REMO Bf
Affairs of State Are Dealt With
at Length in Annual
Message.
BUT LITTLE ABOUT TARIFF
! _______
President Discusses Work of
Tariff Board—Ship Sub*
sidy Is Urged.
I
- |
■WORK ON PANAMA CANAL
i ______
Need of Legislation Anticipating Com
pletion of the Ditch Is Pointed
Out—Change In Postal Rates—
Parcels Post and Postal
Savings—Economy
Urged.
Washington, Dec. C President
Taft’s huiiuhI message to congress
contained 40,000 words, and is said to
be the longest document of lln kind
ever written. In it he reviews the
work of each of the administrative
departments beginning with the state
department. He devotes comdderable
space to the satisfactory settlement
of the fisheries dispute with England
through the medium of the Hague
Tribunal, and recounts both the his
tory of the fisheries dispute and the
establishment of the tribunal.
la connection with the state depart
ment he tells of the Important poli
tical happenings of the past twelve
months throughout the entire world,
and the action of this country In oon
aectlou with them.
Tariff Negotiations.
Referring to the negotlatlou of new
tariff agraeassnta President Taft
my
“Tha now tariff law, la 8actlon S,
respecting tha maximum and mini
mum tariffs of tha United States,
which provisions came Into effect on
April 1, 1910, Imposed upon ua re
sponsibility of determining prior to
that date whether any undue discrim
ination axlated against the United
States and its products In any coun
try of the world with which we bus
talned commercial relations
“In the rase of several countries in
stances of apparent undue discrimina
tion against American commerce were
found to exist These discriminations
were removed by negotiation. Prior
to April I, 1910, when the maximum
tariff was to come into operation with
respect to Importations from all those
(ounirica In whos - favor no proclama
tion applying the r.'lniniutn tariff
•ho ’<1 be If ed It the president, one
hum' id and thirty four s..ch procla
mations were issue i.
■’T! ic series of proclamations cm
hrn< t d the entire ommercia! world
nrd It n ( • lie mint:.urn tariff of the
1 r.lt( d Slates Iih« be n given unlver
fr! ■ • 'cation. th;t < unifying to tho
tat'-' 'itcry e'en ter of our trade
n . is tint ion- a countries
“Mi “• »•<! advar *e to tee com
rer . . ' the t tried States were ob
’ l tough these tariff settle
t
" der and cloaer
1 1 ' • e Pomlulon of
'•lint to ad
'- 'cp m and mint*
mi t.i pi. i. tie tariff act of
Argi t. linn. It. proved nitit'.mily
benci clal it Ji.su’ies further efforts
for t < r* adjustment of the commer
cial relations of the two countries so
that t! eir commerce may fellow the
channels natural to contiguous cottn
trie: and be commensurate with the
steady expansion of trade and indua
try on both sides of the boundary
line "
snip Subsidy.
The presidt nt urges such action as
he believes will increase American
trade abroad, and says.
“Another instrumentality indispen
sable to the unhamapered and natural
development of American commerce Is
merchant marine. All maritime and
commercial nations recognize the Im
portance of this factor The greatest
commercial nations, our competitors,
Jsalo isly foster their merchant mu
rlne Perhaps nowhere is the need
for rapid and direct mall, passenger
and freight communication quite so
urgent as between the United States
end Latin America. We can secure
in no other quarter of the world such
Immediate benefits in friendship and
commerce as would flow from the es
tablishment of direct lines of com
munlcatlon with the countries of
Latin America adequate to meet the
requirements of a rapidly increasing
appreciation of the reciprocal depen
dence of the countries of the western
hemisphere upon each other's prod
ucts, sympathies and assistance.
"I alluded to this most important
subject In my last annual message; it
has often been before you and I need
not rechpltulate the reasons for its
recommendation. Unless prompt ac
tion be taken the completion of the
Panama canal will find tl Is the onlv
great commercial nation unab'e to
avail in International maritime busi
ness of this great contribution t- the
means of the world’s commercial in
tercourse."
Governmental Expense.
