The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1917-09-17
1t Claims Passenger Fares Are
Not COnfiscatOry.
Says Rates Are Reasonable and
Not Discriminatory.
EARLY TRIAL IS EXPECTED
Three Judges Will Be Assigned
To Hear Case.
Bitter Fight Expected When
the Case Begins.

Formal answer by the state public
utilities commission in the intrastate
passenger rate case was filed this af-
ternoon with Morton Albaugh, clerk of
the United States district court. The
state commission hangs it's hope on
defeat of the demands of the railroads
on a general denial of the allegations
of the railroads. The commission al
leges that the two cent fare is COM
pensatory, lawful and reasonable ard
is not discriminatory as affecting the
higher interstate rate.
Answer was made by the commits
sion in the several cases before the
federal court. Formal answer is made
to the allegations of the Santa Fe,
Union Pacific. Rock Island. Kansas
City, Northwestern, Kansas City
Southern, Missouri Pacific and Grand
Island. Following the filing of the
answers, it is anticipated the railroads
will seek early trial on the issues thru
application for retaining order
against interference by the state COM
mission in the establishment of a
higher rate. Orders will then be is
sued for trial of the case before three
federal judges.
Trial in 30 Days.
According to opinions among state
house authorities, it was today assum-
ed that a trial of the rate case in the
federal court might be ordered within
the next thirty or sixty days. 1t is be-
leved the railroads will imm ediately
take action looking to the establish
ment of a higher intrastate passenger
rate. Interference in the establish
ment of the new rate will be blocked.
il is believed, thru the granting of a
restraining order by the federal court.
This writ will prevent interference
by the state commission and also pre- .
vent their efforts to seek trial in other
courts.
Rates for intrastate passenger serv =
ice are adequate. just and compensa :
tory, according TO the pleadings of the
state commission in defense of it's ac :
ton in refusing to grant an increase
In existing passenger charges. The
answer in each of the seven cases is
identical. Each answer constitutes n
general denial of the charges of the
railroads to the effect that the pres
ent rates are cOnfiscatory. inadequate,
non-compensatory and discriminatory.
TwO-Ccnt Fare Reasonable.
The commission affirmatively al
leges the interstate commission had
not found the Kansas twO-cent fare
unreasonable. nor had they ordered
the railroads of this state to remove
or discontinue the alleged discrimina =
ton. The discrimination claimed by
the railroad lies in the interstate rate
of 20 and "a cents a mile as against
an intrastate rate of cents flat.
Doctrine as applied in the famous
Shreveport case cannot be applied in
the Kansas rate case, the state COM
mission urges in it's answer. There is
no discrimination, attorneys for the
commission urge, altho there is a wide
and varied difference in rates for the
same distance and route of travel.
Further defense of the state action
is based on the plea of the state com
mission to the effect that the new
interSt.te rate was established on q
showing of twenty railroads in this
district. Not all of these roads, the
commission urges, were parties to the
intrastate rate case. Hence it is urged
that the conditions under which the