The Detroit times., 1910-06-07
TAFT AND RAILWAY
PRESIDENTS AGREE
Rate Increases Scheduled for juno
! or After TO Be Withdrawn. and
Commerce Commission Will Act

plete agreement between the govern
ment and the recently enjoined rail-
roads Of the Western Trunk Line asso
citation was reached ct q White House
conference which lasted for more than
four hours yesterday afternoon.
The railroads represented agreed "a
withdraw all rate increases fled to be
effective on or after June /, and agreed
to ale no more increases until the bill
In congress which gives the interstate
commerce commission power to inves
tigate and suspend increases that are
not justified, becomes q law and goes
into effect.
President Taft thereupon stated that
the administrations purpose In bring
Ing the Injunction suit had been &C
complished and the suit would be dis
continued The discontinuance Will
not be entered, however, until after
the new railroad law Is signed.
The belief was expressed last night
that all OF the other railroads OF the
country which have fled increased
rates or have had such plan under
consideration, will abide by the agree
ments reacshed with the "a railroads
ramed as defendants In the recent
suit.
Another Conference Today.
There will be a conference at the
White House today I'm which President
Brown, OF the New York Central rail-
road: President McCrea, OF the Penn
sylvania, and other officials represent
ing railroads In the eastern and central
territory will participate. That they
will acquiesce In Mr.. Taft's PROPOSE
ton and hold up the proposed In
creases until after the new law be-
comes effective, Is taken for granted.
Everyone connected with today s
conference seemed gratified over tie
outcome All that Mr.. Taft has de-
sired is that the interstate commerce
commission should have authority TO
investigate increases In rates TO de-
termine whether they are justified by
prevailing conditions and are just TO
the shippers. This power is to be con-
ferred under the new law.
The railroads, on the other hand,
are TO be relieved OF embarrassing
litigation are assured OF square
deal" when their case rs presented TO
the interstate commission. and are
free TO resume the contracts for im-
provements and extensions which they
threatened to cancel had the court pro-
ceedings continued.
The new railroad bill contains
clause which gives 1t effect go days
after being signed by the president.
IL Will be necessary to make the pro-
vision as to the supervision OF rates
by the interstate commerce commits
sion Immediately effective and for this
reason. as Mr.. Taft indicated, 1t will
be necessary to send the bill to con-
ference.
Mr.. Taft summoned three members
OF his cabinet to sit with him In con-
ference with the four railroad officials
who reached the White House at p.
M. Acknowledgement Wickersham mad
all along been included. There was
some surprise. however, when the
president sent for Secretary or state
Knox and Secretary OF Commerce and
Labor Nagel. Later Chairman Knapp
and Mr.. Lane. OF the Interstate COM
merce commission. were summoned
II was 1906 D. m. when the conference
adjourned.
To Withdraw Increases.
The rate increases specified In the
Injunction suit against the railroads
I'm the Western association did not
cover all the increases that had been
6lad with the commission. The rail-
roads. however, agreed to withdraw
all the increases that had been planned
for June / or after.
There have been q number OF In
oreases put into effect during the last
few months. These will not come un-
der the agreement. For instance. the
increased rates on livestock. effective
last March. will not be affected. The
important increases, however. and the
ones of which the shippers chiefly
complained, were those scheduled FOR
June /. and after.
The railroad presidents In confec-
ence with Mr.. Taft put up lengthy
argument. They declared they hau
oeen misrepresented as to there nav
ing been anything clandestine ABOUT
their agreeing on or filing the new
rates. They asserted they had sent
notices OF the proposed increases and
even had the receipts Of certain OF the
shippers who had denied ever having
received such notices. Finally, they
declared that the increased, rates had
been filed In the same manner as the
interstate commerce commission had
approved for the past 10 years.
The railroad presidents told Mr..
Taft incidentally that they had been
advised by their counsel that the gov
ernment's injunction suits could not
lie sustained. The president replied
that he was willing to take a chance as
10 that, and he thought the best way
out for the railroads was for them TO