To no one subject does he devote
more space than to the expense of
conducting the various government
departments and the urgent need for
economy, and In this connection he
says:
"Every effort has heen made by
each department chief to reduce the
estimated cost of his department for
the ensuing fiscal year ending June
30, 1912. I say this In order that con
gress may understand that these esti
mates thus made present the smallest
sum which will maintain the depart
ments. bureaus and ofllees of the gov
eminent and meet Its other obllga
dons under existing law. and that a
cut of these estimates would result
In embarrassing the executive branch
of the government In the performance
of Its duties This remark does not
■ PPly to the river and harbor esti
mates, except to those for expenses of
maintenance and the meeting of obli
gations under authorised contracts,
nor does It apply to the public build
ing bill nor to the navy building pro
gram Of courae, aa to these con
gress could withhold any part or all
of the estimates for them without In
terfering with the discharge of the or
dinary obligations of these functions
of Its departments, bureaus and of
flees
"The Anal estimates for the year
ending June 30, 1912, as they have
been sent to the treasury on Novem
ber 29 of this year, for the ordinary
expenses of the government, including
those for public buildings, rivers and
harbors, and the navy building pro
gram, amount to $030,494,013.12 This
is $52.964,887.36 less than the ap
propriations for the fiscal year end
ing June 30, 1911. It Is $16,883,163 44
less than the total estimates, Includ
lug supplemental estimates submitted
to congress by the treasury for the
year 1911. and is $5,674,659.39 less
than the original estimates submitted
by the treasury for 1911.
"These flugres do not Include the
appropriations for the Panama canal,
the policy In reapect to which ought
to be, and la, to spend as much each
year as can be economically and ef
fectively expended In order to com
plate the canal aa promptly as possl
ble, and therefore, the ordinary mo
tive for cutting down the expense of
the government does not apply to ap
propriations *or this purpose.
AgBiuai me numMM or expendi
tures. $640,4*4,011 II, we hare estimat
ed receipts for next year $680,000,000.
making a probable surplus of ordinary
receipts over ordinary expenditures of
about $60,000,000. or taking Into ac
count the estimates for the Panama
canal which are $66.*20.847 6*. and
which will ultimately be paid In bonds,
it will leave a deficit for the next
year of about $7,000,000, if congress
shall conclude to fortify the canal.”
The Tariff.
The President devotes but little
space to the subject of the tariff law,
and of It he says:
"The schedules of the rates of duty
In the Payne tariff act have been sub
Jected to a great deal of criticism,
some of It just, more of It unfounded,
and to much misrepresentation. The
act was adopted In pursuance of a
declaration by the party which Is re
sponsible for it that customs bill
should he a tariff for thw protection
of home Industries, the measure of
the protection to he the difference be
tween-the cost <i( producing the im
ported article r-broad and the cost of
producing it at home, together with
such addition to that difference as
might give a tea.-,enable profit lo tin
home producer. The basis for the
criticism of this tariff is that In re
spent to ti number of the schedules
the declared ncj-ure was not follow
ed. hut a higher difference retained or
Inserted by way of undue dlserlmina
lion in favor of cm tain industries and
manuiactures. Little, If any, of tb<
criticism of the ta iff lias been direct
ed against the protective principlt
above stated: but the main body oi
the criticism has been hased on the
attempt to conform to the measure of
protection was not honestly and sin
Purely adhered to."
The Tariff Board.
The president refers to the appoint
Kftrnt of n board of experts to invest!
gate the cost of production of various
articles included In the schedules of
the tariff, and says:
"The tariff board thus appointed
and authorized has been diligent in
preparing itself for the necessary In
vestigatlons. The hope of those who
have advocated the use of this board
for tariff purposes is that the question
of the rate of a duty imposed shall
become more of a business question
and less of a political question, to be
ascertained by experts of long train
ing and accurate knowledge. The
halt In business and the shock to busi
ness, due to the announcement that a
new tariff bill is to be prepared and
put In operation will be avoided by
treating the schedules one by one as
occasion shall arise for a change tn
the rates of each, and only after a re
port upon the schedule by the tariff
board competent to make such report.
It Is not likely that the board will be
able to make a report during the pres
ent session of congress on any of the
schedules, because a proper examina
tion Involves an enormous amount of
detail and a great deal of care; but I
hope to be able at the opening of the
new corgresB, or at least during the
session of that congress, to bring to
Its attention the facts In regard to
those schedules in the present tariff
that m- prove to need amendment.”
Our Island Possessions.
•'Dur !'j the last summer, at my
request, e secretary of war visited
the Philippine Islands and *--is de
scribed his trip In the report. He
found the islands in a state of tran
quillity and growing prosperity, dun
largely to the change in the tariff
laws, which has opened the markets
of America to the products of the
Philippines, and has opened the Phil
ippine markets to American manu
factures.
"The year has been one of prosper
ity and progress in Porto Uico.
Panama Canal.
