The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1888-11-29
SCOPE of the REORGANIZATION.

CHICAGO. Nov. 23.-It was ascertained here.
to-day. that the plan, which has been made
public, of forming a huge railroad combination
to embrace all the territory west of Chicago and
st. Louis, with a clearinghouse for competitive
business and a commission of presidents to con-
troll rates, is, after all, only one of the plans
that was considered at the New York confer
snces. and Is not the one that was formally
adopted. The plan that received the most
favor, in fact, was q much stronger form Of
agreement and more severe in its restrictions as
to the use OF the rate-makine power. j. W.
Mideley. who was present at the conference in
the capacity of an advisor, said tn day:
This plan 10 one Of several that were con-
sidersd. | am positive that it will not be adopt
Cd for the reason that it Is not strong enough to
answer the purpose for which it was intended.
Aside from the arbitration feature. it is bet lit
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 done or they will
be driven TO the wall. The meeting at New
York represented the financial interests of these
roads. 1t was composed of men who own the
property, and who believe it should yield some
returns. They were determined if
possible to save the railroads from bankruptcy.
The interstate law prohibits pooling arrange
ments, and Of course, it was necessary to devise
Fome other means OF checking the demoraliza-
Ion." Mr. Midgley said II the present condl-
tons, which were in the main attributable to
the operation Of the interstate law, should con-
tinue two years longer, there would not BET solv-
emit railroad west of Chicago. When asked if there
was any movement on foot 10 petition Congress
FOR q repeal of the act, be said: mo such move
ment has taken shape as get, and no appeal will
be made to the present Congress-. 1t il not re-
Rarded as the most favorable time to present
such a measure, between two Administrations"
The projectors OF the new scheme for the main
agreed upon Que point, and that was that the
subordinate officers OF the railroads
must be deprived of rate-mak-
ing power, and that any assumption
of this power must be punished by dismissal.
Before the plan was completed it was submitted
90 the presidents Of some of the important West
ern lines. Favorable replies have been returned
by the presidents of the Union Pacific. the Stick
Paul. while President Cable, of the Rock Island.
has gone to New York to personally express his
views on the subject.
President Marvin Hughitt, of the Chicago &
Northwestern, was to-day asked if he was favor
able to the scheme. He replied: II know moth
ing about 1t, except what l have read in the
newspapers am not prepared to say anything
as 10 Its merits or as TO the probability or its
being adopted. The Chicago 6 Northwestern
has not been represented at any conference, nor
has it 5ssn consulted or the question of a new
agreement. We are at present parties to the
agreement of the Western Freight Association,
and also to the passenger agreement, and have
no present intention of going into any other.
We shall certainly not 60 into any new plan I'M
I'll We have thoroughly considered it,
Nice-president Stone, of the Chicago, Burling-
ton & Quincy, said he had paid little attention
10 the proposed scheme. and as he had not been
consulted in regard to il, there was nothing for
him 10 say on the subject.
lt seems probable that il the trainers of the
plan fail to unite all the roads west, northwest
and southwest OF Chicago, the agreement will
20 into effect west Of the Missouri river. since
the Southern Pacific, the Union Pacific the Mis-
souri, Pacific aud the A,chison are all in accord
with the movement and they practically control
the territory. Mr.. Midglsy said he called no
meeting TO consider the matter, as the proposed
plan il not completed.