carrier, unless such holding shall have been authorized by order of the Commission, upon due showing, in form and manner prescribed by the Commission, that neither public nor private interests will be adversely affected thereby. After this section takes effect it shall be unlawful for any officer or director of any carrier to receive for his own benefit, directly or indirectly, any money or thing of value in respect of the negotiation, hypothecation, or sale of any securities issued or to be issued by such carrier, or to share in any of the proceeds thereof, or to participate in the making or paying of any dividends of an operating carrier from any funds properly included in capital account. Any violation of these provisions shall be a misdemeanor, and on conviction in any United States court having jurisdiction shall be punished by a fine of not less than $1,000 nor more than $10,000, or by imprisonment for not less than one year nor more than three years, or by both such fine and imprisonment, in the discretion of the court.

Paragraph (12), Section 20a.

§ 616. Annual Reports by Commission to Congress.-That the Commission shall, on or before the first day of December in each year, make a report, which shall be transmitted to Congress, and copies of which shall be distributed as are the other reports transmitted to Congress. This report shall contain such information and data collected by the Commission as may be considered of value in the determination of questions connected with the regulation of commerce, together with such recommendations as to additional legislation relating thereto as the Commission may deem necessary; and the names and compensation of the persons employed by said Commission.

Section 21 as amended by Act of March 2, 1889.

The original Act said "reports issued from the Interior Department" where the present Act says "reports transmitted to Congress." The Amendment also added the words "and the names and compensation of the persons employed by said Commission.”

Cited in discussing the scope of the powers of the Commission.-United States v. Lake S. & M. S. Ry. Co., 197 U. S. 536,

49 L. Ed. 870, 25 Sup. Ct. 538; Harriman v. Int. Com. Com., 211 U. S. 407, 420, 421, 53 L. Ed. 253, 29 Sup. Ct. 115.

§ 617. Circumstances Under Which Reduced or Free Fares and Rates May Be Given.-That nothing in this Act shall prevent the carriage, storage, or handling of property free or at reduced rates for the United States, state or municipal governments, or for charitable purposes, or to and from fairs and expositions for exhibition thereat [or the free carriage of destitute and homeless persons transported by charitable societies, and the necessary agents employed in such transportation], or the issuance of mileage, excursion, or commutation passenger tickets; nothing in this act shall be construed to prohibit any common carrier from giving reduced rates to ministers of religion [or to municipal governments for the transportation of indigent persons, or to the inmates of the National Homes or State Homes for Disabled Volunteer Soldiers, and of Soldiers' and Sailors' Orphan Homes, including those about to enter and those returning home after discharge, under arrangements with the boards of managers of said homes]; nothing in this Act shall be construed to prevent railroads from giving free carriage to their own officers and employees, or to prevent the principal officers of any railroad company or companies from exchanging passes or tickets with other railroad companies for their officers and employees.

Part of Section 22 as amended by Act of March 2, 1889. Section 22 was further amended by Acts of Aug. 18, 1922, Feb. 26 and March 4, 1927, giving the Commission authority to require carriers to issue interchangeable mileage tickets and authorizing carriers to establish reduced rates for the transportation of property for the relief of floods, fires, famines, droughts, epidemics, pestilences and other calamitous visitations and disasters.

The original Act used the words "apply to" in the first line where the amended Act uses the word "prevent." The words in brackets in the above copied section were added by Act of March 2, 1889.

Individuals desiring to make proposals to sell the government Indian supplies may receive special rates.-Re Indian Supplies, 1 I. C. C. 22. Pass issued to induce the holder to