"At the instance of Colonel Goeth
als, the army engineer officer in
charge of the work on the Panama
canal, I have just made a visit to
the isthmus to inspect the work done
and to consult with him on the
ground as to certain problems which
are likely to arise In the near fu
ture. The progress of the work is
roost satisfactory, if no unexpected
obstacle presents Itself, the canal
I will be completed well within the
time fixed by Colonel Goethals, to
wlt, January 1, 1916, and within the
estimate of cost, $375,000,000.
"Among questions arising for pres
ent solution is the decision whether
the canal shall be fortified. 1 have
already stated to the congress that
I strongly favor fortification and 1
now reiterate this opinion and ask
your consideration of the subject In
the light of the report already be
fore you made by a competent board.
"Another question which arises for
consideration and possible legislation
Is the question of tolls in the canal.
This question Is necessarily affected
by the probable tonnage which will
go through the canal.
"In determining what the tolls
should he we certainly ought not to
insist that for a good many years to
come they should amount to enough
to pay the Interest on the Invest
ment of $100,000,000 which the United
States has made in the construction
of the canal. VVe ought not to do
this, first, because the benefits to be
derived by the United Stales fron
this expenditure is not to be meas
ured solely by a return upon the in
vestment. If It were then the con
struction might well have been leti
to private enterprise.
My own Impression is that tin
tolls ought not to exceed $1 per ne
ton, and I should recommend tha
within certain limits the president b
authorized to fix the tolls of the cana
and adjust them to what aeema U
be commercial necessity.
'1 cannot close this reference to
the canal without suggesting a* a
wise amendment to tbo Interstate
commerce law a provision prohibiting
Interstate commerce railroads from
owning or controlling ship# engaged
In the trade through the Panama
canal. I believe suah a provision
may be needed to save to the people
of the United States the benefits of
the competition In trade between the
eastern and western seaboards which
thin canal was constructed to secure.”
Department ef Justice.
Discussing the affaire of the de
partment of Justice, the president
says:
"1 Invite especial attention to the
prosecutions under the federal law
of the so-called 'bucket shops,' and
of those schemes to defraud In which
the use of the mall Is an essential
part of the fraudulent conspiracy,
prosecutions which have saved Ig
norant and weak members of the pub
11c and are saving them hundreds of
millions of dollars. The violations ot
the anti trust, law present perhaps the
most Important litigation before the
department, and the number of cas'’s
filed shows the activity of the govern
ment in enforcing that statute.
"In a special message last year I
brought to the attention of congress
the propriety and wisdom of enacting
a general law ptoviding for the in
corporation of industrial and other
companies engage I in Interstate com
merce. and I renew my recommen
dation in that behalf."
Thp crying need in the United
States of cheapening the cost of liti
gation by simplifying judicial proced
ure and expediting final judgment Is
pointed out and action looking to cor
rection of these evils is urged
The president recommends an in
crease in the salaries of federal
judges.
Postal Savings Banks.
"At Its last session congress made
p revision for the establishment of
savings banks by the postoffice de
partment of this government by which
under general control of trustees, con
slating of the postmaster general, the
secretary of the treasury and the at
torney genera), the system could be
begun In a few cities and towns, and ,
enlarged to cover within Its opera i
tions as many cities and towns and as
large a part of the country as seemed
wise. The initiation and establish i
ment of such a system has required a |
great deal of study on the part of I
the experts in the postoffice and treas
ury departments, but a system has ]
now been devised which is believed to
be more economical and simpler in Its
operation than any similar system
abroad. Arrangements have been per
fected so that savings banks will he
opened In some cities and townB on
the 1st of January, and there will be a
gradual extension of the bejieflta of
the plan to the rest of the country."
"It la gratifying,” says the president,
"that the reduction in the postal
deficit has been accomplished without
any curtailment of postal facilities.
On the contrary, the service has been
greatly extended during the year In
all Its branches.”
Second-Class Mall.
