| Show RAILROADS WIN IN INTHIS INT TillS THIS T RATE BATTLE Famous Missouri River Rate Case Decided Against the Government Governments Aug 24 The permanent injunction sought by western rail railroads railroads C Ji roads against the interstate commerce commission in the famous Mis Missouri soui som river rate case was granted here today by hy Judges Grosscup Baker and Kohlsaat of the United States circuit court Besides granting tie the permanent injunction in the Missouri river case the court also granted a preliminary injunction in the Denver rate case which is based on similar principles as the Missouri river case ease The Denver case involving shipments to Denver instead of Missouri river points pending final decision on a demurrer filed by hy the in interstate interstate interstate I commerce u commission to the bill hill of the complaining railroads u Judge Grosscup delivered the opinion of the court Jule concurring while Judge Baker raker delivered a dissenting opinion The commission thus defeated in its first attempt to bring brine about abolt what is alleged to be bt a new system or prin principle principle principle ciple of rate making will wilt it is 18 asserted a carry the case to the supreme court of the time United States Many Railways Petition The parties which petitioned for the in injunction Injunction InjunctIon junction were the Rock Bock Island the Bur Burlington Burlington Burlington lington the Milwaukee the Northwest Northwestern ern fm em and the Chicago Great Western Vestern rail raO railways ways was The Illinois Central the Santa Fe Fethe Fethe Fethe the Alton Aiton the tl Missouri Mi ourI Pacific and the tile Frisco railroads ada and a number of im important Important Important shipping interests Intervened a as II TIle The question que lon raised said Judge Gross Grose Grosscup cup in rendering his opinion in its i larger aspect la Is not so 80 much a question between the shippers and the railroads as between the commercial and manufacturing manufacturing manufacturIng turing interests of Denver and of the ter territory territory ea net eat t of the Mississippi river on n the theone theone theone one side aIde and the commercial and manu manufacturing manufacturing Interests of the Missouri river cities on the other The railroads In the tho Missouri river rate case eli e sought to have the interstate Inter tate com corn commerce commerce merce communion enjoined permanently from enforcing an order of o the commis commission commission sion aba made June 24 1908 relating to Joint ates tates I from the Atlantic seaboard to Mis river cities dUes This order sought to create a system of through rates from the Atlantic seaboard to the Missouri r that were a reduction from the sums of the local rates Western Roads Complain This according to western roads threw the thc burden upon them The joint rate rats now in force from the Atlantic seaboard board to the theMi Missouri Mi river on fIrst eau das matter Is r S Mildred hundred pounds pound te redaction proposed by the co was to The through Tate rate W force fores on tl the sante sen matter In tree kola tic seaboard tP the ts tit e ethe MI s the tot t II per hundred as aI the nt rate from fro t Atlantic sea seaboard seaboard board boa rd to the Missouri Speaking of the F the ue commis commission sion siou the opinion say ay ar J We Va f are not pre prepared prepared prepared pared to say that the Ion has bas the power powel to enter en r upon a pIa looking to toward toward ward ar a system m of rates miss rall w rein the rates for longer and shorter ha will taper downward according to distance t e provid providing providing ing In such tapering is s both co t and symmetrically applied Applied ed with a design of carrying out oat what may be the thee economic e fact fart that on oa the Whole it Is worth something less lese per mite mile to carry for tho th LI long distances than the abort dis die distances distance tance But hut it does dO not riot follow that power of that character includes Include Inc i toy b y the use de of differentials to divide artificially the country count Into inte traffic zones tributary to given trade and manufacturing centers cente the in such lIuch eases cases ca es having as aa asa aaa a result to predetermine What the trade and manufacturing centers shall be for tor such suh power vaster than any one body of men has heretofore exercised ed though wisely exerted hr ht specific instances es would be putting in the hands of f the commis commission sion slon the great power of life Ufe and death ever every trade and manufacturing cen can center center canter ter in the United States A Colossal Power The opinion holds that the commission in attempting to enforce Its order sought I to exercise e this colossal I power por Judge Grosscup continued It is urged that though the effect of the tb order IH te the Mis Missouri court river rata rat case Is to discriminate in favor of Atlantic seaboard board and the Mis Missouri Missouri river cities clUes against the central traffic territory and in tile the Denver case casein caseIn caseIn in favor of Q Denver and the eastern Miss Mississippi river country against the Missouri Il j river cities the discrimination Is not un undue undue undue due within the meaning of the Inter Interstate Interstate Interstate state commerce act and that therefore the courts have no power to enjoin The difficulty with this argument is that it draws no distinction between the power that the commission hi Is actually given and anda a power that the commission is usurp usurping usurpIng usurping ing Judge opinion concluded It must be understood however that these two orders rs of the commission are en enjoined enjoined enJoined joined solely because in our judgment they lay upon the commerce and manu manufacturing manufacturing manufacturing of the localities affected an arti art artificial artificial hand that congress never Intended should be he put forth and therefore are out outside outside outside side the power conferred upon the com corn commission mission minion by congress for with the ques question tion of a reduction in rate or a readjust readjustment read readJustment Ee ment of rates from which such euch artificial arU 1 results have been eliminated ted we are not now dealing S |
