The sun. [volume] (New York [N.Y.]) 1833-1916, 1910-06-23
STATE IN COMMUTERS FIGHT
NEW JERSEY AUTHORITIES ARE
BEGINNING TO MOVE.

S&@AtNsNAaN@ ~ No. 80
Exceptional Case q the Erle- An inJuAo-
tloa Nay Ne Asked ROr-As e. The
OtheP Reads n bs Up 10 ne lntsESaste
C@mmeFoe Beard Tue Pagers Ready.
TRENT0E. June 12.-Baohsd By What-
ever authority the State Of New JeT-
coy can invest 10 him Attorney General
Wilson viii appear bsfOrs the lDtorutate
Commerce Commission to-morfow morning
10 request formally that the commission
exercise the power conferred upon Il BY
the reoeDt railroad act by ordering The
railroads to suspend pending further In
vestigatiom the proposed increase IN
passenger rates scheduled 10 take eject
on or before July 1.
The request Of the Attorney General
will be made az the instance Of Gov. Fort
and In accordance with resolutions
adopted BY the State Railroad Comnis-
sion directing him 20 illc petitions In IT.
name protesting against any change In
rates. The method Of procedure vas
agreed upon yesterday afternoon. when
the Governor. Attorney General and the
state Railroad Commission held q con-
ference during which Attorney General
Wickersham was consulted by telephone
in order that all legal FOrmalltiss might
be complied with in making the COM
plant. The Governor announced that be
would meet all necessary expenditures
involved in presenting the cause Of the
commuters from the emergency fund
placed at his disposal by the Legislature.
Attorney General Wilson said to-day
that he believed the state may take
effective action through the courts 20
prevent the Erie from putting into eject
any higher tariff schedule. II his views
are correct, he said. he would apply 20
the Court Of Chancery for an injunction
restraining the increase
The application. H made. viii be based
on an act Of 1904 designed 20 permit q
quehAnna railroads. In that act Il was
specifically provided that neither Of the
railroad companies should increase its
rates for freight or passenger traitic.
sub ieci 10 a penalty Of the forfeiture Of
the lease authorised by the act.
In proceedings now pending though
not involving the rate question the Erie
elaine that the lease AUTHORISED in 1888
IL no longer operative and that there has
been no merger Of the Erie with the New
York. Slisqiehanna and Western. u
Il shOuld he determined that a lease In
fact Is still outstanding the Attorney
General said. he had been directed by
the Governor 20 institute Injunction pro-
ceedinRs forthwith. Commenting upon
the situation a. regards theae tao rail-
rOaris the Attorney General said;
1t will be observed that the isaue thus
raised does not involve the question a.
70 whether In this instance the rate is
reasonable or unreasonable. The relief
10 ne sought by injunction is predicated
upon the theory that the lease by which
the Erie is now in possession Of the prop
erty Of the New York Susquehanna and
Western Railroad was only possible by
Legislative consent, and that II that con
sent imposed a. a condition the implied
II not expressed promise upon the paTt
81 the lessee not 20 increase its rates that
promise must ne kept, and n violated the
State will seek Us enforcement
The Attorney General said to-day that
u was evident that against most % the
railroads the state could not EXERCISE any
power over interstate tr@hio rates A
regards interstate traffic, he added
neither the present Railroad Commission
nor the Utility Commission which will
succeed it on july I could do more than
reoc mmsnd o. the railroads what the
rates should be he thought however.
thar under the new railroad lAw the Inter.
state Commerce Commission would prove |
- have adequate powers b deal with the I
matter satisfactorily from the viewpoint
Of the public with the whole situation J
I OmmRnsinK upon the necessary prelimi- /,
nary sreps the Attorney General said
II - important N keep IN mind what 2
Distinguishes in law reasonable from un-
~ ason able rates II the charge he more
than enough - adequately meet the cost ,
Of maintenance. fixed charges. necessary
hetterments and improvements plus =
fair return on the capital invested IN legal .
&c X unreasonabls but not .
otherwi-e In the last ANALYSIS this is the
fair test nv which the present controversy
must ..e determined Any different rule .
would mean COntisCatiOn. which violates 7
good morals aud contravenes both the B
Federal and state constitutions ANY
inquiry ~ this scope and character IN I
wolves u necessity the aid " evperts,
ths careful and thorough sitting ~ de-.
tails and, finally, a Judicial weighing Of .
the facts Asoertained such work cannot
IN done hastily II requires time II
requires patience and prOtraCted effort .
and also careful deliberaiion Il any useful .
" worthy result IL % be reached
Gov Fort has directed me- ~ Attorney 1
General . present a formal complaint .
% the interstate commission have ar .
rnrdinRly prepared the necessary papers I
and will fe them IN Washington az once
I shall ~ course Use my utmost endeav0ra /
10 present all the facts and secure a. early
4 determination as IL possible under the
practice and procedure established IN the
Jurisdiction where the complaint II
I'D ged
rOHWTTERS' ORGANIZED KICE.