The Elk Mountain pilot., 1921-02-10
RAILROADS NEW scHEmt

Failing to secure further suspen-
sion of the anti trust laws forbiddine
dealings between concerns that have
common directors, and doubtful OF
their ability to secure new legislation
to facilitate manipulation of and
grating in supply and equipment
contracts, the railroad managers have
adopted a new plan of operations that
will give them the results desired.
TIE Clayton act makes it unlawful
for railroads to purchaTe materials
from equipment concerns in which
railroad officials have a substantial
interest. 1t aims at interlocking di.
rectorates. But there is nothing in
the law to prevent dealings between
railroads and equipment concerns
that are owned by the same parties,
so long as they set up different boards
of directors. That is what they are
now doing. Railroad directors are
resigning from the boards of equip
ment companies, making everything
fine and lovely for further raids upon
the public.
The House of Morgan owns or con-
trolls the Pennsylvania Railroad 1t
also owns or contro's the Baldwin Lo-
comotive Works. Directors of the
Pennsylvania are also directors of
Baldwin's. When this direct contact
is broken, and separate boards estab-
lished, the Pennsylvania may deal
with Baldwin's, paying excessive
prices, without any interference from
the law.
1t is Clearly established that large
financial groups in Wall street are
backing everything evil and vicious
that has developed during the past
ten years. They are behind the con-
tract CRAFTS that are costing the ma
tion more than billion dollars yearly.
The money that the railroads take
from the people is turned into the
treasures of the supply companies.
and then it goes into the Golfers Of
the bankers. And the Clayton law
will not stop this until radically
amended.
That an effort to secure protection
will be made early during the extra
ordinary session of Congress is fore
casted Whether or not it will be
successful depends entirely upon the
militancy of public opinion and the
response of Congress. Privilege has
been having things pretty much it's
own way during the past few years.
Congress has been eager to serve it.
But change is noted. Recent de-
velopments have scared Congressman
who are anxious to keep their places
of profit and power, and they are less
inclined than heretofore to take
chances with the popular temper. At
this moment there is no disposition
to increase opportunities for loot, and
tomorrow Congress may have turned
about and set seriously to
the task of affording protection
against railroad cupidity.
Recent disclosures concerning loco
motive and car repair contracts
made by many railroads with inside"
concerns have forced railroad mana
ge's to make explanations, unconvinc-
ing to be sure, but the best that can
be offered. This in itself is a marked
change from their cocksure attitude
of few months ago, when they bold
ly dictated to Congress and advised
the public that it might be damned
for all they cared. Today they know
that a great deal of their propaganda
has been digested and. discarded, and
they again are face to face with a
popular demand that railroad man.
agement be reasonably honest and
efficient. The next turn of the wheel
will bring them up against restric-
tive regulations that will measurably
eliminate graft from railroad man.
agement, and that day will mark the
beginning of the end of private own
ership and operation of the means of
transportation.-W Weekly News Letter.