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


participated rate less than 90 cents per barrel He
was nos competent TO whether or not that rate was
Dir Blanchard OF the Erie Road, stated that an en-
ttey independent pipeline, outside OF New ORR state
has engaged IN carrying oil at rates wih which railroads
cannot compete The witness stated the rate rad IN
1873 % be so cents per barrel for haul OF about 446
miles had Do idea OF the cost OF an oil-car.
Mr. sterne asked Mr. Blanchard to tell what was the
cost OF an Oi-car
Mr.. Blanehard-when I 90 upon the stand witness
WI give that Information and much more.
committee now, Yon Told what the cost 81 IN ilcar
was yesterday when Mr.. Vanderbilt on the stand
Mr. Observation-Disclosures the Nex-York Central asked
judge shipman objected 10 Mr.. sterne's assumption
it t To-, ne repLeentea the committee and thai the com
The chairman informed counsel that Mr.. Sterne and
th r committee were entirely In accord
had no opinion on the subjects hxed no rates on
mix found II fixed and did not Interfere with #; bad
so cents per barrel for refined and 81 cents for
crude This calculation made upon, certain rule
never represented the New-York Central at any
conference fixing the rate ON OH don't know
Company at New-York is. witness was re-
gursed to Obtain for the committee statement showing
70 what cXeuthe Standard Company shared IN the rates
the amounts paid that company for terminal faeI-
70; "htlher or not II shared IN profits on OIL not
dasll D{ H. ana what was eomprehended IN the name
Wuess could not tell what proportion the local ra fife
o. The EewYork Central Railroad bore 10 the through
uang Is not familiar win the Enc Company's line
one OF the ScWYork Central officers Is connected with
tle Union STOCK Yard Jt Buffalo 10 Is az Independent
corpora ion hogs shipped nom the West yariage is
ploydec for IN the rate cannot say to horned cattle;
de- MOI X through rates between Liverpool aud Chcago
90 not Know what they are not Ia my department. IN
laud rates are fixed by me or Mr.. Rntter;
never knew wnen the rates from Chicago to
Liverpool were considerably lower than from Chicago
10 NtW-1Oik, anu New-Iork To Liverpool; dOu't re-
member Wien Ne combined rates; net rates from Cal
rates from New-York to Liver nooi were larger IN some
cases than the rsLes fixed In tie bills OF ladng ct the
same time FOR grain from Chicago TO Liverpool, under
terms winch were known as through bisj know moth
lug about. ana had nOnng To do with hXUg rates To
NeW-1otk, Philadelphia aud Baltimore; have 10 per
soba olInOn on toe subject; don't know whether milk
or petroleum trains pay best have TO consider the value
I OF tiamci many special rates are made 10 manufae
turers and dealers VINO could not live without them
40 not mink in some particular eases they could carry
Oh business If compelled to pay the regular liked tarlh
Mr.. JEwRTT's EXAMINATION.
Mr. Jewott here took the stand, and on being exam
ned by Mr.. serne, said he president OF the New
York, Lake Erie and Western Railway, and has been
since s organization; prior to that president Of
the Ere since 1874 has been suce the 26h OF May,
and SIN is, receiver OF the Erie.
Q.-Why did you not END your recelyership at the
time Of lie new 0rginizatoni A.-Ihat Is for the
NJ Jewett hero addressed the chairman saying that
when THIS committee was appointed he eX-
pec,ed 10 be called on ior an Investigation
he came here for that purpose. But when the
chairman Of the committee announced that III this u-
YES igiuou-u0, tnis pro,ccuiou--Mr sterue repre-
scnied the committee and conducted the examination
from cpurrnccs and consultation with the committee,
n felt 10 his duty then 10 inquire ana determine for
himself a. the representative OF a great railroad what
questions within the puryiew II tho resolution
uud,r winch this committee vas appointed. lie could
believe tuat tins comm tee would ST and be made
the instrument o. 9ther Tarles-Aeiicnry and other
enemies OF The Erie Road He WIS wiling TO furnish an
the documents the committee called Tor, bal hc was un-
wiling 10 be quzzed by irresponsible counsel before this
Mr. Fowler arose aud stated that be presumed be WAS
the person referred to by Mr. Jewett being present
to forward the interests OF James ActeuIy but begged
state that he not here IN that capacity nor dd
he lhnk Mr. Acllenry was interested ~, OK bad anY-
! thing 10 DO WIN this lhNesIE"tl,,h ne N3s
/ at one time, I'm the interest OF clients, largely
Hn1r. ana in the c1ufse Of n.igation much
matter came to his knowledge which lac placed at the
Tor the enigiienmeut OF the Legislative Committee.
