The Cairo bulletin., 1909-08-25
kOHLSAAT AND GROSSCUP HOLD
THAT COMMISSION Ex.
CEEDEO POWERS.
ONLY SHIPPERS BENEF 7
Opinion Says Railroads Should Have
Whole Power of Making Through
Ratcs--Judge Baker in
a Dissenting Opinion.

Chicago. Aug 24-Manufacturers
and producers generally of that ter
ritory lying between Buffalo, Pitts.
burg and Parkersburg on the east, and
the Mississippi river on the west, are
regarded as the greatest beneficiaries
by the majority of the decisions of
the United States circuit court here
today. permanently enjoining the In
terstate commerce commission from
enforcing its seaboard Missouri river
through rate in the famous Missouri
river rate case.
The opinion of Judges Grosscup and
KohlGaat, Baker dissenting, is sus-
tanned by the supreme coat of the
United States, will greatly curtail
the power of the commission over
transportation rates, restricting it TO
a sort of police court adjudication of
specific cases of alleged discrimina-
ton. The rate making power remains
in the hands of the railroads
Temporary Restraining Order.
Missouri river cities which would
have profitcd had the commission S
order been allowed to go into effect,
would benefit by the courts ruling in
the Denver rate case. In the latter a
temporary restraining order was is
sued
This case and the Missouri river
rate case are similar in principle. the
former concerning the commission S
order of new and reduced through
rate between Chicago and St Louis
TO Denver.
Claimed Discrimination.
The commissioners order of June
"a, 19GS redncnI the rate an siret class
freight from the seaboard TO Missouri
river points from sl4S to s1.39. This
order was issued on the representa-
tions of the Missouri business inter
ests that the seaboard rate of $1l5 TO
Minneapolis and st. Paul was a dis
elimination against them inasmuch
as the twin cities, using cheaper wa
ter rate of Mississippi river boats
own territory on articles coming orig
inally from the seaboard The sea
board shipper shared on the profits
seen in the commissions order over
his competitors in the central traffic
territory. who would not share in the
reduced rate
Missouri Case Over Again.
According to the aroused sentiment
i'm Chicago. Milwaukee, Detroit, St
Louis and other central traffic cities,
the order was rank discrimination,
calculated to ruin their industry.
They were aroused, however, by the
Denver case. This case was the Mis-
souri, river case oyersssgain. save that
the central traffic points and Denver
would reap the benefit of the % cent
reduction in the through rate which
the Missouri points would not enjoy
The Missouri river rates were to be
protected agair5't the middle west
and eDnver against the Missouri rivl
er The seaboard has an advantage
inboth rates.
In their opinion Grosscup and Kohl
saat held that congress, In creating
the interstate commerce act, had not
intended to place power in the hands
of few men to build up one commit
nifty, or ruin another. They held tha.
in ordering the through rates at issue
the commission had greatly exceeded
its powers.
Baker Dissents.
In dissenting Baker discussed this
point at length, declaring that the
commission. in ordering the through
rates. had done nothing more than the
railroads have always done. As the
railroads were extended west he said.
new through rates were constantly
made, and these rates were less than
the Joint rates. When a railroad
from New York to Buffalo was ex-
tended to Syracuse the rate from New
York to Syracuse was less than some
of the rates between New York anil