The Sun.
London, England, 1851-09-15 00:00:00

stone further stated that he was quite prepared to
undertake a reference for a complete division of ter-
ritory, if confided to him in a definite shape, and sug
gested that the three parties should endeavour to agree
to such a reference. Mr. Denison expressed his
willingness to receive a proposition from the London
and North. Western and Midland Companies for a
territorial division, and his inclination to agree to a
general reference to Mr. Gladstone thereon, provided
his board could be induced to adopt the same. The
manager read letters from Mr. Seymour Clarke, under
date 18th and 19th of July, the latter containing the
proposition for a temporary arrangement as respects
the August excursion traffic, which was responded to
by a resolution of the joint committee, on the ground
that they were anxious to bring about an entire and
final settlement of all differences, and cordially agree-
ing in the adoption of a general reference as suggested
by Mr. Gladstone. At an adjourned special meeting
of the Midland and London and North-Western joint
committee, on the 23d of July, 1851, a communi-
cation from Mr. Denison, M.P., was read, in refer-
ence to the resolution of the joint committee. It
stated—

" With respect to the resolutions of the joint com-
mittee, suggesting that it is absolutely requisite that ar-
rangements, including a territorial division, should be
agreed upon before a satisfactory and permanent traffic
arrangement can be established; and that for this par-
pose the whole of the papers in connexion with the past
negotiation should be referred to Mr. Gladstone, with
full power to award such arrangements as he might
think proper. Mr. Denison has to observe, that not
having the opportunity.
.of referring to his board,
or to any committee authoriz 0:1 to act in this
behalf, be can only at present express his
own opinion, which is, that in the present state
of affairs, the towns' lines of the Great Northern
Company not being open, and their system therefore
incomplete, and the London and North Western having
formed treaties with other companies, by which the
Great Northern Company is shut out from interchange
of traffic to places with which, but for such treaties the
traffic would bo exchanged, it appears to him impracti-
cable at present to negotiate for any perma-
nent division of territory, and that whatever arrange-
ments may be contemplated, they must necessarily be
temporary until the hostile treaties alluded to have ex-
pired. It appears to Mr. Denison, that if the division of
traffic for the towns named in the reference to Mr. Glad-
stone were concluded, so much ground would be removed
from disputation. Mr. Denison regrets to learn that
since the parties met on Saturday last, the London and
North-Western and Midlands have further reduced pas-
senger fares between Yorkshire and London. This is a
hostile step, which must necessarily lead to an immediate
reduction of the goods' charges, and would seem, on the
part of the London and North-Western . and Mid-
lands, to be provoking the very issue which their reso-
lutions deprecate. The only practical suggestion Mr.
Denison can at present make is, that the companies
should, in order to allow time for the progress of negoti-
ations, adopt equal fares for the ensuing two months to
the towns referred to by Mr. Gladstone, with an under-
standing that the fares for places to be approached
through those towns should not be less than the fares to
those towns themselves; and, in other respects, the pro-
posals of Mr. S. Clarke, of the 19th inst., should be
adopted. Mr. Denison is obliged to request that he
may be informed, before four o'clock to-morrow, whe-
ther the London and North-Western and Midland Com-
panies will immediately restore the passenger fares from
Yorkshire, otherwise the Great Northern Company will
feel themselves at liberty to take any step they may
think necessary. Mr. Denison would feel obliged by the
answer being sent under cover to Mr. S. Clarke, at
King's-cross station."
The joint committee passed a resolution urging on
Mr. Denison the propriety of at once convening his
board, in the hope that their decision might be ob-
tained without further delay, and with a view to
meet the present position of the Great Northern Com-
pany in respect to making a permanent agreement
with the London and North-Western and Midland
Companies, the committee suggested that the pro-
posed agreement might be limited to a period of three
years.
At an adjourned meeting of the committee on the
24th of July, a letter from Mr. S. Clarke, of the
Great Northern Company, was read. It stated that
Mr. Denison would lay the proposition of the two
companies before the Great Northern board, but that
they would not meet before the sth of August, and it
was impossible to procure an earlier meeting. The
letter went on to say—
" This being too late for the August arrangements, I
must necessarily make them independently; but I must
really trouble you at once to tea me whether I am to un-
derstand that you continue the reduction of passenger
fares you have adopted at Leeds, &c.; as, if so, you lay
me under.the rieeessity of taking a similar couple with_
regard to goods. Mr. Denison' authorised me to add
that for the two months proposed to allow time for a
treaty, the suggestion of the North-Western and Mid-
land with respect to the places beyond the agreed terms
may be adopted, vis., that the rates to such places may
be increased at a milage rate,"
The joint committee then passed a resolution, to
the effect that they had met on the subject three
several times in the hope of bringing the negotiations
with the great Northern Company to a satisfactory
conclusion, and they exceedingly regret the delay,
not so much to their own personal convenience as to
the overwhelming interest of the three bodies of
proprietors, which are seriously injured by the delay
in the settlement of the matter in dispute. The joint
committee reminded the Great Northern Railway
Board that it was now five months since that
board abandoned the agreement for equal rates and
fares, which the London and North-Western and
Midland boards were willing to continue, and that
it having been agreed, after much negotiation, to
refer to Mr. Gladstone the question of an equit!ble
division of the traffic receipts to certain specified
towns, the only question upon which a serious differ•
ence of opinion existed was, whether the traffic be-.
yond those towns should be competed for at equal
rates, and in a manner consistent with a friendly
agreement upon other po nts, or in such a manner as
must inevitably render nugatory the agreement even
as proposed by the Great Northern Railway board ;
and the joint committee most urgently requested the
Great Northern to consider that this was the only
point which prevented the reference to Mr. Gladstone
being proceeded with, and producing an amicable
arrangement beneficial to all parties. That the pro-
posal now made by Mr. Denison, through Mr. S.
Clarke, to accept the last proposition of the joint
committee for the short period of two months, could
not be acceded to because it would leave undecided
the general question.
At a general meeting of the Great Northern board,
held the 29th of July, the following resolution was
passed :
" Resolved,—That this board considers, until the
whole system of the Great Northern lines is open, and
the treaties for their exclusion from other lines are with-
drawn by the London and North-Western companies, it
is impracticable to arbitrate for a territorial division.
" That this board is still ready to go on with the sealed
reference to Mr. Gladstone, and to arrange for a money
division of traffic by arbitration, and for equal fares to
&l places to which it has access, and to adopt the same
course as to all other places as soon as the treaties for
their exclusion are withdrawn ; but this company cannot
pledge itself to abstain from competition at those places
to which by such treaties it is denied access by other

