Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1910-07-12
Commerce Commission
Begins Inquiry into
Increased Schedules.
ATT'Y-GENERAL WILSON
REMAINS IN BACKGROUND.
Boards Special Counsel, Mr..
Lyon, Alone Faces Galaxy
of Railroad Lawyers.

Especial to the Newark start
WASHINGTON. D. c.. July 12-The
fight of the New Jersey commuters
against the raising of rates in thar
State into New York by the PennsyI-
vania railroad, Delaware. L.aclawanna
and Western railroad. Central Railroad
of New jersey. Erie and other roads
opened before the Interstate con1A
merce Commission in earnest.
Imposing lines of counsel and high
railroad officials marked the session.
Frank Lyon, special counsel for the
commission, was lined up against the
entire galaxy of railroad attorneys.
Attorney General Edmund Wilson, OF
New Jersey remaining In a rear seat
and only when Chairman knapp asked
If he desired to have anything to say
declared that the State was unable 70
go into the case at this time as he was
not fully prepared.
Starts Bah Rolling.
Attorney George F. BrowneIl, coun-
sci of the Erie railroad. led off with
the first statement, In which he pointed
out that in his opinion the attorneys
for the opposition should have present.
ed prinaa facie case Of violation Ct
the law before the commission could
take cognizance OF the matter Mr..
Lyon. interrogating Chairman Knapp.
ascertained that the commission was to
consider the further suspensiensof the
rates until the matter could be gone
into thoroughly Throughout the hear
ing Commissioner Prouty asked num-
Der OF questions bearing on the argu-
ments submitted.
President Truesdcll, General Pas
senger Agent Cullen, Of the Delaware.
Lackawanna and Western railroad.
and vice-President Thayer. of the
Pennsylvania railroad. were examined
during the morning by the attorneys
for the two roads. They later sub
mitted TO brief cross-examination In
his argument Mr.. Brownell set forth
that the rates should be allowed to go
into effect for a number of reasons.
which he outlined as follows:
l. That the business is not profltanIe
and that it doesn't pay its fair share
of the expense of conducting the COM
pany's business (Erie). and in some
cases does not pay its own strict oper-
ating cost.
2. That the current expense Of con-
ducting the business has very largely
increased
Says Increase Is for Public Good.
8. That the company has recenfig
been required to expend very large
sums for Improvements necessitated
solely or principally by the compang's
business, and win be required IN the
near future to expend additional large
sums for similar purposes The in
crease in rates will be to the public
advantage through enabling US to make
improvements improvements OF the
service is of much more Importance TO
the commuter and suburban community
than the maintenance of extreme low
rates.
At the opening OF the hearing Chair
man Knapp announced that the ques-
tion Immediately at issue was the sus-
pension of the Communication rates. On
that point the commission desired. he
| said, to hear from the railroads their
reasons for making the proposed ad-
vances.
George F. Brownell, general counsel
of the Erie railroad. summarized the
situation as follows: 'The increase on
average revenoue per ride ranges from
"a cents on the main line to 6 cents
on the Greenwood Lake division, and
the average for all lines is 40 cents
The increase in average revenue per
mile ranges from 16 mills on the main
| line to 81 mills on the Newark division.
The average for all lines is 90 mills
Erie's Counsel Sums Up situation.
Mr.. BrowneIl epitomized the reasons
for the decrease in this way:
The Communication business is not
profitable and does not pay it's fair
share of conducting the company's
business, the current expense of con-
Quoting the business has Increased
largely; immense sums have been ex-
| pended in improvements. many of
which have been demanded by the
commuters. and the present rates ere
unduly low as compared with cornmu-
tation rates IN other parts Of the
| country"
George A. Cullen. general passenger
agent of the LackaWanna road. said IN
most instances the proposed rates were
lower than communication rates on other
lines for similar distances. He figured
that the general increase in commute
ton rates by his road would average
approximately Is per cent. He pre-
sented a table showing that the M
crease of the cost Of labor Of all forms
during the last year had amounted 70
SO per cent. In discussing the cost Of
handling passenger traffic he asserted
that it cost II per cent. more today 81
seat passenger in coach than It did
| twenty years ago.
| ]. B. Thayer. third vice. president o<
the Pennsylvania railroad. gave festl-
mony along the same line a. that e.