throw business to carrier illegal.-Slater v. N. Pac. R. Co., 2 I. C. C. 359, 2 I. C. R. 243. Men eminent for public service not on that account alone entitled to use passes.-Re Carriage of Persons Free or at Reduced Rates, 5 I. C. C. 69, 3 I. C. R. 717. Illegal to grant pass to members of city council.-Harvey v. L. & N. R. Co., 5 I. C. C. 153, 3 I. C. R. 793. Land and immigration agents not entitled to free pass.-Re Complaint of Illinois Central R. Co., 12 I. C. C. 7. Rule announced as to employees of telegraph companies.-Re Railroad Telegraph Contracts, 12 I. C. C. 10. Caretakers of newspapers not excepted by section.-Re Free Transportation of Newspaper Employees, 12 I. C. C. 15. Nor are employees of baggage express companies.-Re Right of Railroad Companies to Exchange Transportation with Transfer Companies, 12 I. C. C. 39. Section cited.-Export Shipping Co. v. Wabash R. Co., 14 I. C. C. 437, 455. Exception does not apply to families of officers or employees.-Ex parte Kohler, 31 Fed. 315, 12 Sawy. 446. Section as originally enacted by making certain exceptions was not intended to prohibit party-rate tickets.-Int. Com. Com. v. B. & O. R. Co., 43 Fed. 37, 45, 3 I. C. C. 192; affirmed, with same holding, 145 U. S. 263, 36 L. Ed. 699, 12 Sup. Ct. 844. To issue pass to person not excepted by section is illegal discrimination.-Re Charge to Grand Jury, 66 Fed. 146. Exceptions do not apply to officers of express companies. -United States v. Wells Fargo Express Co., 161 Fed. 606, 609; affirmed, American Ex. Co. and other Express Co.'s v. United States, 212 U. S. 522, 53 L. Ed. 635, 29 Sup. Ct. 315. Publishers cannot pay for transportation by advertising.United States v. Chicago, I. & L. Ry. Co., 163 Fed. 114, 219 U. S. 486, 55 L. Ed. 305, 31 Sup. Ct. 272. Does not prohibit free transportation of employees of the federal government engaged in the postal service.-18 Opin. Atty.-Gen. 587.

Notes of Decisions Rendered Since 1909.

See notes Section 408, ante.

Carriers may give reduced rates to municipal authorities, but what they may do is a very different thing from what they may be required to do.-Metropolitan Paving Brick Co. v. A. & R. R. Co., 17 I. C. C. 197, 204; Field v. S. R. Co., 13 I. C. C. 298; Carnegie Board of Trade v. P. R. Co., 28 I. C. C., 122, 129;

Dairyman's Supply Co. v. P. R. Co., 28 I. C. C. 406, 408. Excursion tickets not to be issued as to abuse the privilege.Weber Club Intermountain Fair Ass'n v. O. S. L. R. Co., 17 I. C. C. 212. Mileage books voluntarily issued are subject to the general provisions of the statute.-Commutation Rate case, 21 I. C. C. 428, 442, citing cases. Free pass situation discussed. Colorado Free Pass Investigation, 26 I. C. C. 491. A carrier subject to the Act may exchange transportation with other common carriers not subject to the Act.-U. S. v. Erie R. Co., 213 Fed. 391. "Mileage books" discussed and cases cited. Re Mileage Books, 28 I. C. C. 318; Re Mileage, Excursion and Commutation Tickets, 23 I. C. C. 95. The Supreme Court of Georgia held that carriers having issued mileage books, such books could be regulated by the Railroad Commission of the State, and that then the Commission could require the carrier to accept the mileage on trains without demanding an exchange for a ticket.-Railroad Commission of Ga. v. L. & N. R. Co., 140 Ga. 817, 80 S. E. 327, cited in Wadley So. v. Georgia, 235 U. S. 651, 59 L. Ed. 405, 35 Sup. Ct. 214. See, contra, Lake S. & M. S. Ry. Co. v. Smith, 173 U. S. 684, 43 L. Ed. 858, 19 Sup. Ct. 565; State v. Boneval, 128 La. 702, 55 So. 569, Ann. Cases, 1912 C. 837; Virginia-Commonwealth ex rel. v. A. C. L., 106 Va. 61, 55 S. E. 572, 7 L. R. A. (N. S.) 1086, 117 Am. St. Rep. 983, and North Dakota State v. Great N. Ry. Co., 17 N. D. 370, 116 N. W. 89, St. Louis, Mo. Illinois Passenger Fares, 41 I. C. C. 584, 600. Commission may remove discrimination on account of reduced rates granted to municipalities.-N., C. & St. L. Ry. v. Tennessee, 262 U. S. 318, 67 L. Ed. 999, 43 Sup. Ct. 583.

