The New York herald., 1921-07-29
NEW ENGLAND LINES
LOSE PLEA ON RATES
L G. G. Says Data for Division
of Revenue Were Lacking
in Detail.

WASHINGTON. July 2s.-The Inter-
state Commerce Commission refused to-
day to prescribe divisions Of joint
freight rates to go to New England
roads. but declared that fair divisions
cannot flow from existing arrange
ments." Data furnished by the New
England roads. while "voluminous." the
commission said. were limited and not
sufficient to afford a valid prescrip-
tion' of divisions.
The commission commented on the
failure to submit data on division OF
rates obtained from the joint transpor-
tation of COAL high explosives, milk
fresh meats and certain other products.
The roads We're ordered to submit
promptly proposed readjustments that
will remove Inconsistencies.
New England carriers applied for
redivision of joint rates between car
riers east and west of the Hudson River,
seeking greater share of the revenues.
and protracted hearings were held by
the commission last winter.
The commission agreed with the
roads outside New England that the ef-
fort of New England roads was ito aug
ment their revenue from traffic which
they interchange with their connections
without regard to the question of wheth-
er the present divisions are fair and
reasonable and without consideration Of
the probable effects upon revenues OF
the other roads.
The commission said also that to ex-
clude certain roads In New England
which We're opposed to the proposal OF
the majority would not be treating the
New England roads as a whole"
In reply to the request on blanket
increase to be allotted among the roads
by the commission the decision said
This would be taking from one road
and giving to less prosperous road,
thus doing by indirection what the Con-
gress deliberately and specifically re-
fused to authorize us to do"
The financial condition of New Eng
land roads is not measurably worse
than that of some of the defendant
roads, the commission nsaid.
mo evidence of thu reasonable and
equitable measure of divisions other
than as whole has been offered" the
committee said. mo method by which the
apparently incongruous plan of divisions
now in force might be readjusted has
been submitted and we are thus left to
deal with the situation in the light Of
generalizations, which can lead only to
speculative ventures upon an unknown
field. The various methods which have
been suggested to alleviate the financial
conditions of the New England lines
and assure them just. reasonable and
equitable division indicate In themselves
the uncertainty Of their application and
it is apparent that If adopted they
would not only perpetuate the incon-
sistencies to which complainants refer,
but would create new preferences and
prejudices."
Much of the evidence adduced was
solely in behalf of the New Haven and
manifestly has no application to condi-
tions on the Bangor and Aroostook. the
Central Vermont or the Rutland"
Commissioners Campbell. Potter and
Eastman dissented from the opinion.
Although unwilling to discuss ex-
haustively the decision of the Interstate
Commerce Commission relative to rate
divisions on freight exchanged between
the New England roads and Eastern
trunk lines, in the absence of a full re-
port of the findings. w. H. Williams,
chairman of the Wabash Railroad, vice.
president of the Delaware and Hudson
and chairman Of the committee which
conducted the negotiations on behalf Of
the trunk lines. said yesterday that adj
vices indicated the commission had defi-
nitely established three points:
Cd The New England lines are not
entitled to a larger division of rates by
reason Of operating conditions which af-
feet both groups of carriers; CD the
trunk lines are under no obligation to
donate part of their earnings to the New
England roads as compensation for in
clusion of the former in the Eastern
ment includes many inequalities. favor
ing the trunk lines In some cases and
the New England roads In others.
He said committees would be ap-
pointed soon to iron out promptly those
Inequalities in accordance with the or