The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1920-09-10
RAIL INCREASE
REGULAR, BOARD
MEMBERSASSERT
Dupuis and Aandahl File Affi-
davits When Hearing Opens
in Supreme Court
STATE RATES ATTACKED
Question of Jurisdiction Also
Comes Before Court at
the Hearing

Affidavits were presented to the
supreme court of the state today de-
claring that the order Of the railroad
commission, granting the railroads in
creases in intrastate rates, was a le-
gal action Of the commission.
That is was not was one of the con-
tentions of William Lemke, acting as
special assistant Attorney General, in
obtaining restraining order from the
court, against the increased rates.
The affidavits of C. F. Dupuis and
Sam Aandhal were read in court by
F.. E. Packard, assistant attorney gen.
eral, who told the court his office
was representing the commission at
it's request on the matter of legality
of the order, and not upon the Ques-
ton Of rates.
Milh0llan Absent
The affidavits declared that the
matter of increased rates was dis
cussed at a meeting at which Frank
Milhollan, third member of the COM
mission was present, and that the
commission directed V. z. Smart to
draw up the order under the super
vision of Mr.. Dupuis.
Milhollan and Smart, who made af-
fidavits supporting Lemke's conten-
tions. Milhollan, who was present
only for the finish of the public hear
ing on the rate cases in August, was
not present in the supreme court to-
day 1t is said he is in Chicago.
Another contention of Mr.. Lemke
was that the public had not been
given notice of the increase. Affi-
davits were produced to show that
various big shippers of the state had
been notified, and that publicity was
given the hearing in the Bismarck
News and other papers, the conten-
ton being that the general public
was informed in advance Of the hear
ing.
''y Anderson Notified
The affidavits also stated that w.
A. Anderson, secretary of the Indus
trial commission, and ]. A. McGov-
ern, Of the mill and elevator associa-'
tion, both state employees were nOti-
fled Neither appeared at the hear
ing. Anderson and George Foster
were assisting Lemke in court to-
day, however.
The argument was opened by Mr..
Lemke, who, after attacking the legal
ity of the order, also attacked the
rates, declaring they were unreason-
able and confiscatory.
Lemke's contention today was made
at the public hearing in August by
representatives of the state employ
ers association, who held the in
creases should be based on the state
maximum freight rate law, and not
upon the federal control rates OBJ
tanning.
Disparity in Rates
He declared that the intrastate
rates in Minnesota are 40 per cent
higher than in North Dakota and that
rates in South Dakota are higher.
The commission, in it's order, recog
nized a disparity, and announced it's
of holding hearings to re-
move determinations. In affidavits
of majority members filed today, how
ever, it was not admitted that the
disparity amounted to was as great
as claimed by Mr.. Lemke.
Matter Discussed
At the time of the issuance Of the
order there was discussion as to
the commission should refuse
to grant the increase and proceed to
of intrastate disparities,
or grant the increase and then hold
hearings to remove them. The lat
ter course, it was stated, was chosen
because if the commission refused
the increase it would lose its juris-
diction, as the railroads would pro-
ceed in federal court under the Esch-
Cummins act.
The question of whether the SUI
preme court had jurisdiction was
raised. 1t was contended by Mr..
Packard that the method lay in an
appeal Justice Robinson declared
that under the constitution the SUI
preme court had original jurisdiction
in the matter.
Mr.. Lemke ceased his opening ar
yument after about thirty minutes,
saying he wished to conserve the re-
nainder of the time. Justice Robin
son informed him the limit wouldn't
apply in this case After Mr.. Pack
lrd's argument, B. w. Scandrett, SCs-
sistant general solicitor for the North
ern Pacific, took up the case. Adj
col