St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1889-05-10
OF the Relations Of the Cana
dian Pacific to Our
Trade.
Santa Fe Stockholders Meet
and Try to Look Cheer
! full.
The TranscontinentaI Associ-
/. alton Begins It's Ses-
!. SiOnS.

vestigating committee. met again to-day.
The first witness was President George
b. Roberts. of the Pennsylvania rail-
road. He stated that the Pennsylvania
system comprised number of leased
roads in addition to the Pennsylvania
railroad proper, which practically con-
trOlled the policy of the system. 1t had
very little actual business relations
with an Canadian road.
Senator CulIOm-What have you to
say of the relations between the Cana
dian roads and those of the United
States?
Mr.. Roberts Since the United States
has begun to regulate the railroad COM
panies by special legislation the latter
have been placed at disadvantage in
their competition with those of Canada.
The effect of the Grand Trunk roads
being independent of the legislation
which affects those of the United States.
is constant menace to the latter. l
roads do any serious injury to American
commerce, but they are in position to
do so at any time the managers see fit.
Senator German asked Mr.. Roberts the
same question Mr.. Winan answered
Observation-Disclosures or not it would be
a fair proposition for the United States
to demand that all Canadian roads
doing business in the United States
should conform to American laws. or
else stay out of the country. Mr.. Kob-
erts replied that he thought it per-
fectly fair demand, and one which
should be made in the interest of Amer
lean roads. Mr.. Van Horne, of the Ca
madam Pacific, in reply to a question
concerning the history of the Canadian
Pacific road, said that the road was be-
gun by the dominion government in
compliance with an agreement made
between the government and British
Columbia. The transcontinental trade
from China, Japan and the western part
of the country, over the Canadian Pa
cific road, is constantly increasing. It
gets about 10 or 70 per cent of all the
Western and Pacific trade. At o'clock
the commission adjourned for an hour.
After recess the examination of Presi-
dent Van Horne was continued. 1.-THE
impression is general" said he. 'sthat
the relations of the Canadian Pacific
road with the government are exceed
ihgly intimate, but I assure you that
the relations are anything but intimate,
and not as cordial or intimate as those
between the Pennsylvania railroad and
your government at Washington. In
reference to the subsidies about which
so much has been said. the Canadian
Pacific got s35, 100000 for its whole road,
while the Union Pacific, for about one
half the distance, was given 46,000,000
acres of land, and its line was not half
as hard one to build as ours. Then
nearly all our rails and materials for
the road came from the United States.
Mr.. Van Horne was followed by Pres
ident and General Manager John New
ell. of the Lake Shore & Michigan
Southern railroad. He testified that his
road suffered severely from the COM
petitive practices of the Canadian roads,
and offered to furnish the committee
with documentary evidence of the I'M
fair dealings and methods of the Grand
Trunk railway in particular. which he
said was now one of the largest carriers
out of Chicago. Chairman CullOm ac-
cepted his offer. Continuing, President
Newell said that the Canadian roads
liked nothing better than spool" such
as they had all been in the Central
Traffic association, for tine reason that
the rates are then high enough for the
roads to make good living and the
members of the association are bound to
maintain them. The Grand Trunk,
however. by its Canadian operation
can do all the cutting and undertaking
it wants. AS an instance the wit
ness said that while his line and
the Grand Trunk both had the same
steamer fare, New York to Liverpool,
and both had the same published rates
from Chicago to New York, the Grand
Trunk was nevertheless enabled to
quote a through rate to Liverpool on
provisions of "A cents, while the best
the Lake Shore could do was fraction
oyer 40 cents. President and General
Manager Henry Ledyard, OF the Michi-
gan Central road, followed Mr.. Newell.
His road, he said, was rapidly losing its
export business by reason of the fact
that the Canadian roads were practically
free to do as they pleased, while the
American roads were fettered by the
interstate law. Throughout his exam
ination Mr.. Ledyard was quite bitter
against the Canadian railroads and
rather favored special legislation against
them. Tomorrow the committee will
listen to representative business men
apd ,ooroboptc of thiS pity