"In my last annual message I In
vited the attention of congress to the
Inadequacy of the postal rate Imposed
upon second-class mall matter In so ;
far as that Includes magazines, and
showed by figures prepared by experts
of the postoffice department that the
government was rendering a service
I ' I
to the magazine:- costing many mil
lions in excess of the compensation
laid. An answer was attempted to
this by the representatives of the
magazine s, and a reply was filed to
this answer by the postofllce depart
ment. The utter inadequacy of the
answer, considered in the light of the
reply of the postofllce department, 1
think must must appeal to any fair
minded person. Whether the answer
was all that could be said in bthalf of
the magazines Is another question. I
agree that the question is one of fact;
but I insist that if the fact is as the
experts of the postofllce department
show, that we are furnishing to the
owners of magazines a service worth
millions more than they pay for It,
then Justice requires that the rate
should be increased. The Increase In
the receipts of the department result
ing from this change may be devoted
to increasing the usefulness of the de
partment in establishing a parcels
post and in reducing the cost of flrst
class postage to one cent. It has been
said by the postmaster general that a
fair adjustment might be made under
which the advertising part of the
magazine should he charged for at a
different and higher rate from that of
the reading matter. This would re
lieve many useful magazines that are
not circulated at a profit, and would
not shut then* out from the use of the
malls by a prohibitory rate.
"With respect to the parcels post, I
respectfully recommend its adoption
on all rural delivery routes, and that
11 pounds—tlm intornatlon *1 limit—be
made the 11mIt of carriage In such
post.”
Abolish Navy Yards.
The president calls attention to cer
tain reforms urged by the secretary of
the navy which he recommends for
adoption, and continues:
“The estimates of the navy depart
ment are $5,000,000 less than the ap
proprlallons for the same purpose last
year, and included in this is the build
ing program of the same amount as
that submitted for your consideration
last year. It Is merely carrying out
the plan of building two battleships a
year, with a few needed auxiliary ves
sels. 1 earnestly hope that this pro
gram will be adopted.
"The secretary of the navy has
given personal examination to every
navy yard, and has studied the uses
of the navy yards with reference to
the necessities of our fleet. With a
fleet considerably leas than half the
■Iso of that of the British navy, wo
havo shipyards more than doublo the
number, and there are several of those
shipyards expensively equipped with
modern machinery, which, after Inves
tigation the secretary of the navy be
lieves to be entirely useless for naval
purposes He asks authority to aban
don certain of them and to nseve their
machinery to other places, whore II
can bo made of use."
"The complete success ef our coun
try In arctic exploration should not re
main unnoticed. The unparalleled
achievement of Peary In reaching the
north pole, April 6, 1909, approved by
critical examination of the most ex
pert scientists, has added to the die
Unction of our navy, to which he be
longs, and reflects credit upon his
country. I recommend fitting recognl
tion by congress of the great achieve
ment of Robert Kdwln Peary."
Conservation.
"The subject of the conservation of
the public domain has commanded the
attention of the people within the last
two or three years.
“There is no need for radical re
form in the methods of disposing of
what are really agricultural lands. The
present laws have worked well. The
enlarged homestead law has encour
aged the successtul farming of lands
In the veml-arld regions.
"Mjthlug can be more important In
the matter of conservation than the
treatment of our forest lands. It was
probably the ruthless destruction of
forests in the older states that first,
called attention to the necessity lor a
halt in the waste of our resources
"In the present forest reserves there
are lands which are not properly for
est, and which ought to be subject to
homestead entry. This has caused
some local Irritation. We are care
fully eliminating such lands from for
est reserves or where their elimina
tion Is not practical listing them for
entry under the forest homestead act.
"Congress ought to trust the execu- i
Live to use the power of reservation j
only with respect to land most valu- ,
able for forest purposes. During the
present administration. 62,250,000 \
acres of land largely non-timbered, j
have been excluded from forest re- '
serves, and 3,500,000 acres of land
principally valued for forest purposes
have been Included In forest reserves,
making a reduction in forest reserves
of non-timbered land amounting to
2,750,000 acres."
Coat Lands.
"The next subject, and one most Im
portant for your consideration, is tbe
disposition of the coal lands in the
United States and Alaska. At the be
ginning of this administration there
were withdrawn from entry for pur
poses of classification 17,8(7,000 acres.
Since that time there have been with
drawn by my order from entry for
classification 78,977,745 acres, making
a total withdrawal of 96,844,746 acres
Meantime of the acres thus with
drawn 1,061,889 have been classified
and found not to contain coal and1
have been restored to agricultural en
try, and 4,726,091 acres have been
classified as coal lands; while 7,993,239
acres remain withdrawn from entry
and await classification. In addition
337,000 acres have been classified as
coal lands without prior withdrawal,
thus Increasing the classified coal
lands to 10,429,372 acres.
