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Show NEW HEARINGS ON RAIL MERGER INTERSTATE COMMERCE BOARD TO RESUME SESSIONS ON PRO. POSED CONSOLIDATION Controversy On Disolution of S. P. and C. P. Lines Likely to Be Reopened; Nineteen Systems Sys-tems Proposed Washington. The interstate commerce com-merce commission is prcipaing for resumption re-sumption of hearings on the Important Import-ant issue of consolidating the railroads rail-roads of the United States into a limited number of systems. The commissions com-missions tentative plan contemplates the creation of nineteen systems, into which would be incorporated all the railroads of the country. Henry C. Hall, the commissioner directly di-rectly in charge of the consolidation problem, is now planning a series of hearings to be held In the far west, to begin next month. The initial hearings hear-ings held by the commission have dealt with the three consolidated systems, proposed for the southeast. The nia-joity nia-joity of the main lines that would be affected by the proposals for that region either entered violent protests or suggested different consolidations. The controversy resulting from the-order the-order of the supreme court of the United States directing disolution of the Southern Pacific and Central Pacific Pa-cific propeties will be Injected into-the into-the hearings to be held by the commission. com-mission. Advocats for continuation of the merger of the Southern Pacific and Central Pacific lines and proponents-of proponents-of a dissolution of the properties and a merger of the Central Pacific with the Union Pacific have waged battle ever since the supreme court handed down its decision. An interesting feature of the situation situa-tion is that the commission, in its tentative plan, put the Central Pacific with the Southern Pacific, while Professor Pro-fessor Ripley, who prepared the report re-port from which the commission made its tentative plan, thought the Cen-trral Cen-trral Pacific should be linked with the Union Pacific. The California Producers & Shippers' Ship-pers' association has been active in opposing consolidation of the Central' Pacific with the Southern Pacific and is urging that the decision of the supreme su-preme court be carried out. This, organization has issued statements frrom which the inference has been drawn that it believes that the interstate inter-state commerce commission will be bound by the decision of the supreme court and forced to divorce the Central Cen-tral Faeiflc from the Southern Pacific Pa-cific in any consolidation plan devised for the railroads in the far west. Against that point of view is the-belief the-belief on the part of many that the transportation act gives the interstate-commerce interstate-commerce commission the authority, in adopting a plan for consolidations, to disregard the antitrust statutes of which the supreme court based its- J decision in the Southern Pacific-Cen- j tral Pacific antitrust case. It is con- I cHvable that the commission could ' form a system of roads in the West j which would include the Southern Pa- cific and the Central Pacific. The Union Pacific through counsel, has Issued statements designed Jto show the advantages that would accrue ac-crue to the shipping public if the Central Pacific were joined with the Union Pacific. The Central Pacific and the Union Pacifi connect at Ogden Og-den and their consolidation into one system would make a through east-nnd-west line. Advocates of this plan charge that the tendency of the Southern South-ern Pacific Is to divert traffic from the Central racific to the Southern Pacific's southern route. Commercial organizations in towns and cities served by the Union Pa- - cific In the western states have filed many of these petitions. Commercial organizations in the central part of California have adopted resolutions fa-voiing fa-voiing a continuation of the merger, while similar organizations in northern north-ern California have waged an active battle for dlvoror.ient of the Central Pacific from the Southern racific and the linking of it with the Union Pacific. |