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Show SENSATION IN THE DENVERJEARiNG Chamber of Commerce Files Petition Pe-tition of Intervention to Save. Case. RAILROAD ATTORNEYS DELIGHTED AT TURN Monroe Tells How Rates Are Made; Says Zion Wants . a Chance. DENVER, Jan. 23. A formidable array ar-ray of lawj-ers was lined up in the United States court today when C. A. Prouty, interstate commerce conunision-er, conunision-er, resumed his investigation of tho complaints against a scoro of railroad companies, alleging discrimination in freight rates against this city and State. Joel F. Vailo and Elrod Clark represent repre-sent the Burlington and Denver and Rio Grande. Clayton Dorsoy appeared for tho Southern Pacific and some of tho castom lines; D. V. Tears for the Lake Shore and Michignu Southern; II. i. Jtogcrs and K. P. Picrco for the Santa Fc; C. D. llaight for the Eric; and J. A. Lowo for tho Rock Island. .T. J. Joffery and other counsel were present and joined in tho questioning of witnessscs. Three points of vital interoat to tho entire west were emphaized by George .T. Ivindel, manufacturer, aim one of tho complainants. M. KindcJ claimed that Denver manufacturers had boon driven out of business bv freight rates on raw materials. He "declared rates aro low to the Pacific coust and Denver, people aro paying much more than tho60 at tidowater. lie also stated that -jobbers wore being forced to close up their houses because they are unable to gel, into competition with other territories ou an equal basis. Commissioner Prouly announced that the allegations in the complaint wore not specific enough. lie suggested to Attorney William Harrison, representing represent-ing Mr.. Ivindol, that the complaint be made more specific in regard to class rates. Mr. Is indcl declared that the complaint com-plaint was that Denver had to pav a higher rate nor ton per mile than some othor cities. Need More Evidence. Mr. Prouty said he did not believe the commission would hold that in general gen-eral the rates were too high, nor would an- court hold that tho rates in general gen-eral were too high. Denver was. so situated, he said, thnt the rate to San Francisco through Denver should bo lower than tho rate to Denver. This would not show that the rate to Denver was too high. The only ground on which the case could bo hoard was that the rates arc unreasonable to Denver. Den-ver. "If that is what, you aro trying to show," said Mr. Prouty, "you have very little ovidonoe. So far you have shown nothing nxcopt that the'raten on cotton piece goods are excessive. The commission can make no ordor on any commodity not mentionod in the allegation." alle-gation." Mr. Harrison made a motion -to so apiend tho complaint that tho class rates, may be shown to be excessive and unreasonable. "Witnesses representing dealers in fur-nituro, fur-nituro, dry goods and paper were on the stand during the morning. They all complained of the rates, and united in asking that the railroads treat Denver Den-ver in the same manner in trhleli f.lin Missouri river points aro treated. Chamber of Commerce Intervenes. A bombshell was thrown into tho camp of tho plaintiffs in the case before be-fore Commissioner Prouty thjs afternoon. after-noon. .Tnst as adjournment was about to be takn. Attorney fidwin Costigan appeared for the Denver Chamber of Commerce and asked permission to file a petition of intervention in behalf of the chamber, because of the manner in which tho case was being conducted by Attorney Harrison and Mr. Kindel. He said that tho members of the chamber cham-ber feared it would be detrimental to the business of Denver if their case was pursued along present lines. Tho directors objected, especially, ho said, to the presentation of the matter on the basis of the rate per ton per mile. Mr. Kindel denied that he wns asking that, the rates be adjusted on this basis. ba-sis. "I don't understand this move," he snid. "Why the chamber has subscribed sub-scribed $300 toward this case." The railroad at.tornej-s seem delighted at the turn of affairs, and regarded if; as evidence of dissension in the ranks of the Denver people, especially as only yesterday the president of the Chamber of Commerce, A. .T. Spengel, was a witness wit-ness and -testified in favor of the plaintiffs. plain-tiffs. Mr. Spengel slated in an interview after the close of the da3's hearing that the Chamber of Commerce had taken this action because the directors direct-ors feared that the cae of Mr. Kindel "would fall by the wa3'side." Tie said that wliat the chamber wanted was to i ti i. i standing as the Missouri river points and given the same terminal rights. He declared that a rate per ton per mile was not what was wanted. Ho admitted admit-ted that Mr. Kindel had not made such a demand, but bv his introducing so much testimony along that line he was giving the attorneys for the railroads a club with which they could win tho case. It was the intention, Mr. Spen- gel said, to ask permission tomorrow morning to file a brief sotting forth the position of the chamber at tho same time the amended complaint of Mr. Kindel was filed. How Eatos Are Made. J. A. Monroe, freight traffic manager for tho Uniou Pacific railroad east of Green River, was the first witness for the defense. Ho, explained at length how rates are constructed and gave a technical explanation of wlvy the railroad rail-road wns compelled to make what, appears ap-pears to be exorbitant rates in some cases. Ho said the Union Pacific tried to give a square deal to all points. Whenever a change wns made in the Denver rate the road always heard pf it from other points. Ogdon, Snlt Lake, Pocntello. Butte and other points wero as eager to become jobbing centers as Denver was. The principle of rate making was not 41. Ill.il.iv.1 ui ...n. )i.t n.jt lime. XI. is made up 1)3' adding together the local lo-cal rates between "natural stepping stones." first from the Atlantic coast to Chicago, from Chicago to the Missouri Mis-souri river and from the Missouri river to Denver. In answer to a question of Mr. Prouty, Prou-ty, the witness said Denver paid In 1906 $3,038,815 for freight for 'the East. He said that even a straight 10 per cent reduction oji this would not go into the pockets of the people and oven if it did it would have no effect on their prosperity. Such a reduction would go practical' exclusivoby to tho merchants. |
