Evening star. [volume] (Washington, D.C.) 1854-1972, 1896-03-07

| many agents to do the same work of con-
| struction and operation.
Freight Charges of the Roads.
Inc main drift of his questions today
was along the line of the freight charges of
| the Huntington roads, and he started out
with the discovery that there has been of
| late years an agreement between all of the
Pacific roads fixing the tariff in such a way
| that the Central Pacific was given over
90 per cent Of the business and therefore
OF the revenue, although there were up
wards of dozen parties to the agreement.
Mr Morgan tried to find out why this in
equality existed, but Mr.. Huntington could
not throw any clear light upon the subject,
but referred constantly to the omnscient
otubbs. Nor could he assert positively
whether or not he had anything to do with
the formation of that agreement. His
memory was very poor on that subject, as
also on the matter of just when it termin-
| a.eu. Indeed, ne was not certain that the
agreement was ended. 1t might really lie
IN operation yet. This, Notwithstanding
the fact that he is vice president of the
central Pacific road, and the president Of
the Kentucky corporation. Mr.. Morgan
| tried to find out whether Mr.. Huntington
would not know if there had been any
cnanse in the agreement among the Pacific
roads, but failed absolutely to get a definite
answer. Yet Mr.. Huntington subsequently,
| IN the course of the examination, showed z
remarkable acquaintance with the details
| of the traffic arrangement. and became
quite glib at one time in discussing what
ne called "differential'' rates and compet-
ton between railroads and vessels.
The question Of the local passenger rate
in California came UP. and Mr.. Huntington
asserted at the suggestion ex-senator Gear,
| that the people of California rode On the
railroads about as cheaply as anywhere in
the country, and when the higher cost of
operation in California is considered, the
local passenger rate is probably cheaper in
l ~ ns-fif hot
coal was high there, whereupon Senator
Morgan ascertained from his witness that
he, with others, owned several very pro-
ductiye coal mines that supply the railroad
There was a long discussion TO the rates
of coal charges, and finally Mr.. Hunting
tons nephew, who accompanies him, was
instructed by the committee, after being
sworn, to furnish the committee with a full
statement as to the cost and means OF
transportation of the coal used by the loco
motives of the roads controlled by his
uncle.
Mr.. Morgan spent some time trying to
fnd out whether or not the merchants of
the interior of California make frequent
complaints that they are compelled to pay
double freight rates on goods that are
shipped TO them directly past their towns
to San Francisco. and thence returned
10 them. Mr.. Huntington expressed great
surprise that there should be such as
sert!on made, and the best he could do was
to remember that shortly after the road
was begun there was some complaint to
| that effect. but that the evil had been
| lemedied. Mr.. Morgan informed him that
he had trustworthy statements to the ef
feet that there is now very vigorous
spirit of protest abroad among the Califor
MIA people on that score. Mr.. Morgan ask
ed II there was not now i'll California a
local railroad commission trying just such
cases.
\ Question of Congressional Rights.
Yes" replied Mr. Hunt;i.Ston, land the
4 hny- s,,11
| lions cectain people made promises that if
| they We're elected they would reduce the
freight rates twenty-five per cent The
railroad has resisted this effort, which they
have attempted to put into execution. We
deny their rgh; 20 take away our proper
ty"
Perhaps Congress will pass bill to the
same effect" suggested Senator Morgan.
Il don't think Congress will do it, re-
torted Mr.. Huntington. Il don't think Con-
sress has the right to do it.
We'll. l think it has said Mr.. Morgan.
and hope IL will exercise that right"
There was a long discussion as to the
rt les of freight on fruits shipped from
California, and again Mr.. Huntington
showed a remarkable acquaintance with
the details of that branch of the business.
but ne parried most of Senator Morgan's
queries. which were directed to show that
by virtue of the traffic agreement the Ger
trail Pacific road is getting the ions share
adauIIa ia
re ason.
The examination then turned upon the
leases of the Kentucky corporation, which
after some difficulty. he persuaded Mr.
Huntington to say were tax oh the keE-
lucky company TO the extent of about
StHgl.WW a year. All of these roads Mr.
Huntington said. make enough money to
pay the tax upon the Kentucky company
and give pr1fit besides of about 81 900 tHa,
Mr Morgan wanted to know what was
done with this profit. 1t was not ex-
pended in dividends. he knew. for Mr. Hun
| trston had told him that the Kentucky
corporation had never paid cent in diyi-
denGs. 1t was ascertained that all OF this
profit goes to extend the system of lines
to build new roads or to lease Others and
to keep up the lines i'm good repair MIR
Huntington said that many times the peo-
pie of certain section of country will ap-
peal to the company to supply their terri
toy with railroad. and although often it
is Improbable to do SO, yet it has been
thought good policy to accommodate te
them.
That is pretty good property, is it
not? asked Ser Morgan.
VIII Do Well After Awhile.
"Well, 1 should say so, on the whole.
said Mr.. Huntington in a speculative tone
pretty fair. Wen probably DO pretty
well after awhile" This answer brought
forth general laugh from those assembled
in the committee ROOM
Mr.. Morgan tried to get at the exact re-
lationship between the kentucky corpora
,ion and the California Pacific road but
after awhile he gave up the effort with
a long sigh. and said:
well, after having got all these little
roads into your gr::sp--
Il would prefer interrupted Mr.. Hunt
irgton, Ito use the word possession in
stead of grasp. / think that would he
more the proper term.
Mr.. Morgan yielded this point Mr. Hunt
ington was unusually nice about phrase
ology. That was the second time during
the day that he lad drawn the line on one
Of MIR. Morgan's words. He went on to say
that it vas the policy of the Central cor
poraticn to absorb all the little roads iii
the territory that We're unable to pay ex-
penses and by reducing the useless ma
chinery of m inaacment to place them on
paying basis and to add them to their
great system. Then he grew eloquent On
the subject CT California.
California is the best state of the Union
TO live in." he said. I'VE have a million
ard half of people, and 25,OVO,0O0 could
live there and get fat. We have a splendid
property now i'll our various railroad lines
that in twenty or twenty-five years more
will be of vast value.
willing To Sell Stock.
rs there any stock for sale?" ask I'd Mr.
Morgan.