§ 618. Existing Remedies not Abridged or Altered; Pending Litigation Not Affected. And nothing in this Act contained shall in any way abridge or alter the remedies now existing at common law or by statute, but the provisions of this Act are in addition to such remedies: Provided, That no pending litigation shall in any way be affected by this Act. Part of Section 22 as originally enacted.

Right of courts to enjoin an illegal advance in rates before they become effective not supplanted by special remedies granted by the Act to Regulate Commerce.-Tift v. So. Ry. Co., 123 Fed. 789, 138 Fed. 753; affirmed, So. Ry. Co. v. Tift,

148 Fed. 1021, 206 U. S. 428, 51 L. Ed. 1124, 27 Sup. Ct. 709; Jewett Bros. v. Chicago, M. & St. P. R. Co., 156 Fed. 160; Kalispell Lumber Co. v. Great N. R. Co., 157 Fed. 845. Reversed because rate had become effective before injunction applied for, 165 Fed. 25, 91 C. C. A. 63; Kiser v. Cent. of Ga. Ry. Co., 158 Fed. 193; Macon Grocery Co. v. Atlantic C. L. R. Co., 163 Fed. 736; reversed, Atlantic C. L. R. Co. v. Macon Grocery Co., 166 Fed. 206, 92 C. C. A. 114; Nor. Pac. Ry. Co. v. Pacific Coast Lumber Mfg. Asso., 165 Fed. 1; Union Pac. R. Co. v. Oregon & W. L. Mfg. Asso., 165 Fed. 13, 91 C. C. A. 51. Contra, if the rates have become effective.-Potlatch Lumber Co. v. Spokane Falls & N. Ry. Co., 157 Fed. 588; Great N. Ry. Co. v. Kalispell Lumber Co., 165 Fed. 25, 91 C. C. A. 63. Circuit courts cannot enjoin the taking effect of an illegal advance prior to action by the Interstate Commerce Commission.-Atlantic Coast L. R. Co. v. Macon Grocery Co., 166 Fed. 206. While a court has jurisdiction to enjoin an illegal advance before it becomes effective, it cannot do so merely as ancillary to a complaint before the Commission.-Jewett Bros. v. Chicago, M. & St. P. Ry. Co., 156 Fed. 160. The cases holding that injunctions may be granted, supra, also hold that jurisdiction in the federal courts being exclusive, suit may be brought wherever the defendant can be found and served. In Sunderland Bros. v. Chicago, R. I. & P. R. Co., 158 Fed. 877, it was held that suit could only be brought in the district of the residence of either the complainant or the defendant. Notwithstanding this section, courts have no jurisdiction to award damages for excessive rates prior to a determination by the Commission that such rates are excessive.-Tex. & Pac. Ry. Co. v. Abilene Cotton Oil Co., 204 U. S. 426, 446, 51 L. Ed. 553, 561, 27 Sup. Ct. 350. But this decision does not mean that an illegal advance may not be enjoined.-So. Ry. Co. v. Tift, 206 U. S. 428, 51 L. Ed. 112, 27 Sup. Ct. 709. Same effect as Abilene case, supra,-Gatton v. Chicago, etc., R. Co., 95 Iowa, 113.

This section must be construed with the whole Act, which Act, so construed, gives the Commission jurisdiction to determine the questions of the lawfulness and unlawfulness of rates. Mitchell Coal & Coke Co. v. P. R. Co., 230 U. S. 247, 57 L. Ed. 1472, 33 Sup. Ct. 916; same-styled case below, 181 Fed. 403, 183 Fed. 908; Morrisdale Coal Co. v. P. R. Co., 230