The Oskaloosa herald. (Oskaloosa, Mahaska County, Iowa) 1885-1919, 1914-03-12
RATE CASE DRAGs
coMMERcE COMMISSION STILL
CONSIDERING REQUEST OF
WESTERN RAILROADS.
BRANDEls SPECIAL COUNSEL
Decision on the Proposed Advances o.
Five Per Cent In Freight Charges
Probably Will Be Reached
Before june.
ax GEORGE CLINTON.

| idly passing and yet the Interstate
| commerce commission is still at It's
work trying to determine definitely
and properly whether or Tot the srea'
! railroad corporations OF the western
country are entitled to tack nVe per
cent additional on the charges for car
rying freight Ii was thought recently
that no decision in the case could De
reached until next September. Presi-
dent Wilson became worried over the
delay, and while he could not inter
pose personally for fear OF having II
charged that he was trying to preJu-
dice the case, il was announced
quickly that decision probably would
be reached before June.
The members of the commission
have in their employment Louis W"
Brandeis as special counsel. 1t is he
who is presenting the commission
side OF the case, which in a way means
the shippers and the consumers
side. Brandeis has made a study OF
railroad conditions and while good
many people think he is somewhat
lions and his ability as lawyer are
said to be Of great service to the COIN
mission in finding out the truth as.
between the conflicting statements OF
witnesses to. the two sides OF the pre-
sented case.
The country probably has no realiz.
ing sense of the immense quantity OF
material which must be gone through
before a decision can be reached in
this advanced rate case. The charge
Is that some OF the railroads are either
paying on watered stock or trying so
to do. and that II they had issued no
stock without ample foundation for it,,
they would all be now in a prosperous
condition, and would not need to ask
an advance in freight rates. There is
one big railroad which is paying a
five per cent dividend and which some
men declare would be paying 40 per
cent If the securities which 1t had
issued had a basis more stable than
water.
Innocent investors Plea.
Now of course thousands OF inno-
cent people have bought this watered
stock and they are expecting their
dividends, and they maintain that II
an advance rate is necessary 10 en-
able them to realize Oh their money
the increase should be allowed be-
cause they made their purchases in
good faith and should not be made to
suffer for the sins of railroad officials
and great bankers who have helped
to manipulate things so as to beneht
pecuniarily the few to the injury OF
the many.
1t is little to be wondered that there
has been slow progress in reaching
decisiou in this case. The shippers
who do not want TO pay advance
freight rates have been sending 10
their protests with their reasons for
opposing the increase which If granted
OF course they will have TO pay. The
stockholders are sending in their pleas
for an increase. The railroads are ell
deavoring to show how they are
obliged to conduct business at a loss
under the present return on freight
shipments. The financial operations
OF the roads i'll the past are being laid
bare in the rooms OF the interstate
commerce commission. The matter is
deep axe and the hope is that one
way OF the other the members OF the
commission win be unanimous in its
final decision
Pointing Out Economies.
Today the members OF the commits.
sion are endeavoring not only TO reach
u proper decision on the showing
which has been made in this matter,
but they are trying 10 find out def
nitely what economies the railroads
can practice in order TO save them
selves enough money to make the i'll
creased 1--WE per cent in rates unnec-
essary. The commission already has
ordered that the railroads abolish GER
tain free services on Industrial lines.
1t Is said that the bigger shippers OF
the country profit By this service and
that if they had TO pay for it the rail
roads would have an additional income
OF $4,000, 900 a year.
or course there are some things
in which it is said economy could be
practiced which the commission can
not bring about by order. 1t can.
however, suggest the wisdom OF
these economies and if the suggestion
is made public enough the roads prob
ably would be forced to comply
1t can be said that Notwithstanding
the efforts OF the commission to point
up economies" and to show that the
railroads can make money il they
charge for things which they ought
TO charge for and apparently do not
because they wish TO placate the ship
pers, there is a belief, growing
stronger day by day, that the roads
viii be allowed 10 charge the five per
cent additional for freight which they
have asked. II eau be accepted, how
ever, as a truth that II this request
Is granted 1t will be 80 granted be
cause the commission believe 1t Is
proper.