Kansas City daily journal., 1896-10-07
THEY DENY JURISDICTION.
Railroads Serve Answers in the In
junction Suits Brought Against
Them by Grain Men.

Them by Grain Men.
Topeka, Oct 6-(Special) The various
railroads which were made defendants in
the equity suits brought by numerous Kan
sas City grain firms to obtain an injunc-
ton against the maintenance and enforce
ment of discriminatory rates against the
Kansas City grain market, reported to the
United States court service of answers and
affidavits upon C. F. Hutchings, of Kan
sas City, Kas., one of the attorneys for the
grain men, last night. 1t Is understood
here that on account of the action of the
Missouri Pacific in cutting grain rates from
Kansas points, the suit will be dismissed as
far as this road is concerned.
The case comes up for hearing on Oc-
tober u before Judge Amos Thayer, of st.
Louis, who comes to Kansas City for the
purpose of hearing the case.
The railroads in their answer do not at
tempt to meet the case upon the merits,
but rest their defense solely on a denial
of the jurisdiction of the court. They set
up that the same matters are in contro-
versy before the interstate commerce COM
mission, and that under the interstate COM
merce law creating that commission 1t Is
given exclusive jurisdiction in the first in
stance, and that no suit in the courts can
be maintained until after the commission
has made its report, and then only to OBJ
tain judicial process to enforce the COM
missioners decision. To show that the
same matters are involved In these equity
suits as are involved in the case now pend
ing before the commission, the opening ad-
dress of Mr.. Hutchings. made before the
commission, is set out in an affidavit of
the official stenographer of the commits
sion.
The following extract from the opening
address of Mr.. Hutchings before the COM
mission is claimed to show that the con-
troversies before the court and commission
are Identical.
Mr.. Hutchings is reported to have said:
"Mr. Chairman and Gentlemen:-The same
thought occurred to me as to the gentle
men representing the st. Louis board of
trade, that there is a feature in this case
that is peculiar. in that there is board
of railroad commissioners of the state of
Kansas who in this controversy seem rath-
er to be representing Texas than Kansas.
1 appear for the grain interests of Kansas
City, large part, perhaps the larger part.
of which is situated in Kansas City, kas.
'The fight of the Kansas commissioners
seems to be against the Missouri river
points, which includes Kansas City, Leav
enworth and Atchson, three of the largest
cities in the state. Now, whatever the
situation may have been when this pro-
ceeding was instituted, I apprehend it will
be necessary to investigate the present
situation as to rates. This city, with more
here under the influence of rates that have
been accepted by these railroad companies
as reasonable from the time the roads
were first constructed-a rate which was
equivalent to the rate from the grain fields
to Kansas City added to the rate out of
Kansas City to other markets Now, after
hundreds of thousands of dollars have
been invested here in reliance upon these
rates in building mills. elevators and other
appliances necessary to great market.
and after one of the greatest markets in
the whole world has been, established, the
railroads suddenly ignore its natural and
acquired advantages. its geographical To-
cation, its proximity to the grain fields,
its unsurpassed facilities for shipping to
all points. its railroads ramifyins in all
directions. and make rates from the grain
field to Mississippi river points upon which
they carry grain through Kansas City and
hundreds of miles beyond at practically
the same rates as charged for delivering
grain in Kansas City. The Kansas City
market has heretofore been one of the
most important factors in competition; 1t
reaches Texas. New Orleans and the Gulf
ports: it reaches the mining districts of
the West: it reaches Minneapolis and Du-
luth in the North; 1t reaches Chicago and
Mississippi river points in the East. What
has been the effect of striking down the
Kansas City market? Have the low through
rates from the grain fields to Mississippi
river points and Chicago increased the
price of corn to the farmers at the grain
fields? On the contrary, the great COM
petition created and maintained by the
Kansas City market being destroyed, We
see corn fall or 3 cents at the points
of production. Was this fail in prices at
tributable to the elimination of Kansas
City from the field of competition? 1t
was at least co-incldent with such elimina-
ton, and. We contend, the logical result
of it. Now, although the putting in of these
unfair and discriminatory rates occurred
subsequently to the inauguration of this
proceeding we claim the commission should
investigate the subject and can acquire no
intelligent understanding of the situation
without doing SO, and We shall ask to be
heard with witnesses to to these various
matters
Suit Involves 3,5OO,OOO Acres.
Chicago. Oct. 6.-The United States court
of ole &c rS ,ny,fS -1oy fv,