[Federal Register Volume 62, Number 121 (Tuesday, June 24, 1997)]
[Notices]
[Page 34111]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-16544]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board
[STB Finance Docket No. 33415]


Jeffrey L. Sutch and Leonard J. Smolsky--Continuance in Control 
Exemption--Penn-Jersey Rail Lines, Inc.

    Jeffrey L. Sutch and Leonard J. Smolsky (Applicants), have filed a 
notice of exemption to continue in control of the Penn-Jersey Rail 
Lines, Inc. (PENN), upon PENN's becoming a Class III railroad.
    The transaction is expected to be consummated on or after June 18, 
1997.
    This transaction is related to STB Finance Docket No. 33414, Penn 
Jersey Rail Lines, Inc.--Acquisition and Operation Exemption--WMI 
Properties, Inc., wherein PENN seeks to acquire and operate certain 
rail lines from WMI Properties, Inc.
    Applicants control one existing Class III railroad subsidiary: SMS 
Rail Service, Inc., operating in the State of New Jersey.
    Applicants state that: (i) the rail lines to be operated by PENN do 
not connect with any railroad in the corporate family; (ii) the 
transaction is not part of a series of anticipated transactions that 
would connect PENN with any railroads in the corporate family; and 
(iii) the transaction does not involve a Class I carrier. Therefore, 
the transaction is exempt from the prior approval requirements of 49 
U.S.C. 11323. See 49 CFR 1180.2(d)(2).
    Under 49 U.S.C. 10502(g), the Board may not use its exemption 
authority to relieve a rail carrier of its statutory obligation to 
protect the interests of its employees. Section 11326(c), however, does 
not provide for labor protection for transactions under sections 11324 
and 11325 that involve only Class III rail carriers. Because this 
transaction involves Class III rail carriers only, the Board, under the 
statute, may not impose labor protective conditions for this 
transaction.
    If the notice contains false or misleading information, the 
exemption is void ab initio. Petitions to revoke the exemption under 49 
U.S.C. 10502(d) may be filed at any time. The filing of a petition to 
revoke will not automatically stay the transaction.
    An original and 10 copies of all pleadings, referring to STB 
Finance Docket No. 33415, must be filed with the Surface Transportation 
Board, Office of the Secretary, Case Control Unit, 1925 K Street, N.W., 
Washington, DC 20423-0001. In addition, a copy of each pleading must be 
served on Fritz R. Kahn, Esq., 1100 New York Avenue, N.W., Suite 750 
West, Washington, DC 20005.

    Decided: June 17, 1997.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 97-16544 Filed 6-23-97; 8:45 am]
BILLING CODE 4910-00-P