“Under the laws providing for the
disposal of coal lands In the United
States, the minimum price at which
'• nd‘ r.-e permitted to be sold Is $10
u.u ucio, but the abcretary of the in
cr.ur u tae power to fix a maximum
price and to sell at that price
“As one-third ot all the coal supply
Is hc-id by the government, it seems
wise that it should retain such con
ioi over the mining and the sale as
the relation of lessor to lessee fur
nishes.
"The secretary of the interior thinks
there are difficulties in ihe way of
• ■asing public coal lands, which ob
jections he has bet forth in his re
port, the loree of which 1 freely con
cede. i tmireiy approve his stating
at length in his report of the objec
tions in order that the whole subject
may be presented to congress, but
alter a full consideration, for the rea
sons 1 have given above, I favor a
leasing system and recommend it"
Water Power Sites.
“Prior to March 4, 1909, there had
been, on the recommendation of the
reclamation service, withdrawn from
agricultural entry, because they were
regarded as uselul for power sites
which ought not to be disposed of as
agricultural lands, tracts amounting
to about 4,00u,000 acres. The with
drawals were hastily made and In
cluded a great deal of land that was
not useful for power sites. They were
intended to Include the power sites
on 29 rivers in 9 states. Since that
time 3,475,442 acres have been re
stored for settlement of the original
4,000,000 because they do not con
tain power 6ites; and meantime, new
withdrawals have been made which,
with other restorations based upon
held examination, result in withdraw
als at present effective of 1,218,356
acres on vacant public land and 2u2,
197 acres on entered public land, or a
total of 1,420,553 acres. These with
drawals made from time to time cover
all the power sites included in the
first withdrawals and many more, on
151 rivers and in 12 states. The dis
position of these power sites involves
one of the most difficult questions pre
sented in carrying out practical con
servation.
"The subject Is one that calls for
new legislation. It haB been thought
that there was danger of combination
to obtain possession of all the power
■Ites and to unite them under one
control. Whatever the evidence of
this, or lack of It, at present we have
had enough experience to know that
combination would be profitable, and
the control of a great number of pow
«r at will within certain sections.
"However this may be, It is the
plain duty of the government to see
te It that In the utilisation and devel
opment of all this Immense amount
of water power, conditions shall be
Imposed that will prevent extortion
mte chargee, which are the usual ao
companlment of monopoly.
"Tho question of conservation Is
not s partisan one, and 1 sincerely
hope thst even In the short time of
the present session consideration may
be given to those questions which
hnve now been much discussed, and
that action may be taken npon them."
Alaska.
“With reference 10 the government
of Alaska, 1 have nothing to add to
the recommendations I made In my
last message on the subject. 1 am
convinced that the migratory charac
ter of the population, its unequal dis
tribution, and its smallness of num
ber, which the new census shows to
be about 50,000, in relation to the
enormous expanse of the territory,
make it altogether impracticable to
give to those people who are In
Alaska today and may not be there a
year hence, the power to elect a leg
islature to govern an immense ter
ritory to which they have relation so
llttie permanent.”
pensions.
"The uniform policy of the govern
ment in the matter of granting pen
sions to those gallant and devoted
men who lought to save the life of |
the nation In the perilous days of the;
great civil war, has always been of!
the most liberal character. Those1
men are now rapidly passing away 1
The best obtainable official statistics \
show that they are dying at the rate
of something over three thousand a
month, and, in view of their advanc
ing years, this rate must inevitably in
proportion, rapidly increase. To the!
man who risked everything on the
field of battle to save the nation in
the hour of its direst need we owe a
debt which has not been and should
not be computed in a begrudging or
parsimonious spirit."
Bureau of Corporations.
Referring to the report of the com
missioner of corporations, the presi
dent says:
"The commissioner finds a condi
tion in the ownership of the standing
timber of the United States other
than the government timber that calls
for serious attention. The direct in
vestigation made by the commissioner
covered an area which contains 80
per cent, of the privately-owned tlm- j
her of the country.
"His report shows that one half of
the timber In this area Is owned by
200 individuals aad corporations;
that 14 per cent, is owned by these
corporations, and that there Is very
extensive tnter-ownershlp of stock,
as well as other circumstances, all
pointing to friendly relations among
those who own a majority of this tim
ber, a relationship which might lead
to a combination for the maintenance
of a price that would be very detri
mental to the public Interest, and
would create the necessity of remov
ing all tariff obstacles to the free Im
portations of lumber from other coun
tries.”
Bureau of Labor.
“The commissioner of labor has been
actively engaged In composing the dif
ferences between employers and em
ployees engaged in Interstate trans
I
pcrtaiion, under the Drdman act. Joint
ly with the chairman of the interstate
commerce commission.
