The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1899-06-27
NEWS OF RAILROADS
HEARING IN THE. ALBERT LEA
CASE DEVELOPS SOMETHING
UNLOCKED FOR
MILwAUKEE's SECRET TARIFF

Caused "A Sensation In the Board
: OF Railway missiOners-An
Effort Made to Have 1t With
drawn FaiIs-LOcaI Items.
The hearing in the case of Ransom
Bros, Of Albert Lea, against the Min
neapolis & ST. Louis and the Milwaukee,
and the Minneapolis & st. Louis against
the Chicago, ST. Paul, Minneapolis &
Omaha came up before the railway and
warehouse commission yesterday. The
action is an effort on the part of the
plaintiffs to secure a change in Joint
rates from Albert Lea, which, under the
joint tariff now in force, are claimed to
discriminate against Albert Lea shippers
Considera BILE evidence was introduced,
and the hearing continued until July Is
The only unusual feature connected with
the proceedings was the unearthing OF
freight tariff furnished by the Milwau-
kee to George A. HORNED. an Austin,
Mimi, pork packer. which has been in
the nature of a state secret, the railroad
having forgotten TO file a copy with the
commission. The rates of the schedule
are exclusive to Mr.. HORNED, and are con-
Hsiderably lower than those OF which the
general public have the advantage
Ransom Bros. were represented in the
hearing by w. NJ. McAllister, their credit
man Assistant Attorney General Dona-
hover presented their claims and took
charge of their case. The Milwaukee was
represented by A. c. Bird. of Milwaukee,
general traffic manager; c. B. Keeler,
assistant general solicitor. and E. D.
Sewell, of the freight department. Vice
President ]. T. Clark and General
Freight Agent H. NJ. Pearce and Thomas
Wilson, general counsel. were present in
the interests of the Omaha. General
Traffic Manager P. c. Stohr and General
Counsel F. B. Kellogg, Of the Great
Western, were also present
Mr. McAlIister was the first witness
called in the hearing and gave consider
able testimony relating to rates charged
from Albert Lea to competitive points
over the Minneapolis & St. Louis. in con-
nection with the Omaha and Milwaukee,
showing that Albert Lea shippers paid
higher rates than those in force from the
e. Twin Cities over distances comparative
ly the same. He showed that the rate
from Albert Lea to Heron. Mimi, a dis
lance of III miles. is 4S cents per 100 first
- I.
distance of 100 miles, the rate is but a
cents per 100. From Mankato. seventy
four miles away, the rate is but 80 cents.
This was a fairly representative exam
pie, though many other instances were
cited. The commission introduced in ev-
fdence graphic representation Of the
rate situation, Albert Lea to competitive
points, as compared with the condition of
rates to the same points from st. Paul,
Minneapolis and Mankato. The chart
showed irregularities and that the Albert
Lea shippers are getting the worst of if.
One of the witnesses subpoenaed for
the hearing was George A. HORNED, the
Austin pork packer. The state intended
to introduce his testimony in order to
show the difference between rates from
Albert Lea and Austin to the same
points. With his evidence came a sur
prise in the shape of a secret tariff fur
nished the Austin shipper by the Milwau-
kee. In 1897 Mr.. HORNED had a case al
most Identical with the one under con-
sideration before the commission, and
petitioned for change in rates, claiming
that those in force at that time were ex-
cessEe, TheSease was never finished, but
it was understood that the Milwaukee
had adjusted the matter out of court and
satisfied Mr.. HORNETS claims. 1t trans
pired yesterday that the road had taken
the chance offered by the dispute and
special tariff to competitive points, the
rates quoted being considerably lower
than those offered in the published
schedules. The road made no compliance
with the state law, and did not file a
copy of the tariff furnished with the
railroad commission, as provided in all
cases by the statutes. A comparison of
the secret tariff with the joint freight
tariff affecting Albert Lea showed that
1t was lower by fully 10 per cent than the
regular tariff.
Mr.. HORNED objected seriously to fur
nlshing. a. copy of the schedule, and the
effort on the part Of the state to secure
its introduction met with an emphatic
protest from General Counsel Wilson, of
the Omaha. He addressed Chairman Ira
B. Mills. who had remarked the secret
understanding, claiming that the ques-
ton. under consideration by the commits
sion had nothing to do with charges
against ANY, railroad official. Upon ex-
animation of the schedule a private letter
to Mr.. Horned signed by H. E. Pierpont,
assistant general freight agent of the Mil
waukee, was found. 1t appeared to
have been written at the time the sched-
ule was made and was addressed to c.
w. -Shere, agent of the Milwaukee at
Austin. It's contents were:
l return herewith tariff 1921 A correct
ed to meet Mr.. Hornets wishes as to
the minimum freight charges. Please see
that my instructions as to keeping this
tariff, under cover are followed carefully
Use it in billing and the auditor will
cali upon you for statements. Such doc
uments could show. in addition to way
bill reference, weight, charges and Juno
tions via which routed.
A motion was at once made that both
the letter and schedule should be ex-
Guided from evidence, but Chairman
Mills held differently. and both were ad-
mitted. Mr.. HORNED testified that when
the tariff was issued he understood that
1t was part of public tariff being then
prepared for packing products. He stated
that under 1t rates from Austin to Ma
della were graded from SOP cents first
class. To st. James, via Mankato. rates
under the schedule were 55 cents. graded
down A comparison of the rates quoted
with those in force from Albert Lea
showed difference on first class Of 10
cents. =,
The testimony Of Mr.. HORNED closed the
case for the day. A consultation was
held by the interested parties, and the
railroad officials made a request that the
action to be continued, to give them a
chance to digest the evidence introduced
The request was acceded to, and a. sec
ond hearing set for July 49, 1t is under
stood that unless some explanation salts
factory to the commission is made re-
garding the Horel tariff the offending
parties will be prosecuted
"a e n CTECTTnN