Paragould soliphone. (Paragould, Ark.) 1918-1950, 1922-01-18
HEARING IS
HELD ON N.
& n. 4. ROAD
Question of Resumption
Now in Hands of Finance
Division of Interstate
Commerce Commission.

Commerce Commission.
Washington, Jan. 17.-The ques-
ton of resumption of operations of
the Missouri and North Arkansas
railroad now lies with the Finance
Division of the Interstate Commerce
Commission, following an all-day
hearing on the application of that
line for an increased division OF
earnings from the trunk lines which
it taps.
Senator Robinson, Representative
John n Tillman, j C. Murray, re-
ceiver of the line, and w. c. Nix
vice president of the Western Tie
and Timber Company, testified in
favor of the applications while the
trunk lines were represented by an
array of attorneys and traffic Off
cials
Receiver Murray repeated state
ment made at the previous hearing
by Festus Wade of St. Louis, repre-
senting the stockholders of the M,
and n A., that operation could not
be resumed if any one of the three
needs of the company were refused.
The three requirements are: In
creased division of earnings, re-
duction in wage scale and a loan
of $3,500,0O0.
The opening argument was made
by Senator Robinson. Nixon, the
only witness called by the officials
Of the abandoned railroad. served
notice on the commission that un-
less an early decision was reached,
hundreds of farmers will have NOV
cd to other sections of the country.
These farmers want to know before
they put in their crops, he said. A
decision April l will be too late, and
the farmers will be gone, the wit
ness said. Nixon said that there
are more than 5000 carloads of
ties and other forest products worth
millions of dollars along the route
of the NJ and n A. waiting to be
moved, and that unless they are
shipped before next September, their
value will be reduced 10 per cent.
May Lease Part of Road.
Mr.. Nixon, who in addition to
appearing in behalf of his own com
pany, represented several other tie
and lumber companies at the hear
ing, said that these companies are
prepared to ask the Arkansas court
for permission to lease a portion
of the Missouri and North Arkansas
to move the rapidly deteriorating
lumber.
Representative Tillman, pointing
out that the road passes through
his district and affects his people
perhaps more than any other resi-
dents Of the state, said that d large
amount Of money had been invested
in enterprises in that section and
that the investors situation is pitt
full. He named among these con
Germs the Export Cooperage Com
pany of Leslie, which has ST 800
600 invested in its plant at Leslie,
and said that unless the railroad
resumes operations, the company
will be ruined. Eureka Springs,
a watering place, would be ruined
without a railroad, he said, and
10 nt
on the route of the railroad is set
back so years.
Many Depend on Road.
Receiver Murray filed a statement
showing that approximately 145,000
persons are dependent directly upon
the NJ. & n. A. for transportation,
while an additional 500 are sit
uated where they can use either the
Nj. & N. A. or another railroad. i
the request of the commission he
filed statistics showing the variety
factured and produced within the
territory adjacent to the NJ. & N. A,
The attitude of Finance Director
Colston was friendly, but he show
ed a disposition to get all possible
information relating to the railroad
before taking action. In reply to
one of his questions, whether ship
pers along the line would be willing
to pay higher freight rates to bring
about Il return Of the railroad, Mr..
Nixon said that his company would
be willing TO pay almost any rate to
move the timber now on the ground
to prevent a total loss, but that
rates on timber now standing in
trees would have to be adjusted
in the future.
Receiver Murray showed ten
dency to oppose any increase in
freight rates, taking the position
that such an increase would cause
falling off in the traffic with
consequent loss Of money.