New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-11-28
A POOL NEEDED IN THE WEST
INGS OF LINES BEYOND THE MISSISSIPPI.

INGs OF LINES BEYOND THE MISSISSIPPI.
The Clearing House scheme has been submitted 70
the principal railroads west of the Mississippi River
and approved by the Missouri Pacific. the Atkinson
Topeka and Santa Fe. the ST. Louis and san Francisco
and their associate lines in the Southwest the Union
Pacific in the middle section and the Chicago Mi
waukee and ST. Paul and the Stickncy railroads in the
Granger territory 1t grew of the recent negotia-
lions for settlement of the rate war in the South
west, and It all the territory between the
Mississippi River and the Rocky Mountains
outside Of the Transcontnental and the International
Traffic Associations Of which the latter controls the
railroads I'm Texas. While c. Z. Huntington, of the
Southern Pacific, has taken part IN the discussion
tha5 has resulted In tho extensive plan, he is
understood TO have been the first to suggest it.
He said openly, when overtures for settlement of
tho Southwestern war were made to him. that all
tho railroads west from ST. Louis were not earning
enough to buy new rails 10 replace old ones lie has
said that with one or two exceptions the Western rail
roads were not earning their fixed charges and
that It was about time they stopped some
thing. To use his vigorous language: "The
Western railroads may stop building or the payment
Of interest or the operation OF their lncs but they
must stop something" II f. understood that under
such circumstances Mr. Huntington suggested the es-
Enlistment of a railroad trust which should place
the control of rates in tho hands of central COM
mittee He confessed that he could not surrender
tho management Of his railroads, but as tho
Transconunental Association was in good working
order, there was necessity for such action
The agreement which has since been formed leaves
out the Transcontinental and the Texas lines II IS
to be submitted to the Interstate Commerce Com
mission, and without the approval OF that Board there
Is no probability that 1t Will be- carried into effect
The features which expected to commend tho
plan TO tho Commission arc those sections which
take tho power to make rates from the officers OF the
railroads and make only one officer from each company
member Of tho Clearing House and which gvo
authority TO It's auditor to examine the accounts and
vouchers In the auditors oHdc Of each company
Officers of the several members of the Clearing House
are obliged, moreover, TO submit to examination
under oath whenever the accuracy OF their reports TO
the Clearing House is questioned.
The publication OF tho main features of the agree
mcnt excited considerable curiosity in Wall Street
although IL learned quickly that many railroads
whose necessary The success Of the plan
had signed IT, The position Of the southwestern
lines easily understood for IL had been known
for week or moro that they were intending to adopt
a scheme OF this kind. The fact tina, tho st. Paul
Company had signed the agreement was Interpreted
IN dlnefent ways, but the most popular theory was
that the present management was acting under the in
ueucc that had compelled recently the passing of the
dividend the common stock II this supposition
ul TIC plan was nearly assured
ms plan IS considered an improvement on former
traffic associations because OF the Provisions about
The regulation OF rates aud the careful lnsp elton ~
accounts. but Caccrs Of western railroad, sa~ Thai
there is certainty that tao agreement Will 10 OBJ
served strictly than The present compacs between
the same companies. Whiis tho assent OF several
large systems has boon given, the signatures of mo
Chicago aud Alton, the Chicago Burlington and
Quincy. and the Chicago. Rock Island and Pacific
have not been obtained and the rcisal of either ono
Of those Nnes not I'D mention los important ones
would probably he fatal 10 Tho OF the sci enc
Private dispatches received n this city yesto.day
statd that the Chicago aud Alton would not Join the
clearing house undor any circumstances The position
Of tho Chicago huntington and Quincy not knowp.
although officers OF that company have boon urged
In the strongest way ~ Join tho trust President