The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-12-06
A Temporary Termination Of the Disagree
nentS Among The Trunk Lines.
The Contract Extended Tor
Five Years.
ay ABSOLUTE ARBITRATOR APPOINTED.
The Question Of Apportonment To Be
Decided in the Future.

very important meeting Of the heads OF the tou
trunk lines included in the railway freight pool was
held yesterday at the Windsor Hotel. There were
present William II. Vanderbilt and j. II. Rutter. of
the New York Central and Hudson River Rail
road; Hugh j. Jewett and Robert Harris, of
the Now York and Lake Erie G. d. Roberts
and A. j. Cassait, OF the Pennsylvania.
md j. W. Garrett and Robert Garrett.
Of the Baltimore aud Ohio These gentlemen repro
sented directly the interests of their companies but
Mr. Garrett was accompanied also by Milton II.
Smith and Anderson Andrews and Mr.. Roberts, the
Vice President of the Pennsylvania road by Captain
Hreeu Mr. Albert Fink the Trunk line Commits
soncr, was there representing the mutual and
common interests OF all the members Of the combs
nation.
Among railroad men. either belonging in this city
stopping here temporarily, there was considerable
excitement in regard to the result OF the meeting.
The main corridor of the Windsor Hotel was filed
with groups of these. among whom were noticed Mr..
Abbott of the Erie; Mr.. cumack, General Knapp.
Mr.. Langdon and General McGee.
THE DISPUTE.
The cause of the meeting was a very simple one.
When about three years ago the freight pool was
formed it originally included only the New York
Central the Erie and the Pennsylvania trunk lines.
The basis of the division of the business which
For each In other words thirtythree per centum
was allotted to the Vanderbilt interest. thrty-three
Der centum to the Erie and thirty -four per cen:um
70 the Pennsylvania The Baltimore and Ohio Com
papy desired to come into the combination but the
satisfaction OF its claims was lett entirely to the Penn
byvana officers, those of the other trunk lines
netting only arbitrators or mutual friends in the
discussion. After several days of debate it
determined that the Baltimore and Ohio Railroad
should be allowed nine per centrum OF the proceeds of
carrying freight from New York and that the Penn
centum.
SECRET REDUCTIONS.
This arrangement has existed until the present
time with frequent complaints against its contina
nnce side and another. Each member of the
combination has been ambitious to carry more than
The average upon which its percentage based aud
npon the increased manifest to lay claim to larger
share of the general earnings. 1T is this temptation
which has induce' much underhand cutting of
rates. 1t originally provided in the common
agreement that when II was found one road was be-
Ing used to greater extent than its nominslly APP
portioned capacity warranted, the surplus freight
which came 70 it should be transferred to another
road which might be doing less that its nominal ca
pacty But this rule has been very little carried out
because of the selhshness and JEALOUSY subsisting
among the companies.
COUNTER CHARGES.
II is charged that the Baltimore and Ohio and the
Pennsylvania railroads have constantly violated their
pledges rates for transportation with the sole
motive Of augmenting their average OF tonnage a.
20 lay claim to larger percentage Of the proceeds
York Central and Hudson River Railroad claims
that in spite OF such disingenuous policy il
mas carried much Larger quantity or frlTht fhan
St has ever been paid for earning tolls for the Golfers
of its weaker but voracous rivals Mr.. Vanderbilt
for long time has held that the percentage paid to
his treasurer the of surplus freightage
disproportionate and not at all adequate TO the
pense incurred. Therefore he notified the other lines
that he should expect in future to receive good deal
more than onethird of the pooled business and pro-
leeds.
THE PROCEEDINGS.
The meeting was called 70 order yesterday fore
at eleven O'Clock, in Mr. CARROTS private par
lor, room No. 215, Windsor Hotel, Hugh J. Jewett
fifnf a4I9n ar Of
the New York Central Trunk line arguments
made by the representatives Of the Baltimore
md Ohio and the Pennsylvania roads, showing
how much greater their actual tonnage of freight
than that with which they were credited in the
Former company received only nine per cent ~ the
total earnings it really earned from eighfeea To-
twenty per cent. The question was asked Whose bust
ness nen was tang on TO this extent a. the greater
general prosperity of the county could not account for
This great increase since the apportionment was
5ust made The officers of the Pennsylvania Railroad
who present repudated the inference that IL
was the loser where its neghhor had been gamer.
The warmth Of debate extended also TO tho other rep
resentatves. and the subject promised 10 b. awk
ward busbear. when the meeting adjourned at
half-past two until the evening.
CREATION OF Az ABSOLUTE ARBIIER
At eight O'Clock the gentlemen reassembied and
talked very earnestly for three hours. II became APP
parent that no arbitrary change OF the apporton
Jnent Ecould prove satisfactory 10 any for very
long timei An old proposition, which had been
mooted at former meetings for the past year or
more, 70 invest the Commission Of the
trunk lines with sweeping ana judicial powers
revived. II debated in all its bearings and
was finally accepted presenting the only solution
of disagreement which threatened the existence OF
the combination II accordingly resolved first,
that the present division OF the freight proceeds
shall continue for Ave years after the LIST OF
January, 1879, and. second. that Mr.. Al
bert Fink shall be an arbiter and judge
I'm all questions and disputes which may arise among
the several companies interested. The committee
which 80 long has had absolute charge OF the
npportionment Of percentage was rcappointed
Bpd Will art as heretofore, except that what
s@sr matters il fails decide or to adj
Just will be referred 10 Commissioner Fink
rs the supreme authority and by him determined.
Tho members are j. II. Rutter Of the New York Cen
trail Railroad A. J. Cassatt, of the Pennsylvania:
vicD president King. of the Baltimore aud Ohio
md Robert Harris. Of the Erie II is under
stood that the apportionment question remains
ppen TO be settled by precedent az future day
whenever Il may be raised in the form ~ complaint
before the Commissioner Under cutting" is 10 be
punished and the eastward bound passenger fares
% be maintained by every possible means at a uni
form rate.
RUM AND JEALOUSY