New-York tribune., 1919-01-28

VIII be the same as those of Mr. Nc
Adoo, we may assume that it is the
purpose OF the Director General to
return these properties to their own
erS at the end Of or very soon after
the end of the session if CONGRESS- has
, not extended the period for five wears.
IT is my opinion that Congress will
nor extend the period for that length
o. ume. 1t is the overwhelming weig 1t
Oh OPINION Of bankers, and railroad men
and all other thoughtful persons who
nave communicated their views in any
way that 10 return those properties to
thelr owners without further legi isla-
tion or some provis ION 20 care for their
necessities, would be universal dis
aster. II is the judgment of those who
understand the subject best that if
those roads are returned to their own
ers before Congress shall legislate in
some wise way upon the subject more
than one-third Of all the mileage of
the United States will be in the hands
OF receiver within sixty days after
the return has taken place.
Puts Faith in Congress
II think all the members Of the COM
mittee believe that we can propose to
congress permanent policy of read
Justment or reorganization of the re-
latlonship between the railroads and
the government within a few months.
ana we believe that Congress will be
aoie TO agree within a year upon some
enduring general permanent system
lor the control Of these highways OF
commerce.
SUPPOSE said Senator Thomas.
ol Colorado, "the statement is made
upon the assumption that there will
be special session.
Not altogether" replied Senator
Cummns. although | think there
should be special session; but even
II there is not, if the two interstate
commerce committees are permitted to
90 their work during the interim and
De ready to report at the next regular
session, we can begin the year with
al the differences composed. In view
OF the circumstances and they are
very grave-their seriousness cannot
be overestimated Vt exaggerated I in
troduce this bill"
Ihe scheme proposed by Commis
sloner Robert W: Woolley, the only
member of the Interstate Commerce
Commission supporting the McAdoo
Proposal for extending the period of
Federal control that the rate struct-
ure of the country be reorganized on a
mileage basis, was strongly dsap-
proved by Mr. Thorne in his testimony
hefore the Senate committee.
1T would be disastrous to the busi-
ness OF the country" ne told the COM
mittee. II think that Mr.. Woolley's
proposal must have been misunder-
stood"
He did not appear to understand it
very much himself,' interjected Sen
ator Kellogg of Minnesota
Meanwhile, Mr.. Thorne. who re-
sumed his testimony before the COM
mlttee when it convened this morning,
held to his contention that CONGRESS-
should proceed at once to amend the
reuefal control act so as to restore
'he powers of the Interstate Com
lnerce Commlsslon and withdraw from
the President and the railroad admin
lstration the extraordinary powers mn
ger "hlch the government arbitrarily
mas set aside established legal safe
guards for the shippers.
ne showed where, in the case of a
scheme of revision of consolidated
lrelght cassifications, the railroad
aamlnlStratlon, without making pro-
VISION for shippers being heard. has
aCopted ,o a plan involving more than
do'ooo changes in classifcations. 5000
OF Whlch involve increased rates in ad,
dltlon to the general rate increase last
June 0"'e '"''
Right of Hearing Demanded
Denying that occasion will exist this
year Tor any further sweeping in
Greases IN rates, Mr.. Thorne neverthc-
ieSs lnsisted on the right Of hearing
III IndlVtdual instances being restored
ne railroad administration. the wit
ness sald, had in contemplation an in
crease OF two cents the 100 pounds on
Hour from Chicago, st. Louis and re-
la'ed points to the Eastern seaboard
ana had made no provision for hearing
lhe Shippers. In this connection he
cailed attention to the fact that there
are TWO classes of shippers: CD Job
pefs and manufacturers, who ALWAYS
can pass on any increases of freight
rates to consumers; and (2) producers.
IKE growers of grain, whose compen.
sation Tor their product is fixed by the
market price at points of destination.
less the freight rates.
What the shippers of the country are
demanding during the period of
a1ter-the-war reconstruction, said Mr..
Ihorne, was stability in the rate
structure. He read to the committee
a letter from one Of his clients, the
Postum Cereal Company, stating that
II the present policy of the railroad
administration OF advancing rates with
out consulting the interests affected
We're continued many concerns would
be forced into bankruptcy
THE railroad administration" the
letter read, "appears to have no regard
for the shippers"