The San Francisco call., 1896-12-22
Railroad Commissioners
and Special Counsel
at Work.
Meeting Yesterday and Another
Likely to Take Place
Tomorrow.
Doors Kept Closed and Also Mouths
to Hold in Secrets, but New
Moves Are Expected.

Attorney-General Fitzgerald had an
other consultation with the special coun-
sci engaged by the Board of Railroad
Commissioners in regard to the next step
to be taken. OF the railroad board only
one was present, Commissioner La Rue.
All the lawyers representing the board
were there, the Attorney General, Robert
Y Hayne and w. w. Foote.
As heretofore, the lawyers talked Sc
cretlv and with closed doors. There was
q grim suggestion of smiles on their faces
when at the close of the conference they
were questioned concerning the subject OF
their deliberations, and whether anything
definite had been proposed or accom-
plished. They said that nothing had
been oone The Board of Railroad Com
missioners will, it is expected, meet to-
morrow. Before they adjourn they may
hold a conference with the Attorney
General and his legal associates.
For the present the evident policy of the
Attorney-General is to prevent the least
inkling of his next move becoming public
until it has actually been taken. The
filing OF the demurrer in the United
States Circuit Court last Saturday is an ex-
ample of this policy. Although one of
the questions at least involved in the de-
murrer is sfundamental-that one being
raised to determine whether the acts of
the Board OF Railroad Commissioners are
under the terms of the constitution, by
which the commission was created, legis-
lative--no hint that such move was in
tended reached the Southern Pacific Com
pany or the public in advance.
Acknowledgement Fitzgerald said last
evening that the filing of the demurrer on
Saturday last did not indicate any change
So, 4t,a rI,;., 4, 1
been marked out. The purpose of the
demurrer was" he said, ''to only lie up
certain points. We shall go right ahead"
When asked what he meant by this, he
said he had nothing further to say. The
true significance of the move has already
been explained in The CALL.
The point concerning the reasonableness
OF rates, based upon such figures of cost,
earnings and so on as may be supplied as
the result of Southern Pacific bookkeep-
ing, will very likely lead up to the placing
in evidence of Southern Pacific books and
in calling TO the witness-stand, where they
can be fully cross-examined, of Southern
Pacific officials.
The evident purpose Of the Attorney
General and of his two legal associates is
to determine fully, for the first time since
the adoption of the new constitution, the
full scope of the powers of the Board of
Railroad Commissioners. They expect to
make full exposition of this very i'm
portant matter of public concern, and the
public will be able then TO Judge of the
precise amount of efficacy which the COM
mission can have in the final and definite
determination OF rates and fares in this
State.
While the acts of the Southern Pacific
Company are under consideration and the
combination of California railroads which
it has succeeded in making in restraint of
competition, by the system of leases to
which it has given rise, the Board of Rail-
road Commissioners is trying to reach
judicial determination of the fact that
it has power over all the strictly local
transportation lines, those by water as
we'll as the railways. The lawyers have
already discussed the Market-street rail-
way system, and will try to get decision
concerning the regulative power which the
Commissioners may possess in that re-
gard.
No step has been taken publicly in this
direction since announcement of the fact
was made in THE CALL, but the subject
mas been discu, sed. If the conference
should not take place tomorrow concern
ing the various issues involved in the
present contest with the Southern Pacific
Company, the Com missioners will prob
ably then appoint q day to meet their
lawyers when all can be present. In the
meantime the lawyers are studying the
situation and have other surprises when
the time shalt arrive to make them public.