The Richmond Virginian. (Richmond, Va.) 1910-1920, 1910-07-14
Decides to Sus-
pend All Freight Rates
Pending Investigation
BUT FAVORS ROADS
AGAINST COMMUTERS
Can Consume Nine Months Con
dvcfing Searching Inquiry
Into Justice Of Pro
posed Increases

WASHINGTON. p c, July IA
THE Interstate Commerce Commission
to-day established q big milestone in
the commercial history OF the country
by deciding
To suspend all general freight rate
Increases. pending Investigations
Not t. suspend increased commute
ton rates affecting New York city
travel.
To suspend proposed increased rates
On milk shipped 10 Boston.
In decisions on these three import
ant rate questions the commission for
the FIRST time made sweeping use OF
Its power TO suspend rates given X
by the new railroad Law.
In one case II was used in favor OF
the railroads, and IN tao cases against
them.
ane commission declared its inten-
sion to suspend from time TO time all
the general freight rate Increases pro-
posed By the railroRds-an ~nnoun
ment Of utmost interest 10 the railroad
world.
II affects practically every railroad
system in the country, except those
in the southeast. 1T means the sus-
pension Of Il.o06 tariffs, some on
which comprise thousands of proposed
increases in rates.
II rs 1HatCattu NndE some ol tit m
creased rates were to tax effect Au-
gust l..
Many Suspensions.
The bulk OF the rates will be sus-
pended. pending investigation for 1879
days from the time that they were to
take effect.
1t is expected by the commission
that most OF the rates can be investi-
gated within the suspension period Of
~ 4 ia Aax-u h,,4 tf 80 fha gaya-
mission has authority 10 make a fur
Their suspension of seven months.
Experts have been busy since the
rates we're fled with the commission
q month ago, and ii is stated that the
commission will be prepared by the
latter part Of september to decide on
the approval or further suspension OF
the rates.
Boston milk consumers gained a
signal victory from the commission
Taking advantage of the State law
the railroads made an increase In
from SO 10 100 per cent. in the carry
ing rate, which would have n~ecesst,
tated an important increase IN tbs
price of milk. The old rates viii
now prevail until the commission. by
Investigation, decides whether rhs
railroads are justified in raising tht
rates,
Great disappointment probably vii
be experienced by the zoo, geo New
York city commuters in the decision
h OF the commission hat the increased
communication rates stad. While thes'
high rates viii go into effect Jul,
20. the way Will be opened to tn,
com muters TO go before the inter
state commission anC
charge that any particular rate is un-
reasonable and therefore unla wfuA
This will be a long and tedious pro.
ceae. however. n not approaching
the effectiveness Of the remedy HOPED
for by the commuters, which was :
wholesale supervision OF the commute,
ton rates until the railroads shoult
present proof thai the rates wer,
reasonable.
Rates Reasonable.
In the hearing on these rates tn,
railroads presented elaborate stats
\ tics to show that they could not at
ford to carry commuters at The oil,
rates There had been no particula.
change In the rates for many years
md the railroads claimed that in tn
! meantime they have been put to vas
additional xpens In increased wages
improved service and costly road i'm
prosements.
The fact that the Communication rate
were much below the charge allowed
BY law raised the question as t
1 whether the interest coult
regulate the rates,
In u~phOidlng the advanced rates
however. the commission by implica
zion declares that IT has jurisdiction
over Communication rates, one of III,
strongest arguments In favor of tn,
railroads was that even the increased
rates gave the sNew Jersey com
Enuters lower rates than prevailed
anywhere else in the country.
Figures were presented 10 show tina
communication rates for Philadelphia
Boston and Chicago and other elite,
were higher than the proposed tariffs
At the same time the commission
S announced It's intention Of making ar
investigation OF the rea~sonableness OF
ADVANCES Communication rates under
consideration, as well as other com
mutation advances which already have
become effective.
Commissioners Clements and Prouty
dissented from the decision not Il
suspend the Communication rates.
Those favoring II were: knapp
Cockrell and Harlan.
s. Commissioners Clark aud Lane were
Absent and did not participate In the
hearings or decisions.