Evening star., 1947-02-09
IsbeII
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pies were ready to fall from the
tree anyway. Perhaps not. At all
events, the Supreme Court action
gave the tree good, strong shake
The pippins began to drop like
hail, and they were all for the
Southern Governors basket.
Yes, the commission ruled, the
present official, Illinois, Southern
and Western clasSif1cations were
unjust and unreasonable; they dis
eliminated against the South and
West; there ought to be uniform
classification system in all the ter
ritory east of the Rockies. Such
uniformity was ordered, meaning
revision of thousands of individual
rates.
Pending complete working out of
the technicalities and to make a
start at equalization, the commission
ordered a fiat 10 per cent decrease
in Southern and Western interstate
rates and a fiat 10 per cent increase
in official territory. Achievement
of final parity would mean in
creases or decreases of 80 per cent
on some items.
The date was May IS, 1945, one
which. will become a landmark in
transportation history if the order is
sustained in the Supreme Court. 1t
was attacked Immediately by the
losers, who were the States and va
rious. shippers in official territory.
There is some indication the North
eastern States had expected the
issue to remain ensconced in the
ICC, or a decision involving no real
change. At any rate, they began to
show alarm almost too late. Nine
States and six New England Gov
ernors asked the Federal Court for
the Northern District of New York
to set aside the order, saying the
commission exceeded its powers and
acted arbitrarily, without adequate
support in the evidence.
They lost, and the case finally
comes to the Supreme Court next
month on appeal from the New York
Court. The Southern Governors
have picked up the legal assistance
of the Justice Department and the
ICC, who now are as anxious as any
one else to preserve executive pre-
negatives. The transcript conSti-
tutes a small library-5,000 pages
of oral testimony and 10000 pages
of exhibits-but in view of the cases
national Importance most observers
think it will be decided at this term
The Justice Department has pointed
out to the court that the railroads
are getting $2000,000 month in
revenue which the ICC has declared
unlawful.
ArnaH Case Is Trailing.
It Is this likelihood of an early
decision that puts Mr.. Arnall be-
hind in the home stretch of his RI
valry with the Governors Confer
ence. When the Supreme Court
took his case, it ordered masters
hearings. These were concluded
last August 20, but oral argument
of counsel before Special Master
Lloyd K. Garrison remain. Some
have been set for March. After theil
conclusion the master will make
his report to the court, which, as
Stunning no exceptions, then will rule
The present likelihood for this de-
cision, therefore, Is for the neN'
term of court. The court conceiv.
, ably could hear the Governors case
and hold it for the other, but such
procedure is not considered prob
able.
The two cases have stirred ur
several other similar, relatively
minor suits, of more or less repeti.
tive nature, to say nothing of the
pending Bulwinkle bill to exemp
the railroads from the antitrus
laws in regard to rates submitted
to and approved by the ICC.
At New orleans, five months be.
fore the ICC ruling was sustained
by the New York court, the portly
wfite-haired J. v. Norman of Louis
vile, KY, who is counsel for th'
Southern Governors. assured then
the decision would be favorable de
spite a 100000 fund for legal talen
voted by the New York Legislature
Robert S. Kerr, presiding at the con
ference as the Governor of Okla
homa, remarked that that figur
revealed the relative value of indus
try to regions economy. He hat
just listened to a financial repor
showing $1,000 in the conferenc
treasury.
Up popped Chauncey Sparks, tn
rotund, merry Governor Of Ala
bama.
"But we're not going to stay poo
forever" he said. ...