The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1889-01-11
AN IRON-CLAD AGREEMENT
Railroad Presidents Adopt a Plan by
Which They Hope to Maintain Rates.
1t Covers Eyery Phase of Interstate Traffic,
and is Bound with All Manner of Rules,
Regulations and Penalties.

bankers and presidents of the railroad lines
west of Chicago and Sc. Louis at their
meeting In j. Pierrepont Morgan's resi-
dence this morning The meeting lasted
about three hours and there were present:
j. Pierrepont Morgan and J. Hood Wright,
representing Drexel Morgan d Co.,
and j. 5. Morgan q Co.; Charles
ID. Dickey and John Crosby
Brown, representing Brown Bros. & Co.
and Brown, Shipiey & Co.; Col o. w. Pea
body and George G. Magoun. representing
kidder, Peabody g. Co. and Barring Bros &
Co.; w. b. Strong, president of the Atchi-
son, Topeka 81 Santa Fe railroad; C.. L.
Perkins, president of the Chicago, Burling-
ton & Quincy; G. j. Paine, director of the
Chicago, Burlington x Quincy; Marvin
Hughitt, president of the Chicago g. North
western; NJ. l.. Sykes, vice-president of the
Chicago IL Northwestern; II. X. Cable,
president of the Chicago, Rock Island &
Pacific; T. s. Bond and Peter Geddes of
the Chicago, Milwaukee & st. Paul; Jay
Gould, president of the Missouri Pacific;
George j. Gould, vice-president of the
Missouri Pacific; Chas. Francis Adams,
president of the Union Pacific; III. l..
Morrill,, vice-president of the st. Louis g.
Santa Fe; A. b. Stickney, president of
the Chicago, st. Paul IL Kansas
City; o. ID. Ashley, president of the
Wabash Western; Col. John j. McCook,
counsel representing the bankers, and by
Invitation the following representatives of
the trunk lines: George b. Roberts, presi
dent of the Pennsy lvania; Chauncey NJ. De-
pew, president of the New York Central 81
Hudson River; John King, president of the
New York, Lake Erie 4 Westerns; Samuel
Sloan, president of the Delaware, Lacka-
wanna 81 Western; Charles f. Mayer, presi-
dent of the Baltimore ~ Ohio; Gen. Orlan-
do Smith, vice-president of the Baltimore
d. Ohio; +. p. Wilbert, president of the Lee
high Valley.
The committee of three appointed at the
last meeting to perfect plan of organiZa-
merce commission, submitted the following
report with the accompanying plan:
In submitting the accompanying plan of or
gan1zat1on your committee desire To present a
Drlef report setting forth the principles upon
which it is based.
1t has been manifest throughout the discus
elons which have taken place at these meetings
that those attending them desire first and fore
most, the strict enforcement OF the provisions of
the interstate.commerce act, both among them
selves and against all others. Whether that act,
in It's present shape, Is in all respects beneficial
or not, is, in the view of your committee, beside
the question. 1t Is sufficient that IL is law, and
that as such it should bear with equal
weight upon all, and should be equally
obeyed by all Beyond this your committee has
considered that in matters of traffic it was best
20 adhere strictly to the agreement known as the
Agreement of presidents of the first of January,
1889" They have not sought to extend the pro-
visions of that agreement or to introduce into
the present plan any feature to excite discussion.
That agreement has, therefore, been incorporat-
ed In the plan now submitted without change.
Finally, they have sought to introduce, in the
simplest possible form, the machinery necessary
to secure the enforcement of the interstate-com-
ha
agreement of Jan. effective. To this end they
propose an executive organization and the priIl-
ciple OF arbitration for the settlement of diff
culties.
If therefore, under the rules of the association
now recommended, company member of the
association should, through its officials, at any
time consider itself wrOnged, the course for it to
pursue will he TO appeal to the association for
Justice to itself and the punishment of the delin-
quent, and until the association fails of its pur-
pose, the complainant will be debarred from en-
deavoring to secure for itself what it may con-
slider its rights. in order more effectualy to Sc
cure these results it Is proposed that the associa
ton to be now formed should be an association
OF presidents, to the end that the highest officials
OF the various companies may be made respon-
sible one to another, and thereby be held to a
more strict and personal account. With this brief
preliminary explanation, the accompanying plan
or organization is herewith submitted as the
unanimous report of your committee.
CHARLES T. ADAMS,
WILLIAM b. STRONG,
FRANK s. BOND.
After reciting the objects of the associa-
ton TO be the enforcement of the provisions
OF the lnterstate-cOmmerce act: the estab-
Ishment and maintenance of public, rea-
sonable, uniform and stable rates, in con-
formlty with the provisions thereof, to
secure complete reports of all competitive
traffic, subject TO the provisions of the in
terstate-cOmmerce act, and of such other
traffic as may hereafter be deemed advisa-
able. the following rules are laid down:
The board of managers shall consist of accred-
lied representative OF each company, the presi-
dent or which Is a member of the association
The managers shall meet monthly, and when re-
CURED by call in writing signed by the chairman
OF the board OF managers, OF by three or more
Rate committees appointed by the board of
managers for the freight and passenger depart
ments shall be constituted, whose province il
shall be TO consider all proposed changes rates.
rules and regulations on the traffic subject to the
association Their conclusion, when unanimous,
shall be made effective when they so order,
but if they differ the question at issue shall be
disagree il shall be arbitrated by the executive
board as hereinafter provided. 80
The division of all through rates on the traffic
subject to the association, the intention being
that the bidding for business by means of private
concessions shall cease and that the divisions on
corresponding traffic, under similar crcunl-
stances as TO receipt and delivery, shall be open
to, and alike via all lines.
One officer of each company, the president of
which Is member of the association, shall be
held responsible for the strict maintenance by
his company of all rates and rules established by
the association, and he shall not be at liberty To
depart therefrom unless by authority, IN writing
OF The executive board.
The board of managers shall hereafter estab-
nsh such rules and regulations as il may deem
expedlent TO limit needless outlay and reckless
striving for business through separate agencies,
or the payment of commissions or they may lie
they deem proper, totally abolish and forbid the
to be established, the expenses of which shall be
paid by the association
In order 10 satisfy all parties to this association
That the established rates have been charged and
IN no case manipulated, rebated or reduced, the
auditor OF the association and those whom he
shall appoint, subject to the approval in writing
or the chairman of the executive board shall
nave authority 10 examine and check the various
sIaton accounts, the receiving and forwarding
DOCKS, also, all books, accounts and vouchers
Kept In the auditors comptroler's office of
each company the president OF which is a men,
Der OF the association.
No vouchers otherform of couce ssion which
would reduce the established rates or influence
the routing OF business. subject to the associa-
ton. shall be paid allowed unless authority
therefor shall be given in writing by the execIi-
tive board.
The comptroliers general auditors of the
several companies, the presidents of which are
members OF this association, shall be instructed
by their respective presidents to pass no way
bills, expense bills, claims vouchers which
are extended at rates or charges different from
those duly authorized. and the agents at ALI sta
tionS shall report direct To the auditor of the
association, and their books shall be required
To check with the accounts rendered by the au-
dltor.
With the view Of still further providing for an
accurate exhibit of the affairs of each company.
the officers making reports Al tle associario,,