"I cannot speak in too high terms of
th*- success of the two officers in con
ciliation and settlement of controver
sies which, but for their interposition,
would have resulted disastrously to all
interests.
Civil Service Commission.
"The civil service commission has
continued its useful duties during the
year. The necessity for the mainte
nance of the provisions of the civil
Pi i vice law was never greater than to
day. Officers responsible for the pol
icy of the administration, and their
immediate personal assistants or depu
ties, should not be included within the
classified service, but In my Judg
uient, public opinion has advanced to
the point where it would support a bill
providing a secure tenure during effi
ciency for all purely administrative
officials. I entertain the profound con
viction that it would greatly aid the
cause of efficient and economical gov
ernment and of better politics If con
gress could enact a bill providing that
the executive shall have the power
to Include In the classified service all
local offices under the treasury depart
ment, the department of justice, the
postoffice department, the Interior de
partment and the department of com
merce and labor, appointments t«
which now require the confirmation
of the senate, and that upon such
classification the advice and consent
of the senate shall cease to be re
quired In such appointments. By
their certainty of tenure, dependent on
good service, and by their freedom
from the necessity for political activ
ity, these local officers would be irv
duced to become more efficient public
servants.
Economy and Efficiency.
“The increase In the activities and
In the annual expenditures of the fed
eral government has been so rapid
and so great that the time has come
to check the expansion of government
activities in new directions until we
have tested the economy and efficiency
with which the government of today is
being carried on. The responsibility
rests upon the head of the administra
tion. He is held accountable by the
public, and properly so. Despite tbs
unselfish and patriotic efforts of th*
heads of departments and other*
charged with responsibility of govern
ment, there has grown up in this coun
try a conviction that the expenses ot
government are too great. The ft)a
damental reason for the existence Un
detected of waste, duplication, and bad
management Is the lack of prompt, a»
curate Information.
"I have requested the head of eaek
department to appoint committees on
economy and efficiency In order to ee
cure full co-operation In the movement
by the employees of the government
themselves.
'1 urge the continuance of the ap
proprlation of $100,000 requested for
the fiscal year 1912.
"My experience leads me to betlcv*
that while government methods arc
much criticized, th^.,bad results—if wc
do have bad results—are not due to a
lack of zeal or willingness on the pari
of the civil servants."
Interstate Commerce.
"There has not been time to test the
benefit and utility of the amendment*
to the interstate commerce law con
tained in the act approved June 18,
1910. The law as enacted did not con
tain all the features which 1 recom
mended. It did not. specifically de
nounce as unlawful the purchase by
one of two parallel and competing
roads of the stock of the other. Nor
did it subject to the restraining influ
once of (he Interstate Commerce com
mission the power of corporations en
gaged in operating interstate railroads
to issue new stock and bonds; nor did
it authorize the making of temporary
agreements between railroads limited
to 30 days, fixing the same rates for
traffic between the same places.
“I do not press the consideration ot
any of these objects upon congress at
this session.
"The Interstate commerce commis
sion has recommended appropriations
for the purpose of enabling it to enter
upon a valuation of al! railroads. This
has always been within the Jurisdic
tion of the commission, but the requi
site funds have been wanting. Statis
tics to the value of each railroad would
be valuable for many purposes, espe
cially if we ultimately enact any lim
itations upon the power of the Inter
state railroads to Issue stocks and
bonds, as I hope we may.
"For the protection of our own
people and the preservation of our
credit In foreign trade, I urge upon
congress the Immediate enactment of
a law under which one who, In good
faith, advances money or credit upon
a bill of lading Issued by a common
carrier upon an Interstate or foreign
shipment can hold the carrier liable
for the value of the goods described
in the bill at the valuation specified
In the bill, at least to the extent of the
advances made In reliance upon it.
"I further recommend that a punish
ment of fine and Imprisonment be im
posed upon railroad agents and ship
pers for fraud or misrepresentation In
connection with the Issue of bills of
lading issued upon Interstate and for
eign shipments.
"Except as above, I do not recom
mend any amendment to the Interstate
commerce law as it stands. I do- not
now recommend any amendment to
the anti trust law. In other words. It
seems to me that the existing legisla
tion with reference to the regulation
of corporations and the restraint of
their business has reached a point
where we can stop for a while and wit
ness the effect of the vigorous execu
tlon of the laws of the statute books
in restraining the abuses which cer
tainly did exist and which roused the
public to demand reform.”
**
