The labor journal. [volume] (Everett, Wash.) 1909-1976, 1919-09-12

ny INcbi 'Stu AdIlNG llNhult6lOus VI
Alabama.)
Mr.. Speaker, the entire country
was greatly shocked last week by
the sensational charges made by the
representatives Of the railroad en-
ployees of gigantic frauds perpe-
trated in the capitalization Of our
railroads The charges voiced by
Mr. Plumb, attorney for the rail-
way labor organizations, were so
sensational and far-reaching as to
cause amazement from one end Of
the nation to the other.
The charges made against the
railroads involve not merely fraud
ulent capitalization, but almost ev-
cry form of common stealing. It
was charged that not only had the
capital of railroads been ballooned
by false issues of stock and securi-
ties, but the railroads had been
robbed of their assets through ev-
cry form of big and little graft.
This is a matter of momentous
concern to the people Upon the
capitalization of railroads are the
people required to pay fair re-
turn" through transportation
charges? Every dollar of fraudu-
lent addition to railroad assets or
debts means that a tax through
rates must be levied upon the peo-
pie to make that dollar good. Ey-
cry dollar stolen from the railroads
is a dollar stolen from the people
of the United States.
The charges made against the
railroads have the greatest signifi-
canoe, especially at this time, when
the railroad owners are seeking to
have Congress validate their cap
italization and their debts by legis-
lation. They are demanding Of
Congress a guarantee Of an income
upon their capital and debts. If
Congress yields to their demands,
the burden of all the frauds and
stealing will be securely placed
upon the shoulders of the people.
There will be no hope for them to
unload it in future. This is the big
stake that the railroads are playing
for. This is why they have carried
on the most expensive propaganda
in the history of our nation, why
they have bought newspapers and
have poisoned all the fountains of
public information.
If the charges made by the labor
representatives are true, Congress
and the country ought to know it.
If they are false, the welfare Of the
railroads themselves demands that
they should be exposed. Congress
cannot legislate intelligently upon
the railroad question without fuller
knowledge on these subjects. If
the charges are true, Congress must
legislate having that fact before it.
If they are false we must shape our
action accordingly.
For these reasons it is of the
highest Importance that thorough
investigation of the charges be
made at once. The Investigation
must be made before any action is
taken by Congress upon the pending
railroad measures. We must either
turn back the railroads to their
owners without attempting to deal
with the railroad question in any
permanent wav-turn the railroads
back as near as may be as we re
ceiyed them Or we must know the
facts upon these charges. 1t will
be the greatest blunder in the his
tory Of Congress if we attempt to
legislate upon the railroad issue
without knowledge upon the truth
of these charges,
Now ! am not disposed to treat
these charges lightly. We have
been hearing rumors of these frauds
for many years. Suspicion of dis
honesty in connection with railroad
MANAGEMENT exists very generally
in the minds Of the people. Besides
this. is the fact that representatives
Of over 100000 railroad employees,
comprising some of the most con
sentative labor organizations in the
world. have made the charges.
These labor officials assert that the
charges are true. They are de
handing an investigation of thom.
More than one-tenth Of the entire
population Of the United States
NAV be said to be back Of these
charges. The people back of them
are railroad employees, many OF
whom have an inside knowledge of
the facts. Outside of the railroad
no class of our citizens
has so much knowledge of this sub