The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1904-10-11
REMEDY SUGGESTED
Sensational Evidence Will Be
introduced at Chicago.
Gossip and Matters OF Interest
In Railroad Circles.

Chicago. Oct. 11.-What is regarded
as one of the most important sessions
of the interstate commerce commission
this year was begun here Monday. The
feature of the meeting was an inquiry
into the relations of private car COM
panies and railroad companies and the
effect on trade. ]. W. Midgley, the
principal witness, declared that the
system of private ownership of cars
had the railroad companies firmly in
its grasp" and was zone of the great
est powers ever known"
Asked for a solution of the difficulty
Mr.. Midgley suggested a per diem sys-
tenn.
Put refrigerator cars on a per diem
of so cents for so much weight said
he. stock cars on a so cents basis and
other cars on 20 cents basis.
Before the hearing is over it will be
shown that the railroads have been
forced to give up more than s25,000,0 coo
in excessive charges; that patrons and
owners of the private car lines are in
position to crush out opponents, ana
that the railroad managers are in awe
of this combine that is able to destroy
anything standing in its path.
Figures have been prepared to show
that the beef packers can sell their
products at trifiing cost or, in fact.
give them away if necessary to wipe
out a rival This can be done without
are sufficient to pay for the beef laid
down at any point.
For six months the government has
been conducting a quiet but very
thorough investigation of all the rani-
fications of this monopoly, and is now
ready to take action.
Presidents Of great railroad systems
will be summoned to testify regarding
rebates Commission men from vari-
Gus points will be heard regarding the
charge that they are dictated to as to
where and of whom they shall buy
Evidence will be brought in to show
that the fruit industry of Michigan is
hopelessly in the grasp of the private
car lines. 1t will be shown that the
railroads alone are paying an annual
tribute of $4,000, 900 to the trust, and
that the cost Of transporting some food
products has been increased 800 per
cent since the advent of the exclusive
contract Railroads exchange their own
cars with a charge of % cents day
Where railroads use private cars the
charge is 81 a day.
In order to show to the commission
the enormous earnings from private
cars certain computations have been
made upon the use of 120, 433 cars for
one at three-quarters of cent per car
mile on eastern roads and one cent on |
western roads. Here they are:
Refrigerator cars. 1885. 045 900
car miles, at Is mills $40, 292, 401 |
Tank cars, 2S5, 54S,34S car miles.
at ~ mills ..---.-.....-.. 1,766, 500 |
at 6 mills .....,..e.......-... 1.1ss.s77
Other cars, 1863, IA, 200 car miles,
at mills Observation-Disclosures 2.21S, 645 !
1Otdl-----.-- .---.--- --.--... $15, 40 80 /
From the foregoing it appears that |
refrigerator cars earn S233.33 upon a |
valuation of from $500 to $1,000; tank |
cars S121 upon valuation of about |
$50. and stock cars $106 upon vaIu- /
alton of about $3.50.
About the time that Mr.. Midgley be- |
gan his campaign it occurred to several |
of the railroads that it would be desir- |
able to own all the equipment which !
was operated over their roads. In the /
early days railroads had not been finan-
ciallY able to construct and maintain |
the costly kind of equipment demanded !
for the transportation of certain COM |
modities. Having passed through pc |
riod of bankruptcy into a period of |
and increased revenues many /
of the roads determined to shake off
the grasp of the private car companies
Among these was the Santa Fe and
the Southern Pacific. Both refused to
renew the contracts which were then
expiring for the use of the fruit cars
of the Armour Car Line. The Santa
Fe management, under the guidance of /
Paul MortOn,nOw secretary of the navy
held to its determination, and has con-
structed more than 1000 fruit cars.
breaking away from the grasp of the
Car Line. The Southern Pa
cific, however, reconsidered.