Loree Rebuffed

The Interstate Commerce Commission rebuffed Leonor Fresnel Loree last week. Among his many railroad activities has been his attempted merging of the Kansas City Southern, the Missouri-Kansas-Texas (Katy) and St. Louis Southwestern ("Cotton Belt") railroads.

For a time and by making no objections the I. C. C. seemed to approve his southwestern unification plans. In 1925 they approved his being a director of both the K. C. Southern and Katy. He owned large blocks of stock in both roads (as did his bankers Kuhn, Loeb & Co.). He acted as chairman of both roads.

The other stockholders of the roads, particularly of the "Katy" began opposing the merger. The I. C. C. gave heed. Recently the Commission ordered Mr. Loree to quit the Katy chairmanship. Last week it commanded him to resign his directorship. Reasons: His dual directorship was not in the public or private interests; it tended to nullify competitive activities of the two roads.