The sun., 1916-02-10

whole the n't revenue OF the carriers In
official territory was too small for assur-
anr" of prosperity. This was true espe-
cially, he said. of tho Central Freight
Association territory. Whatever might
he true OF the rates. he added. tho net
operating revenue was Insufficient
~ am not saying that there was any
thing Improper or dishonest In the rail-
road propaganda Here was IA great
contest involving sJO.OO0,o00 or $780,
nuo, 900 II year. " We adopt the standard
al dollars and cents II WAS the most i'm
portant ease ever tried by private parties
before n human tribunal. and after all
were heard. special counsel appointed TO
80 all phases Of tho case presented.
without any warning or notice to other
counsel conceded the very point at issue
at that time"
What relief did ho ask for the rail-
roads, asked Senator Walsh OF Mon
tsna- Democrat
lie did not favor the . per cont. rate
Increase" replied Mr.. Thornc.
wanted Rate Advance.
'ITe admitted that the net revenues
we're too small. not the gror>s revenues"
said Mr. Walsh "So admission was
made that rates should be increased"
There were several ways for In
cr'asing tho net revenues" replied Mr..
Thorne Scientific management was
onc though Mr.. Brandcis stressed ii
little AZ this hearing. Then there vas
the charging for private ears Of di-
r"ctors and special charges for expe-
d ted service and industrial switching
He recommended further an increased
passenger rate which would be tax
on tn" public and charging the Gov
eminent larger amount for carrying
th" mails. with increased charges for
spottng cars. or the entire series
which he recommended only one af-
! e'ted not revenue alone and was not
an additional tax on the people
Your view" said senator Walsh,
was that the net revenue OF the roads
was adequate. and Mr.. Brandels. con-
s'd"rinE all these conditions. thought the
revenue inadequate and recommended
az increase by special advances and
| not b. . per cent, horizontally"
IF the net revenues" put In senator
Cummins OF Iowa, who did tho Ques-
tioulng for the Republicans. were SUI
iiricnt. aud II Mr.. Brandels was right
| about theso special details. the rates
should not have been advanced. but
reduccd"'
YES replied Mr.. Thornc
MIR. Rrandeis's vicw." said Mr.. Cum
m.ns. was that tho public should pay
| more your View was that the public
should pay loss
YES" answered Mr.. Thorne.
Mr. Thorur raised a new issue against
| NJ. BrandeiS when he called attention
to the fact that national valuation Of the
railroads eventually would go before the
| supreme Court
Nv" are just making a national ep-
praisl of the railroads" said Mr..
| Thorn, MANY phases of this situation
Will come before the supreme Court for
/ final determination. IT you gradually
/ pack tlat tribunal with men with pre-
conceived notions. whether honest or not.
as to high or unreasoudbly high returns
on railroad Investments II will he very
costly To- the American people"
/ y discussion of the interests Of the
| consumers brought from senator Chiffon
! the statement that the democratic party
was the only protector of the consumer -
well, IN" democratic party ought "a
have had Republican at the rate
cases." retorted Mr.. Thorne. THE in.
terest oi the consumer is usually a mat.
ter Of jest"
John NJ. Eselman. Lieutenant -C;over-
nor of California, formerly chairman OF
the california Railway Commission. fol.
| lowed MIR. Thorne on the stand
Il couldn't for the life Of mo tell just
exactly why Mr. Thornc felt as he did
about Mr.. Brandeis." lie added tina,
he had failed TO md any one connected
| with the rate case who shared Mr.
Thurne's views about Nj. Brande.s. "Mr
! Rrdndeis wouldn't have been performing c
his dnty TO TN. public II he had taker
any other position" said Mr.. Eshelman
J ''Alr. Thorn" has been my friend Ions
, t'ne--I don't know whether he will h.
after tonight"
Joseph NJ Teal. representative of ore
gon shippers. testified that Mr.. Brandeis
would "betray NJ one on earth. much Lose
! the public"