New Britain herald., 1917-04-11
RAILROADS SEEKING / IMMEDIATE RAISE
 AHA'AADAiAAA AA
Would Accept Reduction in
 Freight Rate Increases


 railroads of the country, seeking to hasten proceedings in their applica- tions for general increases of 15 per cent. in freight rates have notified the Interstate Commerce Commission that should the increased rates be author ized the roads would accept a reduc- ton, without contest in the courts. at some later date when the present emergency should have passed. The stipulation reads as follows:
 ''The carriers are seeking 8 general advance in freight rates on the ground of increased operating expenses and increased capital charges. If these conditions should be subsequently, found by the commission not to be permanent the carriers agree that up- on a general investigation similar in character to that which the >commis- sion may conduct at the present time. the commission may order a. general reduction in the advance which may be allowed.
 "The carriers further agree that they will put any such order into ef- feet, and they will not question the validity of such general reduction on the ground that the reasonable of specific rates has not been investigat- ed by the commission"
 The roads also urged the fcommis- sion to grant the increases not later than June 1 next, declaring that the present need was imperative and that they were facing a situation grow ing more serious with every day of delay.
 Representatives of Southern and Western lines agreed unreservedly to accept any order to reduce rates gen. erally that the commission might see fit to issue later should the present day of soaring operating costs soon pass R. Walton Moore, representing the Southern group, told the commits sion that he understood there soon would be a reduction of the number of carriers in the country under pri- vate management. Later he ex- plained that he was informed that the government intended to take over cer- tain steamship lines operated by rail- roads.
 Eastern Lines Af1ix Condition. Eastern lines sought to couple with their stipulation a condition that the roads would accept such a reduction unless it were virtually confiscatory. "We do not feel" said George Stuart Patterson, counsel for the Eastern roads, "that we should bind ourselves not to go into the courts and seek a remedy should the commission at some later date, ten years hence maybe, order 8 sweeping downward revision of rates which would virtu- ally amount to confiscation of our property. I do not believe that the
 
 would do this, but it is conceivable that its entire personnel would be changed in ten years, and that the new commission might do such a thing"
 Perhaps MT. Patterson's view is prophetic of what would happen to the commission if we should grant the increase his clients pray for" Com missioner Clark replied. The com l mission requested the various inter- ests to confer and agree upon a uniform stipulation in the case of all three railroad groups-Eastern, ] Southern, and Western.
 Technicalities apparently in the | way of authorization of a general in- l crease were discussed. In the case of 1 anthracite coal, it was pointed out that the statutory two-year lifetime l of the commissions latest order would 1 not expire for some time yet and l without suspension of the rule ne
 general advance could be made or 1 this commodity rate. Other com.
 modity. rates are similarly affected. Indications are that one of two 1 courses will probably be followed
 The railroads will be permitted to file
 their proposed increases effective al
 once and they will be suspended fol
 thirty or sixty days, or they will ,e
 permitted to file them effective June
 and in the interim hearings will be
 held to determine their reasonable
 ness.