The Chattanooga news. [volume] (Chattanooga, Tenn.) 1891-1939, 1920-05-21

ION stated II would proceed al once n
hu among the various lines. Hearings
'ohnent on May 20 In Washington
, Drastic Order Issued,
Inese were the orders given.
TuI warning OF traffic without ref-
vhehce 10 previous routing; abrora
car n y, ~ railroad rules governing
uar service; transfer OF 81. .0OO oo,s
uars from west 10 east and of "a
uOv boNcars from the east to IL.
Erain fields OF the west
haii executives, assuming active mar.
bns,. bbnh. ulrectlon OF traffic movements on
tneir respective lines left WaEhInetnt.
Tor their headquarters TODAY after f,,,"t
uonlerences with the commission en,,
uuent that the authority given bv the
commission, which Removes eertal,s
,naamperlng federal and state restrir-
,nr,.l nsl Wlh enectually clear IN the big
,erninals or congestod freight and mmke
way Tor free movement OF esaenfla{
commodities, Many expressed rnnf+
dence that relief from the coneeetien
would be felt within few davs II
MN MI take weeks, however. to move All
.he enormous tonnage stalled on mi
roads and effect an equitable dlstribu,
ton OF the empty car equipment.
Ihe commissions order speclfcnilp
directs that all traffic be forwarded n
ues.inauons by the most expeditioul
route available With the lifting of
legal restrictions on the chanrinr ~
Iou.ings the railroads may tackle the
traiilc jams free from interference.
Won't suffer Financially.
inc carriers VIII not suffer any
financial loss through the diversion II
ears over the quickest routes 10 deati.
nations, as the commission In It's order
stlpulates that the charges for fhe
transportation OF all such tranic shall
pc the same MS they would have haen
u such rerouting had not been effected.
Hold Hearings May 40.
hearinES to consider applications fof
the commission asked that Applications
emhody detailed statements of I'M
transportation needs which the Carrier
would he unable 10 meet, and what
service for the public could not he per-
formed II the loan asked was nor
statements Of security offercd
and the earning power OF the appil.
cantH
III tho loan IN desired for other IA.
nitlonH and hettermcnfs" the Commits
Hion said, III should be clearly stated
wherein the expenditures proposed viii
expedite car movement or meet the
transportation needs Of the country
The N2h.NO0.nna for equipment might
best be disburseds' the statement amld
Through n nutiuHkl euuipmcnt corpo4
ration. In which the carriers would take
stock for 20 per cent, OF the cost of
the equipment. the United States nB
vanclng the cash for the stock up %
Sfab, ,0O0. 900. and the remaining 7b per
cent being financed through cnr
trust. Provision would have TO be made
Ior aueqhate per ulem or rehtai WIN
zuch an arrangement. ~
I'm the event this equipment cornn-
ration cannot he organized, then the
fund should he distributed 20 those caF~
ieis VINO inaivluuaily can meet the
sovefnmenth advances with large pre-
poruonai amounts hnanced by them-
selves.
Other recommendations Tor the
disbursement OF tho revolving fund
provided ~ the transportation. act
were ~ Follows;
Temporary reserve Tor claims anu
Judgments. Sf0.o0nVnhs temporary
reserve for fnaturitles tb0.0pO, 600
termenta which win promote the
movement OF cars, $4,000, 900.
New equipment required by railroads
% meet minimum needs Ii estimated
W tho interstate commerce commission
AZ 1000 locomotives and 100000 freight
'arH. including 10000 refrigerator cars.
rhe commission estimated that equip
nent already ordered and 10 cost tie1.-
100000 represented probably less than
rs ncr cent Of that needed.
ut Ia evident" the commission state~
nent said, that the equipment re-
iulred properly 10 meet the transports
alton needs OF the public cannot be
iecured unless the carriers themselves
assume the burden OF financing the re-
rs per cent"
Since the distribution Of the revolving
und by co-nperative action with tho
.aiIroads has proven impracticAble. the
said. ALLEGATION OF the x139,~
100 900 for equipment would be made
10 the percentage which the
tnndard return ~ company bears to
he total standard return OF all the rail-
Dads In referring 10 the opposition 20
his plan by the national association u
lwnera of railroad securities, the COM
mission remarked that few applicants
aem 10 appreciate the necessity that
no carriers assume a part Of the burr