£25,000,000 AT STAKE

Shannon News, 21 September 1926, Page 4

£25,000,000 AT STAKE

APPEAL IN KAILUA* CASE. AN ENGLISH ACTION. There is to be an appeal against the decision of Mr. Jiptice Astbury ia ' the case of Tate and Lyle Limited tithe London and North Eastern and the London and Scottish Railway Companies. The judge decided that the railway companies were entitled to increase their “exceptional rates” for the carriage of certain Commodities without reference to the Railway Rates Tribunal. This Messrs. Tate and Lyle dispute, and are prepared, it is understood, in the interest of traders, to take the case to the House of Lords. '■ The position was explained as follows: When the Ministry of Transport controlled the railways certain rates for can-iage were doubled. When the railways were grouped the Railways Act, 1921, provided that they should be at liberty to charge the rates pertaining when that Act came into force. , At that lime the 100 per cent, in- . crease made by the Ministry of Transport was operative. Since then the . companies have voluntarily reduced their rates to 50 per cent, above prewar figures. Suddenly they decided to increase tiie rates to 00 per cent, above pre-war, and it was on this decision that the case before'Mr. Justice Astbux-y was tried. The total revenue of the railway companies is estimated at £192,000,000, and as, with the exception of the Southern Railway where the receipts arc roughly 80 per cent, passenger traffic and 20 per cent, goods, this sum is obtained in equal proportions from passengers and goods traffic, it is estimated that the increased “exceptional rates” will mean that the N traders of this country Avill have to pay about £25,000,000 (fxtra for railway carriage.