In every conceivable way are the net revenues of the corporations
depleted, and needless burthens imposed upon the public, but one of
the worst is the system of paying commissions for the diversion of
traffic to particular lines, often the least direct. The more common
practice is to pay such commissions to agents of connecting lines
where it is possible to send the traffic over any one of two or more
routes, and the one which may, by the payment of such commission,
secure the carrying of the passenger (or merchandise) may be the least
desirable, and the one which would never have been taken but for the
prevarications of an agent bribed by a commission to make false
representations as to the desirableness of the route he selects for
the confiding passenger.
This is but one of many phases of the commission evil, another being
that these sums are ultimately paid, not by the corporations, but by
the users of the railways, and but for the payment of such commissions
the rates might be reduced in like amounts. Aside from commissions
paid for diverting passenger traffic great sums are paid for
"influencing" and "routing" freight traffic, and these sums, while
paid to outsiders, or so-called brokers, are frequently divided with
railway officials. When the writer was in charge of the transportation
accounts of a railway running east from Chicago, it was a part of his
duties to certify to the correctness of the vouchers on which
commission payments were made, and he became aware of the fact that
one Chicago brokerage firm was being paid a commission of from three
to five cents per hundred pounds on nearly all the flour, grain,
packing house, and distillery products being shipped out of Chicago
over this railway, no matter where such shipments might originate,
many of them, in fact, originating on and far west of the Mississippi
River; and when he objected to certifying to shipments with which it
was clear that the Chicago parties could have had nothing to do, he
was told, by the manager, that his duties ended when he had
ascertained and certified that such shipments had been made from
Chicago station. From investigations instituted by the writer, he soon
learned that some one connected with the management was deeply
interested in the payment of the largest sums possible as commissions.
Public-domain text, read in full here on John Shaqi.
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