The Oklahoma City times. [volume] (Oklahoma City, Okla.) 1908-1984, 1915-03-30
THORNE OPENS
SHIPPERS CASE
Hearing Involves Hundreds Of Millions
Says Chairman Of Iowa Railway
Commission; Mistakes in Figures.


testing shippers In the western uil-
road freight rate hearing outlined be-.
fore Interstate commerce commission
.er " NJ Daniels today, the oppusi
tion NJ the shippers to the freight
rate increases proposed by Al western
railroad systems.
The railroads are seeking to have
present rates Increased ON certain com
mUIilies, which they assert, nt pres
cut do not yield them fair profit.
The total increases, II granted ac.
cordlng to the railroads, would IN
crease their revenue $lOOOO,OOO Il yenr
The railroads have been presenting
their side Of the case since March 4
Mr. ThOrne's statement at the hearing
today was the beginning Of the ship.
pers case He said
During the past four weeks this
commission has heard the testimony
offered 10y the officials Of western rail
roads, IN favor Of an Increase In their
transportation charges, aggregatlug
millions Of dollars annually.
I'VE will now present 10 you the evil
dCnce ON behalf of the producers ship.
pers and consumers Of this western
part OF the nation.
"Our object is not 10 make a general
onslaught upon the credit " these YVES
tern railroads The result Of our ~
forts will be rather to help establish
tho sounducss and strength of theirs
credit
AS indicating conditions IN the ter.
ritory involved. only the testimony Of
the presidents NJ the Chicago Great
Western railroad, the Missouri Pacific
railway and the Missouri, Kansas a
Texas railway was introduced. Moth
Ing further need be- said This com
mission and the public knows wheth-
er they represented typical lines or
weaklings This procedure IL In mark
ed contrast to that pursued by the
eastern railroads, where the chief eX
eutlyes of the representative lines tes-
titled
We will show you thnt three
fCurths " the traffic IN this territory
Is being handled by companies that
are earning, above all operating eN
penses, all taxes and all interest on
bonds and debt, from six 10 sixteen
per cent on all their capital stock out
standing In the hands Of the public
Heretofore the railroads have been
| far better equipped than the shippers
In cases involving rates but In the
present case the commissions Of six
teen western states IN compliance
with state laws, have secured the ser.
vices Of an eminent corps ~ expert
accountants and statisticiAn~, and are
looking after the Interests NJ the pub
| lie.
Joined with the commissions ARE
the representatives " upwards Of BOO
! 900 manufacturers, merchants. grain
dealers, live stock dealers and other
producers. and consumers, scattered
throughout the territory.
Never before has there been such
an extensive organization on behalf
Of the public In any case
"In the gathering Of this material,
every courtesy possible has been eX-
| tended 10 us by all the railway com.
panles, with only one exception
we will demonstrate to you some
mistakes in the figures offered by the
railroads. We do not call them mis-
representations, for all Of us are liza
| BILE tO err at times Some uf these er-
rUrs are small and Of little import.
anCe; while others are basic and fun
! damental.
1t is not necessary for us TO parade
glarlng sensational incidents Of high
finance or questionable acts. II Is a
cold blooded business proposition.
The famous Gould printing press
scandal where they made Erie stock
over night, an incident that will prob.
ably be famous for all time only in
volved some S23,0O0,000
The present movement for In
creased freight and passenger rates
involves several times that sum Of
money, not just at one time but
every year now and In the future, for
this and future generations to pay.
"The impression has been given that
railroads have not been able to main
tain their properties during the re
cent years, that they have been com
PEELED to retrench 20 severely that IN,
I public has been injured, as well a.
{ the railroad properties. This is tru'
as to some railroads, but we will show
: you II IL absolutely untrue as TO west
A -..NI L.. l.. Fhpl la a
! business there are temporary periods
\ Of depression when the railroads a.
q whole including both the strOnl
!, and the weak lines, are compelled L
J retrench In their expenses for time
. II will be conclusiyely proven TO yo,
! that these Western carriers expended
In 1914 In maintaining their proper
D ties $500 per mile Of line. whlcl
was greater than In any other year II
their history
ut will he proved that the rail
roads In western territory as who'll
have actually expended In maintain
! ing their properties during the las
five year period since the first rail
year more than for any precedin
five year period SHINE the first rail
road was built In this territory
Every railroad witness who took tn
stand admitted on cross examination
that they were maintaining thei
properties at q higher standard durinI
recent years than ever before
ut will be shown TO you that tn
: decline In the percentage OF operat
ing income on property Investment
T upon which the carriers are relyin
. 10 strongly, results from change Il
the system Of accounting, and no
, from any operating condition. o
= During the year 1914, MS all peopl
e know, there was world wide busI
! ness depression In the United State
the grain crops Of the preceding fal
4 ! fau n,,r Onn Onn nnO huaha1u