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TO WESTERN MARYLAND RAILWAY COMPANY: REFERENCE IS MADE TO YOUR LETTER OF APRIL 15. WE DISALLOWED YOUR CLAIMS BECAUSE IT WAS APPARENT THAT THE SHIPMENTS IN QUESTION WERE TO BE ACCORDED A TRANSIT PRIVILEGE. YOU WERE ADVISED TO COMPLY WITH THE PROVISIONS OF THE ASSOCIATION OF AMERICAN RAILROADS' CIRCULAR LETTER OF INSTRUCTIONS ADDRESSED TO CHIEF AND FREIGHT ACCOUNTING OFFICERS. BY PROVIDING A STATEMENT TO THE EFFECT THAT THE SUBJECT SHIPMENTS WERE STILL ON HAND AT THE TRANSIT STATION. THE SHIPMENTS WERE AT HAND AT THE TRANSIT STATION. IN VIEW OF THE ESTABLISHED FACT THAT THE SHIPMENTS IN QUESTION WERE ACCORDED A TRANSIT PRIVILEGE. WE WILL THEN BE IN A POSITION TO EXAMINE THE PERTINENT ACCOUNTS ON THE BASIS OF THE COMPLETE RECORD AND TO DISPOSE OF THE MATTER CONSISTENT WITH THE UNDERSTANDING OF ALL INTERESTED PARTIES AS TO THE PROCEDURE TO BE FOLLOWS: IN THE CIRCUMSTANCES.

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B-140206, APR. 25, 1960

TO WESTERN MARYLAND RAILWAY COMPANY:

REFERENCE IS MADE TO YOUR LETTER OF APRIL 15, 1960, AND PREVIOUS CORRESPONDENCE, FILES X GOVT. 8029 AND 8030, IN EFFECT REQUESTING REVIEW OF OUR CERTIFICATES OF SETTLEMENT (IN CLAIM NOS. TK 668956 AND 668976) DATED JUNE 11, 1959, WHICH DISALLOWED YOUR SUPPLEMENTAL BILLS 4769-A-58 AND 4770-A-58 FOR ADDITIONAL TRANSPORTATION CHARGES OF $1,106.44 AND $553.22, ARISING OUT OF SIX SHIPMENTS DESCRIBED ON THE BILLS OF LADING AS CONSISTING OF M56, SELF PROPELLED 90 MM GUNS, WHICH MOVED IN NOVEMBER 1958, FROM CLEVELAND, OHIO, TO CULBERTSON, PENNSYLVANIA, FOR STORAGE IN TRANSIT.

SUBSEQUENT TO THE DELIVERY OF THE SHIPMENTS AT CULBERTSON, THE LETTERKENNY ORDNANCE DEPOT ISSUED CORRECTION NOTICES TO YOU CHANGING THE BILL OF LADING DESCRIPTION TO SHOW THAT THE ARTICLES SHIPPED SHOULD BE PROPERLY DESCRIBED AS ARMY TRACTOR TANKS WITH GUNS. THE ADDITIONAL CHARGES CLAIMED AND DISALLOWED REPRESENT THE DIFFERENCE BETWEEN THE CHARGES COMPUTED UNDER TRAFFIC EXECUTIVE ASSOCIATION, EASTERN RAILROADS, SECTION 22 QUOTATION NO. A-2275--- NAMING A RATE FOR CARLOAD SHIPMENTS OF 90 MM GUNS BETWEEN CLEVELAND AND CULBERTSON-- AND THE CHARGES COMPUTED AT CLASS RATES ON THE BASIS OF THE CLASSIFICATION RATING NAMED FOR ARMY TRACTOR TANKS WITH GUNS.

WE DISALLOWED YOUR CLAIMS BECAUSE IT WAS APPARENT THAT THE SHIPMENTS IN QUESTION WERE TO BE ACCORDED A TRANSIT PRIVILEGE; AND YOU WERE ADVISED TO COMPLY WITH THE PROVISIONS OF THE ASSOCIATION OF AMERICAN RAILROADS' CIRCULAR LETTER OF INSTRUCTIONS ADDRESSED TO CHIEF AND FREIGHT ACCOUNTING OFFICERS, DATED DECEMBER 1, 1949, FILE 215-17, BY PROVIDING A STATEMENT TO THE EFFECT THAT THE SUBJECT SHIPMENTS WERE STILL ON HAND AT THE TRANSIT STATION.

IN COMPLIANCE THEREWITH YOU FURNISHED A STATEMENT BY YOUR AGENT AT CULBERTSON THAT AS OF JULY 6, 1959, THE SHIPMENTS WERE AT HAND AT THE TRANSIT STATION, CULBERTSON, PENNSYLVANIA. YOU, THEREFORE, URGE RECONSIDERATION OF THE DISALLOWANCE OF YOUR SUPPLEMENTAL BILLS ON THEIR MERITS.

SINCE IT APPEARED THAT A TRANSIT PRIVILEGE HAD BEEN ACCORDED THESE SHIPMENTS, WE INVESTIGATED FURTHER, AND THE ADMINISTRATIVE OFFICE HAS FURNISHED US WITH TRANSIT CERTIFICATES INDICATING THAT THE SHIPMENTS WHICH MOVED INBOUND TO CULBERTSON MOVED OUTBOUND UNDER THE FOLLOWING BILLING:

TABLE BILL NO. INBOUND OUTBOUND DESTINATION -------- ------- ------------

DATE BILL OF LADING NO.

---- ------------------ 4769-58 WY 9197830 7-17-59 WZT 348059

NEW YORK, N.Y. 4769-58 WY-9198376 7-17-59 WZT 348058 NEW YORK, N.Y. 4769- 58 WY-9198377 7-17-59 WZT 348060 NEW YORK, N.Y. 4769-58 WY-9198378 12-9-59 WZT 349265 NORFOLK, VA. 4770-58 WY-9198379 12-9-59 WZT 349267

NORFOLK, VA. 4770-58 WY-9198381 12-9-59 WZT 349266 NORFOLK, VA.

ACCORDINGLY, IN VIEW OF THE ESTABLISHED FACT THAT THE SHIPMENTS IN QUESTION WERE ACCORDED A TRANSIT PRIVILEGE, THE PROCEDURES SET OUT IN PARAGRAPHS 20 AND 21 OF THE AFOREMENTIONED CIRCULAR LETTER OF DECEMBER 1, 1949, FILE 215-17 SHOULD NOW BE FOLLOWED, AND ANY ACTION SEEKING ADJUSTMENT OF THE CHARGES PAID SHOULD BE INITIATED BY THE FINAL DESTINATION CARRIER. WE WILL THEN BE IN A POSITION TO EXAMINE THE PERTINENT ACCOUNTS ON THE BASIS OF THE COMPLETE RECORD AND TO DISPOSE OF THE MATTER CONSISTENT WITH THE UNDERSTANDING OF ALL INTERESTED PARTIES AS TO THE PROCEDURE TO BE FOLLOWS:

IN THE CIRCUMSTANCES, THE SETTLEMENTS DISALLOWING YOUR SUPPLEMENTAL BILLS MUST BE SUSTAINED.

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