Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-12-28
Commerce Commission Sends
Out Questions to Eastern
Territory Carriers.
SEEKS TO DETERMINE
ADEQUATE REVENUES
Interrogations Go to Heart of Physi.
cal and Financial Operations
OF Roads.

series OF interrogatories was ad.
dressed by the interstate commerce com
mission last night to the railroads OF
eastern classification territory in rela-
ton to petition of the roads for an ad-
vance of per cent in their freight rates.
The inquiries are designed to develop
such facts concerning the physical and
financial operations of the roa as here
tofore have rot been submitted to the
commission
In its circular to the railroads the COM
mission points out that the fundamen tai
questions which have arisen in the ad-
vance rate proceeding are:
DO the present rates of transportation
yield adequate revenues to common car
riers by railroads operating in official
classification territory?
IF not. what general course may car
riers pursue to meet the situaion?''
Gets Helpful Information.
The commission says that elaborate
and helpful information already has been
submitted by the roads showing the di-
minishing net returns from operations
and lessened net income.
These statements of the financial re-
suits the commission statement con-
tinues, do not furnish fully the data
deemed by the commission to be neces-
sary to determine the general course car
riers may pursue to meet the situation.
The commission requires for this pur-
pose additional information from the rail-
roads with view to determining both
the causes of the diminishing net rev.
enueS and net income and the general
course to be pursued
Ii is the understanding Of the commits
sion that some of the railroads are in
position to make full responses to the
delay, while others will require some time
to compile the data ordered.
In Seven Groups.
The inquiries are divided into seven
groups, which go to the heart Of both
physical and financial operations Of the
roads. The various groups deal with the
revenues and their conservation; returns
received from transportation of various
commodities and practices of carriefs in
granting to shippers special service and
allowances: the purchases Of equipment
financial history of the roads: inquiries
to develop information regarding the
financial interests of directors, officers or
employees of the roads lin the business
or DdrueS TO tT8nSdcltOuS III WHICH LIE
roads also are parties; sleeping-car con-
tracts and parlor-car service, and re-
suits Of such operations
Responses to questions relating to rev.
enues are expected to contain infOrma-
ton regarding allowances to terminal
railroads owned by industries, free
switching, lighterage. loading and un-
loading freight, free warehousing. recon-
signment, favorable rates and special
train service and milling in transit privi-
leges.
Seeks Light on Interests.
The commission also expects to learn
the extent to which the directors and
officials OF railroads have other financial
interests in the transactions OF the car
riers, and, with other things. it is de-
sired to determine to what extent con-
fiicting and INTERVIEWING interests. COM
monty described as interlocking directo-
rates. prevail, and what influence. II any.
this practice has had in increasing rail-
road COSTS
1t further seeks to develop 1nforma-
ton as to whether the diminishing et
revenues of the roads are not caused oy
Inadequate returns on passenger trs nc.
in view of the large expenditures r. at
ing specifically to passenger service. me
carriers are directed by the commission
to submit their responses before January
Al