Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1919-06-03
railway, AND.W|RE.
RATES ARE UPHELD
Supreme Court Passes on In
creases Ordered by Burleson
and Railroad Administration.
AUTHORITY Is CONCLUSIVE
Opinion Affe ects Litigations
Which Have Been Instituted
in Forty States.
AUTHORITY IS CONCLUSIVE

bE Associated Press.
WASHINGTON. June 2-Increased d
railroad. telephone and telegraph rates
ordered by the railroad administra-
ton and by the Postmaster-Gen
respectively, were sustained today by
the Supreme Court, which held that
the war power conferred by Congress
upon the President included sweeping
control over the railroad and wire sys-
TENS. with supreme and conclusive"
authority 10 da int-astate rates
These questions were decided in two
opinions rendered by Chief Justice
White. the one relative to the railroad
rates being unanimous. while Justice
Brandeis dissented =. .he telephone
and telegraph decision, but without
rendering separate opinion. The
opinions affect litigations which nave
been instituted in about forty States
and which Involve the validity of both
rate orders.
Injunctions Arc Dissolved.
As result of the courts opinion,
tnjunctions restraining the director
general Of railroads from enforcing an
order increasing freight and passenger
rates in North Dakota were dissolved.
The court also upheld the dish issal O
proceedings brought by Massachusetts
state authorities TO preven: intrastate
telephone rates in that State being in
venting advance of telephone rates in
South Dakota and telegraph rates in
illinois In addition, the court also
dismissed an original suit brought by
the state Of Kansas against the Post
maSter-Gencral seeking to have the
-ates prescribed by him in that State
declared unreasonable and 10 prevent
hem from beinS made effective.
Control Under War Powers
In deciding the cases, the court held
he nlh-, ,ny,y
government took over control OF these
utilities. together with the Presidents
proclamat tions and the railroad control
act gave the United States complete
possession and control' under the war
powers, and that Congress had right
TO confer these powers upon the Presi-
dent.
ON the face OF the statutes" Chief
Justice White said, in deciding the
railroad case it is manifest that they
we're in terms based upon the war
power, since the authority they gave
arose only because Of the existence OF
war and the light TO exert such au.
thority was TO cease upon the wars
termination. TO interpret. therefore
the exercise Of the power by n pre-
sumption Of the continuance or State
power limiting and controlling the ma
tional authority was but To deny lis
existence"
Admits Grounds for Contending.
Although it may be conceded" the
Chief Justice said in the telephone
case, that there is some ground for
centending. in view OF the elements of
authority enumerated in the resolu-
ton of Congress that there was power
given TO take less than the whole II
the President deemed il best TO do
so. We are Of the opinion that au-
thor!ty was conferred as u all the
enumerated elements and that there
Was hence a right in the p, esident to
take compl7te possession and control
10 enable the full operation of the
lines embraced In the auth ority.'
Members OF Congress regarded to-
days opinions with interfs; and de-
clared the courts views would aid
them greatly in formulating wire and
railroad legislation. The Senate In
terstate Commerce COMMITTEES met to-
day TO consider the resolution u SEN
ator KelloSg. Of Minnesota providing
Tor the repeal of the act under which
the wires were taken over and for the
return OF the properties TO private
ownership on June 80. The commit
tee expects 10 report favorap!y tc.
morrow measure providing for the
turning back of the wire systems