The New York herald., 1879-10-01
FREIGHT COMBINATIONS.
Buffalo Men Complaining of Rail-
road Monopolies.
PRIVATE INTERESTS ASSAILED.
What 1t Costs to Trim and Ele-
vate Grain.

BUFFALO. N. Y. Sept. 80. 1870.
The Subcommittee on Railroad Investigation con.
tinued its session this morning Washington
Bullard recalled. and in reply to Mr.. sterne,
testified follows:-There is some package freight
that is carried west-bound by the canal; the boat
men get the merchandise from agents of the differ
ent transportation lines in New York city; our
agents make through rates by canal and lake the
West; get 1t direct from the canal there is an
extravagant charge for eevang here; the elevators
are not employed to their full capacity.
To Mr.. Hepburn-There can be lots OF money
made at charge Of one-quarter of cent per
bushel for eevatng; the charge now for shovelling
is So SO to 81 per 1000 bushels; tho shovcling done
in Buffalo consists unloading the lake vessels and
loading the canal boats; with the decline of tho
canal grain in Buffalo have noticed that the
price il Chicago has advanced.
To Mr.. Sterne-Have had experience in rail
roadng; the prosperity Of the State and railroads
is dependent upon the canals.
RAILROAD COMPANIES OUTSIDE BUSINESS.
Mr.. Robert Mills was next sworn. and in reply to
Mr.. Sterne testified follows- am engaged in tho
dry dock and shpyard business repair boats; tho
Union Dry Dock Company build ships and repair
ships for other parties outside of their own COR
poration; have been in business twenty years.
five. up to 1873; since that time have felt that the
Union Dry Dock Company have hurt my business
by their being connected with powerful corpora
tions; they pay their men the Same price that we
pay ours; these two corporations have been the
only prosperous builders during the past i've years
I object to railroads coming in and hurting my
business; they have shipyards. dry docks. planning
mills, blacksmith shops and mills; they do
paning and blacksmithng for others than their own
corporations.
To Mr.. Shipman-There has been no shipbuilding
in Buffalo. except tugs and small boats. since 1879
the building has gone to Cleveland and other places
have had contracts with tho Union Dry Dock Com
pany on one contract they made special rates with
the Anchor line and run it for four months be-
fore I knew of it; tho planning mill of tho
Dry Dock Company has done WORK for me;
they, the Erie road, keep the planning mill to make
money out of it, they do blacksmithing for any one
outside of their own work; they come in competi-
ton with me every day; the superintendent of the
dry dock company is also superintendent of the
steamboat company and no influences and gets bust
TO Mr.. Hepburn-Tho superintendent is smart
and active man and his patronage is worry largo.
TESTIMONY OF AN sHIPDUILDER.
Captain 4. II. Jones the next witness. He
testified AS follows:-I am shipbuildor; have been
in business In Buffalo during the past forty years
have noticed the falling Off In tho business; think it
il caused by the freight discrimination; the fall
ing of in shipbuilding has been eince tho
panic of 1873; the steamers make two trips to the
sailing vessels one; all the westward and all the
valuable freight is carried by the railroad feet; ;
the harbor ut Buffalo is better to enter when thore
q gale of wind than any other on Lake Erie; do
not fix the rates; we leave it to our agent in
Chicago. who is o member OF the Board OF Trade;
liver wherever directed; discharge ali
the grain at elevators; think that the shovelling
not complain of the charge for Tsyo aksn
boais OF grain from Chicago to Buffalo WHEN have
not made dollar. in hopes OF getting cargo OF coal
LOCO bushels; do not own any canal boats;
havs had very large amount Of Western
ing of now railroads.. The witness gave o
history of boating on the lakes since 1859, which
caused considerable amusement. The coal trade
from Buffalo to Cleveland, Toledo and other
Western points is immense; the Union Dry
Dock Company have affected my business
for; havo had my vessels repaired at their dry
docks; 1 have known them to for other
tho bulk of the business would 90 to the railroads;
speak of the Union Dry Dock Company being
powerful corporation from tho fact that it is backed
up by the Eric Railroad Company.
To Mr.. Hepburn-An other things being equal, the
reduction OF tho would result to tho benefit of
the Chicago producers.
To Mr.. Sterns-The canal equipment has not kept
up with tho increased business Of the country;
Chicago was tho time when these low rates on
To Mr.. shipmaS-went to Tonawanda in 1866; tho
pairing of tho barge Russell; our sailing vessels 60
on Change the other vessels; If there was
no toll man would charge tho Same as if therc
MUSTARD SEED on NOTHING.
Frank perew was next sworn aud in answer to
Mr.. sterne testined:-Am vessel owner; do not
canal boats; used to own steamers; have been
driven out BY the railroad companies. as they
into the sailing business; conld not
get freight ut the rates that the rail
roads get it; have been hauled away from the elcya.
N IN aEe
journed for the time being have been shipper for
the past twenty-five years. the free marine business
meaning tho Union Steamboat Company; when
they take frcghts from Chicago to New
cents per hundred can't afford to do bust
ness; can't tell what tho lake rate when
their rate and half cents per hundred
weight; they could not make any money IL they
gave the railroad company fortyhve por cent of tho
seven aud half cents per hundredweight; ii the
railroads made an arbitrary rate OF one-quarter of
cents less per bushel TO Milwaukee it would drive
the bulk of trade from Chicago; when tho freight
rates go up the railroads and lakes the dealer
Mt Chicago pays much less to the farmer
the rate In Europe is made independent OF the prco
here; 1t also regulates the price Of grain in New
York; used TO buy wheat IN the winter and store
1t In my boats that would storage; sold
to dealers In Rochester and at other points.
and l had to quit; the determinations ut
Buffalo have hurt 1t very much the whole State has
been Affected; have carried at loss IN order to
summer months.
10 Mr.. Giuck-The city elevator handles 33. 600 900
bushels.
10 Mr.. shipman--I own elevator; am in tho
pool; am to have slice whether elevate or not
have only just gone into the business the New
York Central road gots the plum ana get the ttlo
mustard seed
O Don't you know that these combinations aro
very wickedp a. Yes, sir.
@. Then why did you go into it2 A. Self-protcc-
tion; it was mustard seed or nothing.
To Mr.. Stcrne-Thc railroads get thirty-three.
thirty-two and thirty-two shares apiece for their
different elevators, and It finally gradually
down to mc get the threo shares before thoy got
tho patent shovel 1t took about eighty men to feed
the leg of the elevator; Germans don't work at It.
they can't stand the dust; tho labor Is done by
Irishmcu
To Mr.. Hcpburn-Thero from seven hundred
to ono thousand men employed In the clcvating
business; the railroad company won't tako In my
grain; they want the room for their own sailing
craft.
TO Mr.. Gluck--There were S4.0O0,0O0 bushels Of
grain elevated hero last year; the railroad cleva
tors handled 3S,OOO.000 bushels OF this amounts
OF the $50 shares the railroad elevators
have cghty-scvcn shares; my hoatcr is not in opera
ton now but II draws paw NIL the same; the railroad
elevators don't want me to runs can make much