TO divulge tho information sought by
the commission respecting the railroad
political contributions in the state in
which il operates. will be taken to the
courts. Governor Folk will seek to get
a decree compelling President Smith to
give the information.
Attorney Jouett explained prior to
/ Mr.. Smiths examination that testimony
would be given by the railroad presi-
dent concerning political expenditures.
Z He said that while the Louisville and
Nashville has nothing TO fear, such dis
closures might embarass many of their
good friends in the south. He declared
the interstate commerce commission is
without legal authority to inquire into
political expenditures on railroads and
only a court decree will get the desired
/ information.
In connection with his inquiry con-
corning political expenditures by the
railroad in Georgia, Governor Folk also
sought to ascertain the extent of the
Louisville and Nashville. financial in
terest in the politics OF Kentucky. Ten
nessee and Alabama. President Smiths
refusal to answer on the advice of coun-
/ sci did not deter Governor Folk from
asking If these political expenditures
had not been covered up on the books of
the company by charge to legal and sus-
pense accounts.
! President Smith. while refusing TO an
swer specific questions concerning po-
I rgss g1.r,ef ,Ny-a F-v
serted vigorously there is no connection
or relation between the disposition of
railroad funds and railroad rates. He
declared that a $2O.0OO,0OO political con-
! tributiOn by the Louisville and Nash
vile would in no way affect its freight
OF passenger tariffs. He combatted the
contention that rates are related to or
controlled by gross revenue.
/ The Milton II. Smith testifying to-
day is not the same Milton II. Smith of
old. except in appearance. He has modi-
mental regulation OF railroads and
/ frankly admitted today that he thought
the interstate commerce commission
should not be deprived OF its right to
fix and regulate rates, notwithstanding
his vigorous opposition to the bestow-
ment of this power on the commission
some years ago.
| President Smith and Chairman Meyer
got into a long discussion over the ex-
'pansiOn OF powers Of the commission
in which Mr.. Smith contended the COM
mission was in a sense aided by lobby
and controlled almost absolutely by
public opinion.
IF you were to favor the railroads
beyond what the people thought they
fought to be favored" said Mr. Smith.
you would be abolished as was the
commerce court"
! where do you think our regulation
will lead toy asked Chairman Meyer
| by government control, reductions
of rates and creation of regulations