522 TWENTY-THIRD ANNUAL YEAR BOOK— PART VII 



you folks in this room realize that today there is finally drawing to a 

 close an investigation which will lay the foundation for freight and pas- 

 senger rates for this and future generations to pay. What part have you 

 taken in that proceeding? The final arguments on basic issues occurred 

 within the past two months. In that hearing there was not one shippers' 

 organization of any kind or character represented. 



Mr. Hale Holden a few months ago told me of his relations to that 

 investigation. Mr. Holden eight years ago took the initiative in arousing 

 the railroads to the necessity for coordinated action. He had no part in 

 the work after it was finally outlined. He said that it was with great 

 difficulty that he persuaded the railroads to take part. They said, "What 

 is the use? The commission has the funds. Let them spend the money. 

 They are as honest as you and I." Of course the reply, the only all- 

 sufficient one, was, "The courts are also honest, but when you have a 

 case in court involving only $10,000, we will say, you fight it from start 

 to finish. You present your side of the case." 



As a result, the railroads of the United States organized a group of 

 expert accountants, lawyers, clerks and engineers, totaling several hun- 

 dred. During the past eight years, they have spent $63,000,000 in this 

 work. The Interstate Commerce Commission has spent $23,000,000. And 

 finally it now looks as though the leading counsel for the railroads in that 

 work is going to sit on the supreme bench of the United States. 



In striking contrast to Mr. Holden's success, I want you to listen to 

 mine. Eight years ago, I urged upon the National Association of Rail- 

 way Commissioners that the public must organize for this proceeding. 

 "You are laying the basis for freight and passenger rates for generatons 

 to come. In the future, the foundation for that will be this valuation, plus 

 additions as they shall be made from time to time. This is the most 

 colossal case ever tried in history. The railroads will be organized. The 

 commission is the judge. Is it right that one side shall be presented most 

 thoroughly and efficiently and the other side stay at home twirling their 

 thumbs?" 



As a result, the National Association of Railway Commissioners em- 

 ployed one lawyer and one stenogapher to fight that battle from the pub- 

 lic side; and then they placed upon that lawyer all of the additional func- 

 tions of a local representative in Washington, D. C, and nine-tenths of the 

 bulletins issued by that lawyer are concerning other subjects than the 

 valuation matter. I want to say, however, that Mr. Benton is a man of 

 splendid ability and magnificent character, doing a fine piece of work. 



I want to say before leaving this subject that in making these com- 

 ments I do not for one instant attack the honesty, the fair-mindedness 

 of the railroads. I simply say they are doing what decent business men 

 ought to do. They have organized to present their side, and you are a 

 bunch of blamed fools because you have not done likewise. 



The valuation proposition is simply typical of so many other matters 

 pending. In hearings relative to the grain exchanges, I was told that in 

 no previous hearing before a congressional committee were any specific 

 facts given except of the most incidental and haphazard character; that 

 the representatives of the farm interests came and doled out a lot of 



