The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-02-28
RAILROAD NEWS.
Railway Men Fear Beef Trust
Inquiry.
Executive Officers of Western
Lines Meet in Chicago.
no DISCUSS SITUATION.
Prosecution of Packers May In
vOIve Railways.
Gossip and Matters. of Interest
in Railway Circles.

Executive officers of the western rail
roads viii meet in Chicago Wednesday
70 discuss the coming prosecution By
the government Of the beef trust for
violating the antitrust law. 1t is no
secret that the railway managers fear
they win be involved in the suit
through their contracts to use the pri-
vate cars owned by the beef trust, If
not in other ways more damaging. It
is alleged the government officials have
evidence to prove that the railroads en-
tered into a conspiracy with the beef
trust. to shut out competition
Last month the interstate commerce
commission. after an exhaustive inves-
tigation, made a ruling that the Great
Western, St Paul. Northwestern, Rock
Island and MOnon roads were diScrim-
mating un1ustly in making the rates
on live stock higher than on packing
house products, following contract
made between the Great Western and
the big packers for certain rates on
their products for a period of seven
years from August, 1902.
After that decision of the commission
was rendered the executive officers OF
the railroads met and agreed not to
abide by it, but to fight it in the courts
Now it is apparent that some OF the
railway managers have changed their
minds and want to reduce the rates on
live stock in car loads to at least as low
q basis as the car load rates on packing
house products.
This question will be discussed at
Wednesdays meeting of the executive
Officers and from present indications
they viii agree not to fight in the courts
the interstate commerce commissions
ruling that live stock rates should be
reduced.
In that ruling the commission said in
part: THE president of the Chicago
Great Western stated that his company
entered into the contract with the pack
ers for the purpose of securing more of
the traffic in live stock products than
IT had previously been able to obtain
It is therefore evident that, as regards
responsibility for the discrimination
under consideration. the position of the
Chicago Great Western is different from
that of the other defendants
1T is undoubtedly true that the Chi
cagO Great Western company had a
right to change it's rate on packing
creasing its business, but that right is
qualified by the prohibition that that
company shall not unduly discriminate
against another kind of traffic; and
when the company esta blished and put
in force from Kansas City and st JOS
eph to Chicago rates on the products I
of live stock that were lower than rates 4
it was then exacting between the same /
points on live stock it unduly discrimi- /
mated against the latter traffic
This conclusion is based upon all the /
circumstances and conditions surround
ing the transportation of and the rela- /
ton existing between these two classes /
of traffic, which have been fully ex-
planned above and need not be repeated |
here AS it appears to US, a contrary |
holding would be equivalent to saying |
that Quasi-public servant may use It's |
franchise for the purpose of building up
some markets and destroying others, II
in it's judgment its stockholders VIII be
benefited by such action.
THE large interests affected, the I'M
mense amount Of money invested, the
many live stock markets and packing |
centers that have been built up and
maintained under the former relation |
of rates. and the injury that VIII result
if the change in. that relation is permit
ted to continue, amply warrant the con- !
ton is not justified by the desire of the
Chicago Great Western company TO
benefit its stockholders by increasing its
business.
Having held that the action of the
Chicago Great Western company IN re-
ducing the rate on the products from /
Kansas City and St Joseph without
ma king corresponding reductions in the |
live stock rate was unlawful. the like /
ruling must be made as to the other de-
PENDANTS who have followed that COM
pany in making the disparity complain |
ed of effective The rate on the prod |
nets was reduced from the other Mis- |
souri, river points and South St Paul
because it had been reduced from KAN /
sas City and St. Joseph and reduced /
from the intermediate points because IL
all the defendants have been and are
practicing at these various points an
unlawful discrimination against live
stock traffic"