Show CARRIER RELIEF REllEr WILl II ILL BE URGED HUGHES TO PRESENT PLAN IN BEHALF OF MILWAUKEE ROAD IN NEW RAILROAD PLAN September First is Date Selected When Hearing of Roads Will Take Place Benefits Will be to Advantage of the Weak Companies Now New York York-An York An unprecedented plan for railroad increases involving pool pool- poolIng pooling ing among weak railroads will be ur urged ur- ur urged ged by Charles E Hughes before the Interstate commerce commission In behalf of tho the receivers of oC the Chi CU- Chicago Chicago cago Milwaukee l St Paul railway Hearings will begin at Chicago Sep Sep- September September 1 1 Under the receivers receiver's plan Increases In western territory would bo ho pooled and divided among weaker roads In proportion to the extent such roads fall short of earnings 5 31 3 per cent centon centon centon on property investment A prosper prosper- prosperous prosperous prosperous ous road would not receive full bene bene- benefit benefit fit lit of an increase In rates but a weak road would obtain much additional revenue Some railroad men regard the tho plan planas planas planas as opposed to the principle of private operation and some go further in de- de denunciation denunciation de denunciation and use uso the words soviet theory Mark 1 W Potter former Interstate commerce commissioner one of the tho St SL Pauls Paul's re elvers ewers and originator of the plan has met these objections by statements that the principles which I govern the operation of at Industrial corporations no longer hold true on the railroads as their earnings are restricted by the recapture clause of the transportation act This clause provides that if it any railroad earns more than 6 G per cent half ot or the excess revenue shall shaH be turned back to the government to form a fund Cund on which the Interstate commerce commission may draw to loan roads in financial distress The retaining of or Mr Hughes an- an announced announced an announced recently was somewhat of a surprise as the lie Investment house of Roosevelt Co which is opposed to the reorganization plan of ot Chicago Milwaukee St Paul railway recent recent- recently recently recently ly made overture to him with a vIew to retaining him In investigation of the failure of the road last March 1 A conference between the receivers of the St St Paul and executives of other north northwestern western carriers will be beheld beheld beheld held here shortly in an effort to win sUpport to the rate increase plan Hale Halo Holden president of the Bur Bur- Burlington Bur Bur- Burlington Burlington lington is already hero here for tor the con con- conference conference ference terence He lie remarked that the Potter plan conflicted with the tho transportation transportation tion act and that the remedy for Cor de- de decreased de decreased creased passenger earnings was su- su supervision su supervision of interstate bus traffic trade with equal rates for tor steam and motor car car- carriers carriers carriers Western Vestern carriers as a class are arenow arenow arenow now preparing a petition to the com com- commerce commerce merce commission for a flat increase of 5 per cent on freight rates |