The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1888-11-29
A RAILROAD TRUST
Jay Gould's Remedy for
Rate Wars.
ALL THE ROADS FAVOR IT.
A Gigantic Pooling Arrangement
Under which the Interstate
Law Is Poweriess.

Of the problem with evident sincerity
The Atehison company has beea repre-
scnted by President Strong. and the S.
Louis & san Francisco read hy President
Inslow. SO far as was necessary TO secure
the cooperation Of the Southern paciic
system, {. T. Huntington or some one Of
his liea;enants assisted Commissioner
Midgely, formerly supervisor Of Soath-
western fralie. has also been an sctiyc
participant in the conference.
pRder the interstate law arrangement
7sss cut Of the question. it was conceded
at the start that ali osser devices for maiu.
tanning rates were useless. Under th0sr
circumstances two were finally sgree1
upon. One was 70 take the rafe-rlaking
power entirely from subordinate officers OF
these corporations. the Other 70 rsniSh
violations of the schedule Of tariffs by
summary and permanent dismissal Upnn
these two fundamental principles simple
plan for running the records OF compare
tive business through q elearing-h house was
. formuisfed- The three great systems r.
ierrea 10 hsve agreed 10 PM thi. plaa into
execution as soon as the plans can be ar
ranged
The fact that some Of the socslied
granger roads oeonpy some Of the upper
part of the southwestern TERRITORY. while
the Atchison system extends into Chicago.
led the southwestern managers 10 make
ap eaart 10 bring ahoaf reformation In
the roads for the caod OF al concerned ia
the business. Before completing their
plan they decided 20 submit IL to the presi-
dents Of al important roads doing bust.
ness west of Chicago aud south OF S.
Paul. i should be understood that ali the
Pacific roads arc now bound together ia
the frauscaatineuial Traffic Association
which az present is performing It's fnne-
tons most satisfactorily; hence they we're
not ineludea in the scope Of the present
work. nor were the roads IN the extreme
southwestern states.
\ few answers have already been re-
ceived from the companies 10 which the
outlines 0f the new and rom prehensive
agreement have been submitted All of
them have sigulfed a desire % become
parties % T. The three presidents heard
from are tsoss of the Union Pacific. Chi
cago, Milwaukee & 81 Paul, and the stick
new system.
Me- YoRK. NOV. - jay Gould and Rus
sell Sage held a conference with represent
atiyes of the Rock Island road last night
With view OF securing their adhesion 20
the railroad trust. Some say the scheme is
meeting with general favor, and that il is
the only practical one for stopping railroad
wafs. JAW Could holds the same opinion,
and that the plan will be eventually adopt
ed By all roads.
CHICAGO, Nov. 2S.-It was to -day asccr-
tanned that the plan which has been made
public of forming huge railroad eombi-
nation 10 embrace all the territory west OF
Chicago and St Louis. with a clearing
house for competitive business aud a com
mission OF presidents to control rates. Is
after all, only one of the plans that WAS
considered at the New York conference,
and is not the one that was formally adopt
ed The plan that received the most favor.
in fact, was a much stronger form Of agree
ment and more severe in its restrictions as
as TO the use of the rate-making power.
J. W. Midgeley, who was present az n
conference ia the capacity of an adviser
said to-day: This plan was one Of several
that were considered l am positive that
It will not be adopted, fer the reason that
ii is not strong enough to answer the pnr-
pose for which II was intended Aside
from the arbitration feature &. Is has little
different from the agreement OF the West
ern Freight Association. This talk about
trusts, as applied to such an agreement. Is
the sheerest nonsense. The truth Is that
the railroads have become desperate at the
prevailing condition of affairs. Something
must be doae or they win be driven TO the
wall The meeting at New York repre-
sented the financial interests of these
roads. It was composed Of men who own
property aud believe 1t should yield some
returns They were determined. IL posi-
ble TO save the railroads from bankruptcy
The interstate law prohibits pooling ar
rangements and of course 1t was necessary
the decentralization
Mr. Midgeley said that ifthe present con.
ditians, which were in the main attrihufa-
bic to the interst law, should continue
two years longer, there would not be sol
vent railroad west of Chicago when
asked II there was any movement on foot
70 petition congress for repeal of that act.
be said: NO such movement has taken
shape n yet and no appeal win be made
10 the present congress. II is not regarded
rs the most favorable time TO present such
a measure between two administrations"
The projectors Of the new scheme for the
maintenance Of rates and Mr. Mideeley
Fgere agreed upon one point, and that was
that subordinate officers Of the railroads
must be deprived OF the rate-makiug
power. aud that any assumption of this
power must be punished by dismissal.
Before the plan was completed f. was
submitted 70 the presidents Of some three
important Western lines Favorable re
plies have been returned by the president
OF the Union Pacific. the Stickney system
and the Chicago. Milwaukee & 81 Paul,
while President Cable Of the Rock Island
has gone 70 New York TO personally ex-
press his views on the subject
President Marvin Hughiit Of the Chiesgo
& Northwestern was asked to-day II he was
favorable ~ the scheme. He replied. II
know nothing about II, e<eep, what have
read tn the newspapers. ! ara nos prepared
10 say anything ss to its merits o. ~ 10 the
probability Of IT, being adopted. The Chi
eago & Northwestern has not been repre
sented AZ any conference. nor has " been
consulted on the question Of the new
agreement. We are al present parties to
the agreement Of the Western Freight A.
socisiion and also passenger agreement.
and have no present intention - going
into any other. We shall cerisiniy p1f go
into any new plan uHtii we have thor
oGghly considered e."
Vice President Stone nf the e., Is. a q.
said he bad paid Little attention to the pro
posed scheme, and 81 be had NOT been
consulted in regard 10 II, there was ngth-
ing for him 10 saw on the subject,
II seems probable that II the trainers OF
the plan fail 10 unite all roads west.
northwest and southwest OF Chicago thu
agreement VIII 60 into effect west Of the
Missouri river, since the Southern Pacific,
Union Pacific. Missouri Pacific aud A. hi-
son are all In accord with the move meut.
and iheg practically control the territory.
Mr. Midgiey SAYS be has called the meet
ing % consider The matter, as the pro
posed plan Is not completed.
THE 7NkSsCosIISESTkL ASSOCIATIONS.
CHICAGO, Nov. Representatives "
lines Ia The Transe0nfiueufAl Association
met again to-day. The entire day was de
voted to revision 10 tsriffs with q view Of
securing greater uniformity 10 rates, No
material progress was made, and the meet
f-srs al fsff~T1.sH rufft Friday