Salt Lake Telegram | 1922-10-18 | Page 8 | S.P. Appeals

ahould be termtnabl at th pleas ura of ! the commlaslun. I CONFUBION WOULD RESULT. Thereafter It waa proposed the commission com-mission could go forward with th pending Investigation of general construction con-struction plan and at the conclusion make final disposition of the entire matter. It win pleaded that a separation separa-tion now would cause a disruption of traffic and operation systems, leave the Central Pacific as a partial trunaconll-nenlal trunaconll-nenlal line and raise questions in regard re-gard to the payment of bond Interest and principal among the security Issues Is-sues which are Joint obligations of the wo systems. Even were this done, tb Southern Pacific petition recited, thero might be a reunion later under the construction projects which would make' tho whole proceeding unnecea- T was further recited that Ihe supreme su-preme court, paaaing as It did upon an antitrust Issue in a caae-bgun In 11-1. could not nnO did not taka the transportation trans-portation act permission for construe ttona into consideration. Thin act, the rullroud further alleged, "constitutes a rndlcnl change In the policy of congress toward the railroads of th country." and J uslirtes the commission In allowing allow-ing aoniFthlng which the supreme court held Illegal. The Central Pacific runs from Ogden, T7tah. to California cities, with branches north and south in California snd Oregon. Since 1(70 It haa been operated as nn Integral part o the Southern Pacific. . ' .S.P.MS . (Continued from page 1.) tbe commerce, com minion haa power, under tha transportation art of 19. :o allow th operation of the combined t railroad system as one i net Hut Ion, even though th supreme court declared tho situation to be an example at the merger of parallel and competing lines which la forbidden by tb Sherman antitrust law. MERGER SCHEME CITED. The commission's decision on the Issues, Is-sues, It affirmative, lawyr asserted, will be the first setting Up Of a polW of transportation regulation In disregard disre-gard of the antitrust lawa which have hitherto been applied to maintain competition com-petition in railroad operations as In other Industrie. The Southern Pacific Pa-cific petition pointed out that th transportation act now sp-tiirirallr allows al-lows the commission to combine even competing lines, when it adjudgea th result likely to better transportation conditions end cited that tent at Ira plana of Ihe commission for consolidation consolida-tion of railroads, now under consideration, considera-tion, provide for a. continuation of Ha mrrger with the Central Pacific While awaiting the determination of the com-mis com-mis Ion. It was Indicated, th ac.tual process of separating the two railroad properties as ordered by Ihe supreme court, wilt be held in abeyance. As a method for Ihe commerce commission. com-mission. K wat Indicated h actual thority, the Southern Purl fit- petition suggested that an order ahould b Issued Is-sued allowing that company to teas the entire properties of the Central Pa-icific. Pa-icific. which It now operates on term similar to those exlallng at present, With th exception that tbe leases ,