lines.
" That this board is also ready to agree with the Lon-
don and North-Western and Midland companies for an
immediate restoration of reasonable fares."
The joint committee replied that the Great Northern
board appeared to have come to a decision under an
entirely erroneous impression as to all the material
facts of the case, inasmuch as, firstly, they assume
that the London and North-Western and Midland
companies refuse to proceed with the arbitration
pending before the Right Zion. W. E. Gladstone ;
and, secondly, that the responsibility of having com-
menced the reduction of rates rests with the Midland
and London and North-Western companies.
The joint committee state they have it in evidence
that the first reduction of fares was made by the
Great Northern Company carrying passengers, in
conjunction with the York and North Midland Com-
pany, between Milford Junction and London, at
rates so low as to divert the traffic from the Midland
line • to counteract this, it became necessary to make
a 'reduction at Normanton. The Great ; Northern
then reduced at Knottingley, which being within a
few miles of Leeds, a reduction at that town neces-
sarily followed ; and, finally, the fares being at the
rase of ss. for 400 miles, the Great Northern issued a
notice to the effect that the rates on their line would
be 6d. lower than the fares via the Midland and
London and North-Western route.
In consequence of some misunderstanding as to the
conditions upon which the arbitration between the
companies was to proceed, the following letter was
adens, July 29,1851.
sent by the Right Hon Mr. Gladstone in reply to one
from Mr. Swift on thec astuibtojnee.gt :
r
4.111 y dear Sir,—l think that the case stands nearly as
follows, so far as it depends upon our meetings at Mr.
Baxter's house and yours:—
" Mr. Baxter, on the part of the Great Northern, de-
clared himself not authorised to include points beyond
the towns named.
"Yon hereupon stated that you were still prepared to
proceed with the arbitration, adding that you thought
the result would, in all probability, be illusory.
" I said that there were two conditions which I was
not prepared to proceed; the first, that the parties should
be agreed as to the exact matters to be referred; the
second, that they should be agreed in looking fur a sub-
stantial result from the arbitration, and that it appeared
to me that the second of these conditions was wanting.