New-York tribune., 1910-06-07
RAILROADS HALT
RATE INCREASES
Agree to Suspend Them Until
New Interstate Commerce
Law Takes Effect.
SUIT WILL BE DROPPED
Mr.. Taft Obtains Satisfactory
Concession from Western
Presidents-To Hear East
ern Men To-day.
- - rrisune Rureau. ]

n.
ton won a great victory for the snip
pers of the country to-day, when the ex-
ecutive committee Of the Western Traf-
fc Association agreed on behalf OF the
twenty-five railroads in that assOcia-
ton to suspend all proposed increases OF
rates which would become effective arter
June / until the pending railroad Dill
has become law President Brown or
the New York Central and the execu-
1fves of other Eastern railroads are eX-
nected at the White House tomorrow.
when IL is believed they will agree 10
somewhat similar proposition
The pending bill will give the Inter
state commerce Commission an oppOr-
tunftv to inquire into the reasonable
ness of proposed increases before they
qo into effect. although rates may not
he susDended for the purpose OF such
ino,,irv more than eleven months Inc
administration on IT'S part has agreed
not 10 press the suit begun by inJunc-
+ion proceedings against the Western
Traffic Association, as the concession or
the association achieves the purpose
sought
the Secretary Of State. the Secretary Of
Commerce and Labor and Chairman
Knapp and Franklin K. Lane. Of the
Interstate Commerce Commission were
in. conference with E P. Ripley, presi-
dent Of the Atchison. Topeka & santa
FA. = A DeIano. president OF the Wa
hash. and S. NJ. FELTON,. president or the
Chicago Great Western Railroad lot
more than four hours.
Presidents Strong Case
If is realized that the administration
held the upper hand with the members
of the Western Traffic Association. and
although the representatives OF that as
sociation protested stoutly that the gov
ernnent had no case. and that the clan
.destine character of the proceedings
which had been charged by the Depart
mont of Justice was lacking, II ls as
sumed that the strength Of the govern
ment's case was largely instrumental IN
bringing about the agreement wnereoy
all increases beginning with the date OF
the alleged combination VIII De sus-
pended
The case of the representatives OF ll7
Eastern railroads is somewhat dlHereHI-
They have not. apparently, laid them
eaIves omen to a similar prosecution anu
the President will rely largely on Ms
abf1itv 10 impress on them the 1mpoll'lc
character of increases made just at tn'S
time to induce them TO suspend aO' '-i'O0
in their schedules
The representatives Of the railroads IN
sistad that the increases of which notice
was filed, following the meeting Whlch
to- baan made the occasion OF antitrust
nroceedings. affected only one-half OF
nor cent Of their tonnage, but they ao-
r,it+ed that they contemplated other in
creases which would bring the aggregate
,,r To Il Der cent of the total tonnage
Of course. under the agreements entered
into to-day none OF these advances VIII
be made
Both Sides Gratified.
Every one connected with the CONFER
ance seemed gratifed over the outcome
All thar President Taft has desired Is
that the Interstate Commerce CommlS-
sion should have authority to investlgate
Increases in rates. to determine whether
,r not they are justified by prevailing
conditions and are just 10 the shippers
This power is to be conferred under the
new law.
The railroads, on the other hand II is
,ointed out. are 10 be relieved Of embar-
-assing litigation. are assured OF a
square deal when their case is pre-
sented TO the Interstate Commerce Com
mission and are free TO resume the con-
tracts for improvements and extensions
which they threatened TO cancel had the
court proceedings continued.
The new railroad bill contains clause
which gives il effect sixty days after be-
ing signed by the President II is de-
sired TO make the provision as TO super
vision of rates by the Interstate Com
nerce Commission Immediately effective.
and to do this. as President Taft indicat-
7d tonight. 1t will be necessary to send
the bill 70 conference.
Statement from White House.
President Taft summoned members Of
the Cabinet TO aid him in the conference
with the railroad men, who reached the
White House at d. m Attorney Gen
eraI Wickersham had all along been in
GUIDED There was some surprise. how
ever. when the President sent for Secre-
-ary Knox and Secretary NageL Later
-,.Iirman Knapp and Mr.. Lane. Of the
Interstate Commerce Commission. were
summoned 1t was T:05 p m when the
conference adjourned. Then the follow
ng statement was given out:
z. p. Ripley. president of the AtChisOn.
Topeka < Santa Fe Railroad Company;
Walker ID. Hines. acting chairman eNecu-
tive committee. AtchiSOn. Topeka q
Santa Fe Railroad Company; Frederic a.
DelanO. president Of the Wabash Rail-
road Company and $ NJ. FELTON,. presi-
dent Of the Chicago Great Western Rail-
road Company, a committee representing
the twenty-five railroad companies de-
fendant in a suit brought by the govern
nent In Missouri. in which Judge Dyer
granted an injunction restraining in
,reases in rates. met the President and
the Attorney General to-day pursuant
10 a request sent TO the President a few
lays since.
The President stated TO these gentle
men at the outset that the purpose Of the
suit was 70 prevent the proposed rate
Increases (Which. under the existing law,
could not be investigated at all until
after they had become effectively so as TO
preserve the status until the new statute
could be passed and the commission
have the DOVVar 10 investigate