The record-union., 1894-06-14
RAILWAY AFFAIRS,
The Lake Erie Refuses to Withdraw
Its Rate on Denver Business.

The Lake Erie Refuses to Withdraw
Its Rate on Denver Business.
CHICAGO, June 13.-The Lake Erie and
Western road to-day made a reply to the
Western Passenger Association that it
withdraw its rate of S24 80 from Indian
apolis to Denver and return on excur-
sion business under penalty CT having all
its tickets wherever issued refused by all
the association lines. The Lake Erie and
Western says it has but one contract at
the price named in it's notice and that it
cannot afford carrying out the contract.
What is more, it has no intention of try
| ing to avoid it and proposes to carry pas
SengerS at the agreed rates, no matter
what the rule.
The association has taken no action on
the reply, but probably will do so before
the present meeting adjourns.
The Alton road has preferred charges
against the Missouri Pacific before the
| local passenger association of st. Louis
for cutting the rate from st. Louis to
| Denver. This is the same excursion for
which the Missouri Pacific claimed the
Alton road had cut the rate 81 80. The
Missouri Pacific claimed that the Alton
was Il party to the side trips from Denver
which were advertised by the Union Pa
cific. This charge the Alton denies and
no justification for the action of the Mis-
souri, Pacific as that road has issued cir
culars offering such side trips on its own
account, and besides the Union Pacific
had Withdrawn its side trips before the
Missouri Pacific cut rates.
NEBRASKA MAXIMUM FREIGHT BILL.
OMAHA, June l3.-The case wherein
the Federal Court is asked to interfere
with Nebraska affairs and prevent the
infringement of the Nebraska maximum
freight-rate bill. on the theory that the
reductions are SO radical as to threaten to
cause all railroads in Nebraska to be
abandoned, came up to-day before Justice
Brewer and Judge Dundy. 1t is alleged
that the local rates now in force in Me-
braska, which are added to all shipments
coming into the State, are about 10 per
cent. higher than the local rates in Kan
sas, Minnesota and the Dakotas. hence
even in interstate shipments Nebraska
pays higher rates than do the others.
The defense claims that there is no
principle of law involved in this case
worthy of discussion, and refers to Justice
Bradley's decision in a Minnesota case,
i'll which he says: sit is stated that all
charges must be reasonable, and that
none but reasonable charges can be ex
acted. and what is a reasonable charge is
judicial question"
by the railways in favor of certain points
and monopolies are stated in the passage
of this bill, but it has remained inactive
because of an injunction. The defense
now alleges that by reason of the in
junction granted in this case the railroad
companies have already suspended for
one year the operation of the law. to the
aggrandizement of themselves nd to the
detriment of the people. They now want
to call a halt and let the law be tested by
actual experience.
Chancellor j. NJ. Woolworth, on behalf
of the railroads, opened his arguments
this afternoon. His main contention was
that the rates fixed by the bill were UNI
renuneratiye. He went over the case
carefully, presenting the cost of operating
and maintaining the lines in Nebraska,
and contended that the revenue would be
SO reduced by the operation of the new
rates that the roads could no longer pay
expenses. The constitutionality of the
low rate was also attacked on similar
grounds. Judge Woolworth had not yet
closed when court adjourned.