He was refIrd by Mr. ThuIber TO sir. simon sternr,
Trade and was engaged by Mr. Steue to assist him IN
bis Labor before the Legislative Committee Mr. Fowler
to ms knowledge, IN the Affairs Of the committee, and
nat bis own uiormaton OF Erie affairs referred eXcu-
Mr s,ene said he did not know McHenry, and was
unJcqtUuted with Mr. Fowler until introduced To MIN
by letter from Mr. ihurber aud 9la mol believe any
Tryae interest was TO be suOseryed by any action taken
by counsel rcprcsc ntIug the committee.
Mr. Jewet made some more remarks Oh me same ieIor
as before and cld from an in trF between repre-
sentattc Of me Ae York Erenirg Post and Mr. stee.
ucductng IL that the latter gent cndn was before
lie wa. willing to furnish any evidence in his power,
but objected TO be questioned IA che manner others had
me chairman said the Constitution required public
Investigations He explained the circumstances Of the
committees appointment, and stated that the commit
tee wanted 10 conduct the proceedings SO that when
they got through the people would know there hld been
an Investigation. Tie ulfncultY oi obtaining cOuuseI
was f; and discussed by the committee. The ChamUer
OF Commerce told by the committee they must
furnish able counsel to develop matters Two names
were mentioned, bat 6oth men were connected with
railroads. Mr.. Sernes name mentioned, aud upon
consultation ne was engaged ana was aclnS III IN ire
accord with the committee. Tue committee Was doing
Judge shpman thought II the committee was In ae-
cord with Mr. sterre's liea on farUaS the Erie might
as well withdraw from the proceedings.
The chairman stated that the commHtee was slmp1
i'm judicial position. Mr. SIerne would not be per-
IN AN e
approved of. The committee must have latitude.
10 tne gu SiYn Gepea,e2 Tm5 Gnu nI En- ,' 1 J
EFT explained that 1t because OF the pendtncy oil
suits against tue Erie. For the same reason large
amount ot property the Erie i sl in the hands OF
the rec iyer, not turned over TO the New-1ork'
Lake Erie and Western, waiting Tor ms ms
bonded Indebtedness Of the New-York. Lake Erie
ANA Western Railroad In 1870 Was about S0o'OOo,OOOi
the roaG was sod subject all tbis indebtedness WIN
the exception OF S25OOOOOO; this 923,OOOOOO II 10 be
replaced by another series OF bonds the same IN amount
bur at a reduced rate of interest; the debt OF the Erie
Road was largely diminished when the property was
sold and passed into the hands OF the COMPANY oy ordr
the COurt the capital stock OF the new road Is tne
same tnat OF the Ere; under the plan Oh G
ton there were TWO classes oI bt feW
assessment and a - assessment put rev
BY the terms OF the reorganzaon those VINO Rlu tn%'
assessment entitled TO ~ ONE Douds. Tue earn
ings during his T0ceyer-hlp much more IMAM pad lHe
Indebtedness incurred by the receiver Some or the ola
Indebtedness was paid.
TEE PROSPECTS OF THE ERIE ROAD.
The question as TO whether Mr.. Jewett had any ex-
pecaton being enabled to pay out Of the earnings Of
the road the interest upon the debt the chairman de-
cided be answered If Mr. Jewett thought such
answer wOuld have any effect on the stock market
Mr. Jewet said Since this reorganization II nave
been troubled / have been Thousand times oy
pecuators m bonds and stocks OF the Erie Company 10
yer some assurance from the value OF these GER
Ii1cacs its sock. have always declined 70 t4pIesS
any opinion except that which Is expressed IN the re-
port to the public through the Board OF Directors
He said If the chairman insisted on the question lie
would answer II ; DuI he thought II might Affect tine
stock maj ket tho extent that IL was ms OphlOhi ue
said the Enc Road when he took cbarge OF H. was an
incomplete concern Its track was discOnhecleu Az
points on It's ue Ii had few terminal improvements,
defective machinery and many wooden bridges II "ds