Omaha daily bee., 1903-02-28
RATE PROBE SINKS DEEP
Railroad officials Called to Explain Recent
Freight Advances,
COURT DECISION DUBBED mPRACTlcABLE
Delaware, Lackswanna q western
Vice President HarshIy CritIcIses
Verdict in Case Involving
Transportation Charges.

WASHINGTON, Feb. 27.-The investiga-
tion into the recent advances OF freight
rates on grain, packing house products,
iron and other commodities was concluded
FtOdRy.
Vice President Caldwell OF the Delaware,
L~ackawanna & Western, Comptroller Buck
ley and General Traffic Manager Wight of
the Baltimore G. Ohio, Freight Traffic Man
ager Powell Of the Southern, General
Freight Agent Knight Of the Wabash. Traf-
fc Manager Guthrie of the New York Gem
trail, George f. Brownell Of the Erie and
+. w. Janvierr, counsel for the Dehlgh
Valley were witnesses. In general they
contended that the increases we're based on
commercial and trafic conditions, present
and prospective, but admitted that the
earnings Of their systems were ample.
In reply to questions by Assistant secre-
tary Decker of the commission, Mr.. Buckley
said the Baltimore & Ohio was contemplat-
ing an advance OF salaries to men getting
5000 a month or more. The increase in
salaries of men getting 5000 and under.
which went into effect on January 1, would
make the cost Of labor at the end OF the
present fiscal year SO, OO0. 900 higher than
for last year. The extent Of the increase
now in contemplation was not settled. but
no uAu hOA bNlACNN ~ hEN NAEtAoN1 vi nv
road would be greater than before, because
OF increased trafio competition.
When he was asked about coal expenses.
Mr.. Buckley said both he and the general
superintendent believed coal prices, which
have been steadily increasing, would go
higher.
Mr.. Wight agreed that the cessation Of
the rebate practice had saved the railroads
much money, but declined to make any
estimate Of the amount.
Mr.. Caldwell reviewed the attitude of
traffic managers and contended that the
railroads were the real basis OF commer-
cial prosperity and without them the Indian
still would be roaming the land. The rail-
roads we're entitled to a fair return from
the investment on the basis Of service given
and not according to what so-and-so says.
"Is what the courts and legislators have
| said about reasonable rates all nonsense,
or is It o~therwise?" asked COMMISSIONS
Prouty.
1.-The supreme court decision" answered
Mr.. Caldwell. referring to a freight rate
decision. 'is not, In my opinion, altogether
practical"
Continuing, witness referred to the rail-
road policy Of avoiding depressing rates.
which he claimed had maintained commer-
cial prosperity.
Your idea, then" suggested Mr.. Prouty.
lis that railroad men of the past have been
actuated by a spirit Of Patriotism
NO. replied Mr.. Caldwell. but many
were"
He said much Of the Delaware, Lacka-
wanna & Western stock was held by chart
table organizations.
Then" interposed COMMISSIONS Prouty,
when I have to pay 81 more for coal de-
livered at my home l am making a contribu-
tion to some charitable organization"
Numerous questions were asked to ascer-
tain what the railroads thought would be
a fair return on investments. but the com
m~issioners could get no specific answer.