The following text may have been generated by Optical Character Recognition, with varying degrees of accuracy. Reader beware!

Regulating Water Carriers S THE outcome of the recent in- A vestigations of shipping combi- nations by the committee on the merchant marine and fisheries of the house of representatives, Congressman J. W. Alexander, chairman of the com- mittee, will introduce a bill to reg- ulate carriers by water engaged in foreign and interstate commerce of the United States. The proposed legislation is of special interest and significance as the first attempt to bring the vast water transportation interests engaged in American for- eign and domestic commerce under a comprehensive system of govern- ment supervision. The bill covers all the recommendations made by _ the committee in its recent report to the house with the exception of those re- lating to the Interstate Commerce Commission's supervisory power over the division of through rates between railroads and domestic water carriers, and the issuance of through bills of lading and the giving of access to their terminal facilities by railroads to water carriers on equal terms. These supervisory powers, it was felt, the Interstate Commerce Commission now possesses under the terms of the Panama canal act, especially in view of the construction given to this act by recent decisions of the commis- sion. Operate Under Agreements The report of the committee showed that it is the almost universal practice for steamship lines, both in the for- eign and domestic trade, to operate under written agreements, conference arrangements or 'gentlemen's under- standings, which have for their pur- pose the control of competition be- tween conference lines or between them and non-conference lines, and explained in detail the advantages and disadvantages of such agreements. The purpose of the bill is to preserve to shippers, through effective government control, the advantages which can be secured only by permitting the several car- riers in any given trade to co-operate through some form.of rate and traffic arrangement, and at the same time prevent the abuses which the. com- mittee found. to. éxist . In view of the evidence collected by the com- mittee, the bill declares all deferred A Bill to Regulate Carriers Engaged In Foreign and Domestic Service rebate arrangements, whether in ex- port, import or interstate trade, to be illegal. Full copies of all agree- ments, understandings and _ confer- ence arrangements (or if oral a com- plete memorandum), as well as all subsequent modifications and cancella- tions thereof,. must be filed for ap- proval with the Interstate Commerce Commission. The commission shall approve or disapprove all such agree- powered to order any agreement can- celled or modified. Such agreements as are approved by the commission shall be excepted from the anti-trust laws. Full jurisdiction is also given to- the commission to supervise all traffic or rate associations to. which any common carrier by water in inter- state commerce may be a party either directly or indirectly. Discriminatory Practices Discriminatory: -practices of - all Kinds; such. as rebatine 'in all: its forms, the giving of unfair preferences or advantages to persons and locali- ties, and discrimination through false billing, false classification or false weighing are made unlawful by the bill. Both foreign and domestic car- riers are prohibited from employing "fighting ships"; retaliating against any shipper by refusing, or threaten- ing to refuse, space accommodations when such are available, or resorting to other discriminating or unfair methods; inducing or influencing any marine insurance company or under- writer to unjustly discriminate against a competing carrier; or giving infor- mation concerning the nature, quan- tity, destination, consignor or con- signee of property offered for ship- ment to the prejudice of the shipper, consignee or any carrier, If any common carrier by water in inter- state commerce reduces its rates to or from competitive points below a fair and remunerative basis with the intent of: driving out or injuring a competitor, it shall not be permitted to. imcrease such rates unless after hearing by the commission it shall be found that such proposed increase rests upon changed conditions other than the elimination of said competi- tion, and jurisdiction is conferred on the commission to: determine ques- fons of fact as to whether the Car- rier did reduce rates with the intent of driving out or injuring a compet- itor. Whenever, after full hearing upon a complaint, or on its own initiative, the commission shall be of opinion that any rates charged by a carrier in foreign commerce are unreasonably high, or unjustly discriminatory be- tween shippers or ports, or unjustly prejudicial to exporters of the United States as compared with their for- eign competitors, or represent an un- just relation between classes of com- modities, the commission is empow- ered to determine, prescribe (and or- der enforced) what shall be just and reasonable ratcs and charges to be thereafter observed as the maximum. Carriers in interstate commerce must file their rates with the commission, and the rates as. filed: cannot be im- creased. except after .10 days' notice to the commission, which is em- powered to determine and_ prescribe the maximum rates to be charged. The commission is also empowered to investigate all complaints, charg- ing unfair treatment of the shipper in the matter of cargo space accom- modations, or unfair or discriminating contracts with shippers, or treatment in the settlement of claims, and to order the discontinuance of all unfair or discriminating practices found to exist. Railway to Water Transportation Several sections have an important bearing on the relation of railroads to water transportation. It is made unlawful for any railroad to discrim- inate between a rail and water route, between the same points, by charging more for the same transportation ser- vice, having due regard for reasonable extra terminal charges and other ex- penses involved on water-borne com- modities moving between said points than they charge on the same kind of commodities for the proportionate share of the all-rail haul. Railroads are prohibited after the passage of the act to acquire any interest either directly or indirectly, in any canal in the United States, or in any com- mon carrier or forwarding company on such canal, unless such acquisition is approved by the Interstate Com- merce Commission as being in 'the public interest. Railroads can also be required by the commission to unfair