The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-10-23
AFTER LOWER COTTON RATES.
HOW THE MATTER is TO BE PRE-
sENTED 70 THE COMMISSION

of Savannnh-This Is Contrary to
the Rules of the COmmissiOn-He
Urges Reduced Rates All Around
as a Remedy.
Capt ID. G. Purses complaint to the rail-
road commission, charging rate cutting
on cotton shipments by the railroads, dis
| criminatory to Savannah, is likely to prove
something of a sensation in railroad cir
cles. The complaint is set for a hearing
Tuesday. Capt. Purse not only charges
a combination by certain railroads for the
purpose of cutting rates, contrary to the
rules of the railroad commission, but calls
upon the commission to reduce the rates
on cotton to the basis on which rates are
now made by the cut rate combination.
Capt. Purse charges that a secret combi-
nation to cut rates has existed for sew
eral years and now exists between the
Albany and Northern railroad, the Geor-
gia Southern and Florida railroad and the
Georgia railroad under through rate ar
rangements with the South Carolina and
Georgia railroad to points without the
state to the damage and prejudice of Sa-
vannah and discriminatory to the mass of
cotton planters throughout the state.
The three railroads named are charged
with violating rule So of the commission,
which regulates and defines the manner
in which a railroad can lawfully lower it's
rates; that they have violated rule 95 of
the commission in not submitting the
joint cut rate to the approval of the com
mission; that they are acting in violation
of section 719 Of the code in not affording
to other lines in Georgia the benefit of
these cut rates; and that in secretly cut
ting rates they are acting in violation of
paragraph 5, section 2 article 4, of the
constitution of the state, which says that
mo railroad shall give or pay any rebate,
or bonus in the nature thereof, directly or
indirectly, or do any act to mislead or
deceive the public as to the real rates
charged or received for freights or pas
sage; and any such payments shall be
Illegal and void and these prohibitions
shall be enforced by suitable penalties"
Capt. Purse requests that these ram
roads named be required to produce all
correspondence on the subject of the
secret rate cutting before the commits
sion. Capt. Purse has some very strong
evidence in his possession on the subject
of his charges, and if the railroads de-
cline to produce their correspondence, he
says that he will be able to produce suf-
ficient evidence to make out his case with
out it.
The following is an important section
of Capt. Purses complaint: IF 1 am
able to make out, to the reasonable sat
isfaction of your honorable body, that
the unlawful practice of secret rate cut
ting prevails in any part of Georgia, in
any form or under any disguise, as COM
planned Of, 1 shall pray your honorable
body to make such a general reduction
in rates on cotton over the state as will
place all sections of the state upon an
equal footing with regard to these spe-
| cial secret reductions, that all the pro-
| 6ucers and dealers in cotton throughout
| Georgia may participate ratably in them
and be relieved of existing discrimina-
| tions benefitting only favored few"
II would remind your honorable body"
| says Capt. Purse, that the present rates
| on cotton were fixed and promulgated
when cotton was worth u cents a pound,
| and that it was not reduced when the
| price sank to cents per pound, and to-
day cotton is a third cheaper than when
| the rates were established, while every
| thing entering into the construction or
| operation of railroads has declined in an
| equal or greater degree, and it is really
| due to this controlling crop of Georgia
| that it should have been permitted. from
| the beginning of this season, to have
! been marketed at a minimum of cost for
| transportation, and there is still suffi-
| cient of this seasons crop in the hands
| of planters and merchants of Georgia to
| entitle them to a reduction of at least 90
! per cent. from present rates, which would
i be the most effective way to stop secret
rate cutting by permitting the rate cutters
/ to fix their own rates, to which they
/ would have no right to object or demur
as it measures what they, at least, con-
slider fair and reasonable compensation
| for services rendered"
| Capt. Purse also calls upon the commits
| sion to take action before the interstate
| commerce commission against the rail-
| roads named, and also against the Cen
trail of Georgia. the Plant system, the
South Carolina and Georgia railroad, the
Port Royal and Augusta railway, the AT
| lantic Coast Line and the Southern rail-
way, in such instances as may be pre-
sented in the case sought to be made out.
| Capt. Purse says that he is in earnest
about requesting a reduction in cotton
| rates. The three lines named could not
| combine together on a cut rate, he says.
| If it were not for the fact that there is
profit in doing so, and if the railroads
| can handle cotton probably as less rate
| than all the railroads should be re-
| quired to come to it when there would be
| less opportunity for secret rate cutting
| and discrimination.
Capt. Purse showed Morning News re-
| porter letter from a cotton buyer at an
lnIGlloE punt HldtllS lildl the Idlt 20
Liverpool quoted from his point was So
| cents per hundred via other seaports, as
against SO cents via Savannah, and al
though this same rate of 81 cents was
| quoted from neghboring city, being tho
| published rate there, cotton buyers there
We're paying IA cents per hundred pounds
more for cotton, showing that there was
a further discrimination in favor of ship
pers from that point of IA cents per 100
| pounds, making a total apparent differ
ence against Savannah in the rates
quoted of 2S cents per hundred pounds,
| or $l.40 per bale.
The buyer may have been mistaken IN
his quotation of the rates, but il is a
| fact that Savannah receives no cotton
from that territory, although as conven-
iently situated to 1t as any other sea-
port.
AS evidence of the injurious effect OF
this secret rate cutting, Capt Purse
pointed to the fact that although II .,
well known that this years crop of cot
ton has been hurried to market mucn
more rapidly that usual Savannah's re.
! ceipts- are only a few thousand bales
| ahead of the same date last vaar x,tt.-