The record-union., 1899-12-23
Interstate Commerce Commission
Resumes Its Hearing
Of Complaints Of Shippers Against lay
Change In Classification.
General Manager Harriott Of the
Gill's Statement That the New
Classification Was Adopted Be-
cause the Railroads Absolutely
Needed the Increased Revenues.

WASHINGTON. Dec. 22-The hear
ing before the Interstate Commerce
Commission, called on account of COM
plants made by shippers against the
new proposed classification of freight
rates by railroads operating under the
official classification, was resumed to-
day.
BY agreement Frank Harriott, Gem
eral Traffic Manager of the Erie Rail-
| road. and a member of the official
Classification Committee, went on the
witness stand to testify as to the new
classification. He reiterated Mr.. Gill's
statement of yesterday that the new
classification was adopted because the
railroads absolutely needed the in
creased revenues. On many carload
rates it was felt by the committee that
no advance could be made, but it was
felt that on short hauls less than car
load lots could afford to pay added
rates. The arrangement would enable
shippers to take advantage of carload
rates to a general distributing point, the
railroads there getting some advantage
from added rates on the short hauls
from distributing points. The Classifi-
cation Committee did not consider the
market prices Of articles on which the
classification was raised.
Mr. Harriott said the controlling rea-
sons in raising the classification was
the evident necessity for more revenue,
and this was deemed the best way to
get it. So far as was practicable, the
committee and the railroads were apx-
ious to remedy, so far as possible, any
injustice that might exist in the classi-
fication. He said it would be necessary
for the sixty odd roads using the official
classification to follow, not only the
classification, but also to maintain ex-
listing commodity rates, in order to OBJ
tain additional revenues.
Inquiries developed the admission by
Mr.. Harriott that the average MIS-
cellaneous cars carrying articles paying
less than carload rates were being more
heavily loaded now than heretofore,
and therefore the earnings on that class
of traffic were greater.
1t developed at this point that at
meeting of The shippers and those rep
resentfng tlleir interests, former Attor-
ney General of Ohio Monnett, Hon. J.
Fl. Cromwell and Mortimer Matthew of
Cincinnati, had been appointed to pre-
sent to the commission the action of
the shippers. Mr.. Monnett presented
resolution adopted by the commercial
interests directing attention to the tes-
timony adduced at the present hearing,
showing, it was alleged, determinations
against the small shippers in favor of
the large shippers, and the fact that
railroads had declined to extend the
time for the new classification to go
into effect. These resolutions were sup
plemented by a petition by a large ma
jority of the shippers in attendance
upon the hearing, asking that the COM
mission lay the testimony before the
Attorney General of the United States,
with view to have him bring action
against the railroads to prevent the new
classification from becoming effective
on January l, 1900.
For some time the attorneys of the
shippers argued in favor of the COM
mission taking the suggested action,
Chairman Knapp of the commission
maintaining that the commission had
no more authority to make recommend
atoms to the Attorney General than
the representatives of the shippers. The
commission had no objection to furnish
ing the Attorney General, at the sug-
gestion of the shippers, a transcript of
the evidence adduced at the hearing,
together with the petition of the ship
pers for action under the antitrust law.
The attorneys of the shippers offered
to furnish testimony showing that the
operation of the new classification
would be in restraint Of trade, and to
that extent q violation of existing law.
1t was determined finally that the
shippers would offer some testimony,
and B. w. Brown, representing Scho-
field, Schurmer & Teagle of Cleveland,
o., was sworn. He said the new classi-
fication on petroleum would be absc-
Tutely ruinous to the small shippers.
On less than carload lots the increase
above the rates on carload lots was in
some instances as much as 273 per cent.
and in no case was it less than SS per
cent Mr.. Brown said the small ship
pers Of oil could not successfully com
pete with the Standard Oil Company,
because the rates given the Standard
on carload lots were SO much less than
the small shippers could get on less
than carload lots that the latter prac-
tically were shut out of much terri
tory.
G. H. de Gholyer, a carriage manu-
facturer of Cincinnati. testified that the
proposed increase in the classification
of vehicles would limit Ohio and old
Mississippi Valley carriage manufac-
turers to territory adjacent to their fac
tories, and that it would be destructive
of competition throughout the country.
| This closed the testimony, and the
| hearing was adjourned.
Suicide at Memphis.
| MEMPHIS, Dec. 22.-J. H. Sanders
a well known resident of Chicago, killed