New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1879-08-23

very vigorous, but no conclusion was reached.
E. Clark, jr., of the New-YOrk Central, testi-
fed about freight rates and oil transportation.
SALIENT POINTS OF THE INQUIRY.
lFRoM SPECIAL CORRESPONDENT OF THE TRIBUNE
SARATOGA, Aug 22.-The Assembly Committee of
inquiry into railroad management had of the
yelest sessions to-day of its existence thus far.
President Jewett was the principal witness and his
hostility to MIR. Sterue's method of examination
made him a very big and very sharp thorn in the
side OF the lawyer and TO some extent of the COM
mttee. H. insisted on answering questions in bis
own way in spite of Mr.. Sternes efforts 20 plead
with him, and would no. be diverted from long ex-
plantations lest he might be placed in a false posi-
ton.
The storm broke at the outset when Mr.. Jewett
declared that the affair had become prosecution,
not an Investigation, said that he was shocked
by the statement Of Chairman Hepburn that Mr..
Serne's course was taken with the approval Of the
committee, declared that James McIlenry's counsel
was sitting by Mr.. Sterne, and said several other
unpleasant things.
Then there was a tempest of dcnials. Mr. Fowler,
to whom Mr.. Jewett referred as Mr. Mclienry's
counsel denied the charge. Mr.. Storne denied that
he serving any private interest in the inquiry,
and explained how Mr.. Fowler came TO be employed
as assistant counsel.
Mr. Hepburn defined the relations of Mr. Sterne
TO the committee and said that It was proposed to
inquire fully into ErIe's financial condition.
Mr.. Jewett said he did not object to nvestiga-
ton, but did object to persecution and in reply to
a question from Mr.. Sterue, said he had no doubt
Mr.. Fowler was there in the McHenry interest, and
to serve an improper purpose. After some further
pointed talk the examination proceeded and many
o., Er,o
swered, the replies being generally many times as
long the questions, but being relieved from dull
ness by the intense earnesiness of Mr. Jewett aud
the amusing manner in which he was continually
displaying his antlpaihy TO Mr.. Sterne. Ex-Judge
Siipman, the Erie counsel, tried TO pour oil the
troubled waters but Mr.. Jewett was determined to
be master Of the situation. and summarily sup
pressed Judge Snipman and Mr.. Little, once or
twice, when they tried to assist him in bearing the
heat and burden of the day.
When Mr. Jewett was asked if he had any expec-
tation of being able To pay out Of the earnings the
interest on the bonded debt. there was much talk
about the effect of his answer the stock market.
He finally said that if the company were permitted
TO complete the improvements now in hand he had
not the s ghest doubt of its ability to pay the in
terest. As to dividends stock, he said that was
question Of ume but If the company were not inter-
fered with by hostile legislation and were allowed
TO 90 on and put the line on equality with com
peting roads, he hoped that with the improvement
Of business in the country dividends would be paid
within reasonable time In the course Of his tes-
timony about improvements he stated the curious
fact that there were eighty-fve different patterns
of engines the road, which it was intended to re-
duce to twO-freight and passenger.
The history of Alr. Jewett's early connection with
Erie was gone into and many questions were put,
and a sharp discussion aroused about large
amounts fraudulently put into the construction ac-
count in years before Mr.. Jewett became president.
Mr. Sterne claimed that it was Mr. Jewetts duty to
point out the fraud in bis annual reports to the
state Engineer, and 10 state the construction ac-
count as it should be in truth, and not as it had
been swollen by fraud. THIS view Mr. Jewett
streuuously opposed. He said the law required
only report Of the operations of the previous
year. and not of the acts OF previous administra-
lions. In answer 10 direct question from men,
Der of the committee If it was not his duty to strike
ont from the construction accOnnt an Item which he
knew to he fraud, even if It had come from pre-
yious administrations, Nr. Jewett sand no. and gave
his reasons at much length. This point was still
under discussion when the committe adjourned
until Tomorrow. Just prior to the close a remark
from Mr. Sterne about honest men enraged Mr..
Jewett who said that while he might not care what
Mr.. Sterne might say about HIM personally, he
would not have him as a representative Of the COM
mittee call HIM dishonest. Dir. Sterne disclained
any personal reference, and Dir. Jewett subsidized
into comparative calm.
Before Mr. Jewett was called to the stand, H.
Clark it,, General Freight Agent OF the New-lork
Central, testified. The most important part Of bis
examination was in regard TO the low price at
which oil is carried for the Standard Company. 1t
was explained that about six months ago an indie
pendent pipe line was put in operation between the
oil-wels and the Reading Line at Wllliamsport, and
TO compete with this the trunk lines were carrying
oil at very low rates. 1t not brought out what
these rates were the trunk lines object TO have
their rivals know them, but it was stated that they
were much below 60 cents per barrel. Mr.. Blanch-
ard of Erie, show ed some lll-temper when q ques-
ton was put to him by Alr. sterne in the course Of
Mr. ClaTk's examination, and declined TO answer
until lie himself should 90 on the stand. little
passage at arms followed. in which ex Judge Ship
man made some uncomplimentary references to Mr..
Sterne The chairman sustained the latter. although
Mr.. Hustled showed sympathy with Mr.. Shipman.
Mr.. Clark was closely questioned in regard to the
reasons for giving special in local traffic He
sand that this course built up local business, and
without these special rates the manufacturers and
large dealers who got them could not continue in
business. when asked II TO reduce the rates to
all dealers in any city would not increase the local
traffic more than TO give special rates to few he
said that he thought not.
TIE TESTIMONY IN DETAIL.
L. Clark, jr., General Freight Agent OF
the New-York Central aud nudsUu River Rail
road was first called 10 the stand he compelled
to leave Saratoga at noon.
lie testified thar ne was subordinate NJ. Rutter,
,eufIau1.u. sf.p.a prriortuad IN.