St. Paul daily globe., 1892-05-26

fiounwas forced down to cents it was be-
cause of strong competition from the other
roads. Dodge insisted that the road was al
ways after all il could get out of freight; yet
he maintained that cents hundred was
reasonable rate for -four
Raj roads Gain Point.
Question and answer were often spirited,
while the attorneys for the defense were
badgering Dodge about his reasons for calling
five cents q hundred a reasonable rate for
flour. He thought it reasonable because the
railroad, while carrying flour at that rate. had
been able to pay operating expenses improve
It's line and equipment and TO pay dividend
on preferred stock, not to speak OF interest
and other expenses. 1t was generally the
opinion, he said, that the st. Paul d
Duluth is stocked too high, and that
might account for the failure TO pay q
dividend on the common stock while carry
ing flour at five cents a hundred. The rail
road attorneys fenced to show that if 81 Il
ton is a reasonable rate on -four 81. so a ton
is an unreasonable rate. Dodge insisted that
the difference should not be taken in that
sense as there were other considerations to
be taken into account He did not, however,
give those reasons. lie usually fell back on
the assertion that the road was after all il
could get, and took 81 so ton on coal be-
cause il could get it, while competition
forced the flour rate down 10 81 a ton.
He stoutly maintained that the latter was q
reasonable rate on flour. The road made up
the difference between profit ana loss on
general freight business while it was carry
ing flour at five cents.
The hearing closed with the examination
of Dodge. The railroads seemed to have
gained point 1t was not made quite clear
how rate of 81 ton on flour could be
called reasonable, without CHASING as un-
reasonable a rate of Sl50 u ton on coal. a
coarser class of freight that can be handled
at less cost.
Dodge Partially Explained
this discrepancy by saying that flour can
be handled only one way, northward, but
did not finish by explaining why the same
rule should not apply to coal, which can be
hand ed but one way, southwark,
The hearing will be resumed this morning
at 9:30. The grain men are said to have a
mass of testimony back of their position. The
evidence of Mr.. Dodge Yesterday on the flour
rate 10 Duluth is merely an entering wedge.
The mlllers and grain men are not so par
ticular about the rate on flour. They are
seeking to prove that five cents a
hundred, or 81 a ton. is a reasonable rate
and that the rate should be cut to that figure.
If successful, they will go on to show why
the existing rates on wheat are not only dis
criminating as against Minneapolis. but are
too high as compared with just. reasonable
rate for which the roads can carry the COM
modify and make money The rail
roads are we'll prepared to fight the
case but this hearing is looked upon as more
of a drawing out operation on their part
than bona fide test of the merits of the COM
plaint of the Minneapolis millers and grain
men. The railroads want to know just what
the millers and grain men are able 10 do in
the way of showing discrimination and the
charging of unreasonable rates. Then they
will be able TO offer a compromise, or to ac-
cede to demands. without establishing a
precedent that would affect the railroads of
the country.