New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1889-02-22
HOW RATES ARE REDUCED.
EXPOSURE OF MANIPULATIoNs.
ACTIVITY OF THE INTERSTATE COMMISSIONERS
--EvIDENcE. THAT CAN BE SECURED
PEORIA ROADS PROMISE TO Or
SERVE THE LAW AND THEIR
AGREEMENTS.

SERVE THE LAW AND THEIR
AGREEMENTS.
There is some hope in railroad circles that the
disgraceful manipulation Of freight rates which
has been practised since the Interstate Commerce
law went into effect will be stopped before long
The Interstate Commissioners have recently been
actively engaged in Investigations, and Tuesdays
meeting of the trunk line presidents resulted in
placing upon Commissioner Fink the duty Of fur
nshing the Federal officers with all the evidence
that he can secure to convict roads that violate
the national law
The resolutions of the presidents and the revised
agreement that they have signed throw upon Mr.
Fink a responsibility which he could not avoid if
he sought to do so. But the friends of Mr. Fink
say that he is fully aware Of the situation, and
that he is determined to act without regard to
sideratiOns of policy in last desperate effort TO
induce the roads to maintain tariff rates and there
by secure remunerative returns to stockholders
and stable rates for shippers For the first time in
the history of the railroads the authority of the
Nation is back of the powers voted TO the Commits
sioners OF all of the groups of associated roads east
of the Mississippi river.
CHAIRMAN COOLEY AND MR.. FINK.
Chairman Cooley of the Interstate Commission,
will be in New-York next Monday. and will con-
fer with Commissioner Fink in regard TO the
necessity of action against particular roads and
the means for future detection of violations of
the law The several members of the Commission
have been gathering information respecting
methods of rate manipulation at Baltimore, Phila-
delpha and Chicago, and a full meeting of the
board at an early date is considered not improb-
able. Commissioner Blanchard, of the Central
Traffic Association, is now in this ity, and he
IL. -.
would materially assist the Federal officers III
their execution of the law.
One effect of the activity of the Interstate
officers in inquiring about the demoralized con-
dition of rates at the West has been a speedy
| response to the circular sent TO the Western
connections of the trunk lines by Mr.. Fink ask
| ing il the agreements TO furnish stable rates TO
all shippers were 10 be carried out by them. Inc
| pcnaIty provided by the presidents agreement Is
the cutting off of ali through traffic and joih'
rate agreements The roads connected with tie
recent generalization of rates around Peoria nave
| telepraphed replies that unanimous III their
| pledges of good behavior in the future Some OF
the replies embraced a confession OF quit ana
pleaded the excuse that the other fellows were
doing the same thing. Whether the Federal Com
mission will accept such an excuse or not Is
point TO be determined OH future occasions
TFRRE HAUTE AND PEOhlA.
II is more than suspected that the Federal
Commission will investigate the case OF
the Terre Haute and Peoria Railroad
Compauy at an early date. This road
is not a member Of the Central Traffic AsSo-
citation, and perhaps for that reason il might be
| more readily reached for the purpose OF making
an example 20 warn other evil-doers. The COM
many is the outcome Of reorganization OF the old
Illinois Midland 1t runs from Terre llaute,
| Ind. TO Peoria, Ill, and It's mileage OF
| I 7s miles given in Poors Manual, includes a
pse Of fifteen miles Of the Illinois Central under
| a traclage agreement. The president is y. w.
! Fairbanks. of Indianapolis the vioe-president Is
d IL. Conlxlin, OF Decatur, H.. and he is also
general manager aud treasurer; the secretary Is
| Andrew Stevens, OF Decatur, III.
| Agents of the Central Traffic Association have
been investigating the operatiols OF this
| line, and they are said 70 have dis
covered evidence of numerous shipments which
we're billed as originating on the line OF
| the Illinois Central, which connects with the
Terre Haute and Peoria, that did not come
| from the Illinois Central at all Shipments like
these are fraudulent upon the Eastern roads. which
| carry the goods East from Indianapolis, because
| when they accept prO-r9tG' rate from the
| Terre Haute and Peoria they lose the amount
| of the deduction OF the arbitrary allowance per-
| mitted When that ROAD derives the traffic from
@ point on the Illinois Central near 10 the juno
ton with the line the Terre Haute and PEORIA
which makes the through bill 10 Eastern points.
The investigators or detectives of the Central
Traffic Association are also said 10 have secured
evidence that shipments billed through
20 Staunton, Virginia, have been diverted
| at some point TO New-England, the object Of
| the road making the false billing being, of
| course, to secure advantages arising from ar
| ference in through rates from the West 70 Viz
| ginia and from the same shipping point TO New
| England
Some of the methods for manipulating rates
! were described officially In q circular sent out
within few days by Commissioners FINK
| Blanchard, Midgley and Faithorn, Of the four
principal railroad associations, 10 the various roads
| that are members. The important facts In this
| circular were published in Chicago only after
| iudicous editing that removed matter offensive
70 the Chicago roads
GUILT OF WESTERN MANAGERs'
The general guilt OF the Western managers in
rate-cutting may be imagined when the following
extract from the circular OF the four Com
missioners is read After reciting that the rail-
road agreements have been formed to prevent
violation of the Interstate law by any sort OF
device or manipulation OF rates when uis-
| eliminates between individual shippers or p ntvsss
or in any way disturbs established nwIai i,5
| the methods Of the dishonest WORK are ueS'ii''N
| as follows: ,. at,
First That property is reconslgned on "i,Op " 80
- a s not sold NJ the point which nfst cohsghe'' '
IN IA Il 40