The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1910-05-31

NEW YORK, May 31.--On Monday.
May 20, the presidents and trafic
officers Of the biggest railroad sys-
TENS In the United States met In the
Offices OF the Trunk Line association i
on Liberty-st. and reached into the *
pockets Of every American citizen l
with more direct touch than the
Payne-Aldrich tariff bill
II was d secret meeting and IL wan
| stormy.
In A scheme had been devised TO
lay upon the people OF the counLrv an
cnHcdgeallc annual tar OF S763,S.5..
| 600 and more.
There were insurgents present Just
as there were In congress when the
tariff law was passed But they were
powerless before the bloodless sur
gerry OF combined wealth.
In answer TO appealing cables "
Pierpont Morgan thrust his financial
arm across the sea from France,
where he is now engaged in extend
in extending his banking influence,
and choked into silence the insur-
gent railroads. Because he was able
ing OF the refusal of loans the screws
II
American people on Aug. /.
Already the screws are tightening,
but at frst-say, the first $5.000.OO0
or so will be taken out of the ship
lpers. Then the shipper In turn viii
readjust prices scales to recoup his
transportation losses and the constiIn-
er will foot the freight bill.
This increase Is entirely independ-
ent OF the increased rates west Of
the Mississippi river which go into
effect tomorrow.
Why Such a Hurry
The railroads say they need more
money to reimburse them for In
creasing the wages of employees. The
insurgents among the railroads der
clare the extra funds are needed to
pay dividends on watered stocks. The
proposed increase in rates, ranging
from 10 to 33 per cent on the neces-
stiles OF life. will bring into the treas
uries OF the railroads more than $2T6.-
100000. The highest estimate OF ex-
pense for granting the wage demandsl
Of the employees on all railroads 70
500, 100000. The railroads stockhOld-'
ers, and not the employees, get the
other $176,000,O00.
l
hurry? Because they pretend to fear
congress will amend the interstatel
commerce law to provide that the
commission shall pass upon the rea-a
sonability Of freight rate increases be-
J fore allowing them to become opera,
tive Under the present law ship
per or consumer may not protest
against an increase In freight rates
until he can go before the commis-
sion and show, beyond reasonable
doubt, that he has lost money through
the operation Of the increased rates.
One such protest has just been won,
after a lawsuit lasting 10 years.
II the railroads are permitted to
put these increases In effect you will
! not be able to dodge the tax upon
your household. II you eat bread You
must pay the freight. They take their
toll from every piece OF meat your
family consumes. You cannot even
beat the game by dying, for your es.
tate will pay a freight rate on your
coffin.
To Increase Dividends go Per Cent.
Calculated on an average of OF per
cent, this latest plan will take from.
the pockets OF the public an additions
al sum OF S276.675, 200 each year and
increase the dividends OF railroads 80
per cent. These figures are based
upon the governments estimate thar
$76S.54 is the average annual ex.
penditure OF each OF the $4,000 900
American families.
According to the summons sent
broadcast among the eastern rafl
roads. the conference was to be held
FOR the purpose OF ratifying a pro
posed increase In rates" Before It
was over. however. tire dove of peace
was the only absent symbol.
Two railroads refused absolutely 70
be bound by an agreement TO the pro-
posed increase, declaring that II was
unwise. in the face of nationwide ar
tation against the high cost OF living
and the pending railroad bill IN con-
gress. These railroads we're the Can.
adian Pacific and the Grand Trunk.
both OF which are owned for the moai
part In England and negotiate their
loans Independently OF waIl-st.
Two other Insurgents howevef'
we're ameable when j. PierpOne n,.f
gan vas appealed toby cable 10 npr,,
needed pressure. No less than fhrf,
, cabIegrams were sent TO him. and Isl
reply crushed out all insurgency.