New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1879-08-22
TIE PEOEETDNGS.

I
connected herewith, the examination Of Mr. Wander
bilt was resumed Mr sterue read from previous eX
animation OF MI Depcw statement 90 tie eilect tha'
for fifty miles out tine receipts OF The Harlem Road ala
pay the expenses Of keeping NJ stations Mr' De
pew explain, stating that 1t was not mtenu-d as
part Of his testimony but simply occurred III us
cussiou referring TO freight business.
In his examination Mr. Vanderbilt did not recollect
letter written by him Chicago TO- publication, but on
the examination OF copy identified H. The opinion rA-
pressed in the letter that rates should be liked ana al
consumers treated alike, was his opinion sun Inc
opinion was also expressed I'm the letter that bankrupt
roads tend 10 drag solvent roads down He still adhered
TO that opinion for the that bankrupt road mas
to pay 10 interest on bonds, nor dividend on us
stocks is put into the hands Of receiver ana run sl
ply to pay operating expenses thought 1t Tor us inter-
est that competing lines remain solvents Thought the
same principle applicable in ordinary business to con-
siderable extent; believed in the uniformity OF rates
believed in the publication OF rates, but thought 1t
generally impracticabe account of the frequent
changes; sometimes rates are changed three or -FOUR
times n day. sometimes not FOR week. rates are
changed to meet competition.
Q-Do local rates change every day Avery fire.
quentIy; since Mr.. Rutter put in at Albany very
few complaints have been made about rates; before his
time we frequently had hundred complaints day; he
seems 70 give general satisfaction any particular COM
plant is attended to don't know that special rates
differ materially from general have not seen the
self since II was sent read 1t before 10 was signed
(hls was the letter denying the e&sIcuce OF special
Nr sternc read from previous testimony showing that
Oh the NewYOrk Central and Hudson kVer Railroad IN
period OF eight months 'Hcic were "o O'OOV sI00i
OF You were to write that letter you would not
sign that statement would yOui Al don't know,
In answer to the chairman pr. vanderbilt sald ne
knew OF special rates but not OF several thousands OF
tbou did not sign ANYTHING he dli not suppose was
true his instructions AS 20 special rates TO MS snDor-
dluatcs were to make them to me competition. Nhtn
i M Int TOR Htt
complaints from all points % The ste told nm to 20
to Albany and DO The business 80 II would De Satisfactory
o the p.uD and at the same time TO meet competition
an i he bnsine-s was done 10 tine satisfaction of
nil talked with Nj. Goodman, subordinate 10 Mr..
RIItrr: he satr1 that special rates are necessary
a. meet comretifion; believed bills uscG he al
sUecaI rates The competitive business OF the roads u
IA cUarue d "a comm. S,lOutl (dr iuhG he does not
control ratcs-tue managers do that; there is no
commissioner standing between freight managers and
customers the local competitive business mas brtu
taken from the hands of the commissioner within few
NT sfcrnc offered in evidence two bills which illus
traied the discrimination between indyidu'ls dong
/ brsipc.s AT The same place. The Lii marked &C"
showed thai G3G pounds OF goods considerable por-
cIay-t NeW-Yort TO HcrHmer for A. Rust, tue lrice
for carving being II 81 while bill marked " ID
cioss owned by Casvcll A. FIX carried over the same
ground charge OF 70 was made b0ih parties are re-
l merchants, doing business at Tue same place TIC
object of Mr. Strrue not only to show the difference
t ween bills aud schedule rates, but also different rates
TO different men under IKE CONDITIONS.
MIR Vanderbilt. resumIng said he knew OF no reason
for discrimination IN this case special rates are gov
| rrred nv the magnitude OF business done.
MIR Sterne read from the tarh, rates charged from
New-York 10 Poughkcepsle % cents per 100 poundsl
aud from special conracl from new YORK 10 syracuse
I'm which only cents per 100 were Charged anu asked
n tbat did not show entire disregard OF distance.
MIR Vauderpilt--Ihat IA governed by competitions
sncia rates are given to meet competition and 10 meet
the siaaGR S G5 PGEs iSe central does the
actual cost the railroad company might nol De any
none for pOrng to Syracuse than 10 POughkeei-
so-specal rate comes into play without any regard
I RI
O-Have you made any inquiry upon the effect
Of Special rates, whether or not they end TO make mo-
Uon6y of one mans business ana tend to drive out an
ofhera AThe people themselves LOOK after that pretty
wei oYou don't look after that for them Al don't
know as we DO
THE NEED OF SPECIAL RATES.
O-You have never, president Of n representative
railroad gone through the State for the purpose of as
ceraning what the effect OF special rates was Al
have heard a great deal about special rates. have
talked with merchants Of different places about business
ond rates etc. and have found that there general
sotisraction railroad business can't be conducted
cessfuly without special rates.
o-The merchants talked with, had special rates did
they mott Al don't know whether they had on our
roaa III TT YOU ever ascertaned what the effect Of
speciaI rates has been in syracusei Ain what re-
lo-in respect Of creating monopoly Of one business
ana driving other people out OF the business Al
Ho hfen I'M syracuse aud talked about the manner Of
doing business; have been cOmpimented on the manner
| IN which business l. done there was no complaint
| throughout the stare | don't know whether those
neopie we're businessi took 1t as ordinary mems
Mr.. sIerne asked why a certain in Utica got
| snecaI rates OF 81 cents hundred
| Mr.. Vanderbilt explained that IL was on through
hnsness that the rate put down to hard pan on
! account OF competition. no money was made on H.
The mans business was large IN volume golng over te
road every days nobody could tell what part 0 me IN
crs on bonds and dividends on STOCK was paid by TINS
customer; he doing large business, and might IN
nuence other shippers Don't say taaI ne was used as
il Implied think 1t necessary that all railroads make
| special rates with manufacturers.
| from the Westi Al don't know may be so.
O.-Why did you refuse thth Ave nave no ar
rangemcnts WIN western io"u' 'No' i"'''' "Po" '
oHWhy cannot special rates be made, have been
made I'm some Instances Al dOn'i know the nlefs
of Rochester make arrangements win us upon APP
plicaon. by which they can shp wheat rom points
mo ears and send 1t TO New YORK for 10 cents per
I0'Hiiave you carried -four from Milwaukee ana chi
| caso to New-York for 10 cents per hundredi A.
chaps when il gets to low rates generally let
| the other people carry III we make DDS
carry nom Chicago 10 New-Yor. Buffalo 10 New-York
or Albany to NewYOrk great deal Of business Is done
for nothing lower and lower, until the roads
can't stand III then the managers get together and put
item up can't tell what rate is paying rate aud wnat
Central would be nOnpIyng on another road can't tell
what is paying rate ON grain nom Chic'Eo'
THE PETROLEUM TRAFFIC.
Mr. sterne here examined Mr. Vanderbilt as to the az
fairs Of the Standard aud Empire on Companies and
their relations with the trunk lines
Mryauderbilt said he disguised with OIL companies
and oil men long ago. be once made contract with an
oil company, built a railroad 10 accommodate It's bust
ness and then 1t awarded contract 10 else
knew very little about them stakeholder In
the Empire Company but knew nothing OF its organize
uonj was at a conference N Saratoga, at which the
NeWY ok Central and Eric Roads insisted the Penn
sylyaua Road posing OF the of stock held by It, thus
losing its advantage Oher great lines that STOCK
was sold the STANDARD Company and division Of the
business guaranteed.
49, L.DIL .1.ln nd