The Washington herald., 1914-04-04
/. c. c. ALLOWS
CARRIERS PLEA
Agrees to Expedite Its De-
cision on Petition for
Rate Advance.
SIDE ISSUES POSTPONED
Testimony Concluded-Bnefs to Be
Filed and Arguments Made
on April u.
SIDE ISSUES POSTPONED

The Interstate Commerce Commission
has granted the request Of the railroads
To have the advance rate case expedited
through a decision on their petition Tor
per cent increase as speedily as pos.
sihle and the postponing Of the collateral
questions until after the main issue Is
disposed Of. Developments yesterday
led the carriers to hope for decision
by May 10 or lay Is At the latest
While the commission will expedite
decision on the main question at issue,
1t clearly reserved to itself, through pro-
cedure outlined yesterday, an oppor-
tunity for suggesting other ways for the
railroads TO increase their revenues in
the event of a decision that the present
revenues are inadequate. In other words,
II the commission is unwilling to grant
a horizontal increase of per cent II
will be able to make such increases and
such recommendations for economy as
il sees fit.
The commission yesterday formally
closed the taking Of testimony in the ap-
plication of the carriers Chairman Har-
Ian, on behalf Of the commission, an
nounced at the close of yesterdays pro-
ceedings that the case was closed sub
ject to the filing Of certain exhibits TO
be offered by the railroads and repre-
sentatives OF shippers.
Arguments April 27.
After announcing the case was closed,
Chairman Earlan suggested an early
date for argument, and stated that ex-
animation showed that the first open date
was April 70, and he suggested that
argument be held on that date. This
was objected to by Clifford Thorne, rep
resenting Western railroad commissions.
and by Louis d. Brandeis. representing
the commission. Mr.. Thorne stated that
on account of the magnitude OF the case
he would not be able to f1le his orlet
and prepare his argument by that date,
and Mr.. Brandeis stated that Aprh -
would suit him better, particularly IN
view of the fact that some Of his ex-
hibits had not yet been completed. Chair
man Harlan, after consulting with mis-
colleagues, suggested April q. George f.
Brownell of the Erie Railroad. said that
the carriers had no desire to urge undue
haste, but they would be willing to SUD
NIT the case without oral argument anu
without briefs. :,
The commission already has postponed
ipde6nitelv the taking of testimony as TO
Iighterage in New York Harbor, and also
argument on the testimony taken IN con-
nection with free services sucn as
switching spotting, etc. These are ques-
tions which the carriers claim are COL
lateral and should not delay the oecisioh
of the main case.
Several witnesses were heard yesterday.
W. c. Maxwell, representing the wabash
Railroad, which is in Central Freight As
sociation territory, said that rates in that
territory were lower than in any other
section of the United States Central
Freight Association territory is part OF
of1ciaI Classification territory, and the
roads in both make up the fifty-two that
are petitioning for the increase
Asks for Investigation.
After placing in the record statistics
showing the increase in operating e1-
penses of the railroads in Central Associ-
alton territory, Mr.. Maxwell said:
Il think IL the per cent increase is
granted II will only afford a partial re-
lief, and that an investigation should be
started promptly on some such plan as
was pIIrsued in New England, or by the
Joint action of the Interstate Commerce
Commission and the State commission.
Mr. Maxwell said that the carriers In
Central Freight Association territory in
tended to make application for an in
crease of rates in addition to the per
cept asked He also said both increases
were necessary in order to keep some OF
the roads from going into the hands OF
receivers.
Mr.. Thorne stated that the case was
being closed without either himself or
other attorneys being given an oppor-
ness who could speak for all of the roads
who were petiticning for an increase. He
complained that only four railroad presi-
dents had been cross-examined on the
statements made by them, and each had
spoken only. for his own road and re-
ferred in general terms to the others as
being similarly situated.
Chairman Harlan requested the at
torneys representing the railroads to
designate some one to speak of the con-
dition of the roads consolidated. and the
attorneys sent for c. A Shriver, of the
Baltimore and Ohio Railroad, under
whose direction the statistics affecting
the roads as consolidated were compiled.
Mr.. Thorne developed from Mr.. Shriver.
tnat in the five-year period ending with
1913 the average per cent of total income
which became net corporate income was
sos per cent, this latter income being
after all expenses had been paid. Mr..
Thorne also got Mr.. Shriver to admit
that for the nve-year period preceding the
percentage Of net corporate income was
7.Ss.