The Waterbury Democrat., 1931-06-18
FIRST REACTION
 ON REQUEST OF
 THE RAILROADS
Officials, Who Will Consid= CT the IS Per Cent In- crease, Are Very Much Surprised
By H, O. THOMPSON.

United Press Staff Correspondent 1 Washington, June 18.-(UP)-The
 first reaction of officials who must
 pass upon the petition of the nations
 railroads for a IS per cent increase in freight rates was disclosed to-day
 to be one of surprise that the car
 riers had made such bold and in
 some respects revolutionary demand. The machinery for official consid eration of the document was set in
 motion as soon as the petition was filled with the interstate commerce
 commission yesterday. A meeting
 was arranged for Saturday between
 a. committee of the interstate com
 merce commission and a committee representing state railroad commis-
 sions It will be held in the office
 of Commissioner Joseph B. Eastman. The various state railroad and util- lity commissions, interested in the petition because intrastate as we'll as interstate rates are concerned, have been informed by their general soli citor. John E. Benton, that the docu-
 ment "in some respects is a sur prising paper"
 The state organizations bear an
 official status here under the organ ization name of the National Asso- citation of Railroad and Utilities Commissioners. Eastman and Ben ton arranged the Saturday confer ence. The interstate commerce com mission will be represented by Com
 missioners Claude R. Porter and Ernest I. Lewis, in addition to Com missioner Eastman. On the commit tee of state commissioners are Paul A. Walker of Oklahoma, chairman; Ben A. Larkin, North Dakota; Hugh White, Alabama; and Henry G. Wells,
 Massa chusetts.
 The letter sent out by Benton ex pressed surprise that the carriers, lrealizing the inroads truck competi- ton might make if rail rates were increased, actually proposed to in crease all rates.
 That the carriers really intend to do themselves the injury which would result from thus increasing all rates regardless of consequences seems scarcely possible" Benton said. "They doubtless depend upon the regulatory commissions to save them from their own proposal.
 "The second surprising thing about the application is that it openly asks jthe commission to authorize their proposed increases without passing upon the reasonableness of the rates which will be produced thereby"
 The petition, stressing the emer- lgency which confronts railroads be- cause of dwindling revenues and in- stability of their securities, asked the commission to waive the usual extensive investigation. Any inquiry by the commission, the carriers urged, should "be of a limited char acter and should be for the purpose of reaching determination as to whether or not the general schedules of rates and charges proposed should be permitted to become effective without suspension"
 Such a decision" the petition continued, obviously calls for no decision concerning the ultimate req Isonableness of the rates proposed"
 Chairman Brainerd of the I. c. c.
 has said that the commissions pro- cedure in considering the rate in- crease petition will be announced as soon as the commissioners have fa- lmiliarized themselves with the peti- ltion