The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-01-20
THEY FEAR A MONOPOLY
CANAL MEN PROTEST. AGAINST IN.
COOPERATING A BIG COMPANY.
Alarmed at the Prospect of Wiman,
Flour and Grain Traffic.

ALBANY, n. Y, Jan. 19-Vigorous pro-
test is to be made by the Canal-boat
Owners Association and the boatmen of
the canals in general against the bill pro-
posing to allow corporations with a capt.
talization as high as s4,O0OOOO TO do business
on the canals in competition with boat
men. Up to last year it was not lawful for
any corporation to do business on the
canals. only individual boat owners and
partnerships having the privilege. Last
year Assemblyman Hill, of Erie. introduced
and had passed, contrary to the wishes of
the boatmen and against their protests, a
bill allowing companies with a capitaliza-
ton of less than $780, 900 to do such business
1t was claimed that this was simply for
the benefit of a small company headed by
Capt. Marcus Drake and doing transpor-
tation business between Buffalo and Roch-
ester. and a clause was added 10 the bill
forbidding any railroad corporation to own
any part of such company. But the Sc
quel to this came sooner than the canal
men expected, for on Jan. g. of this year
a company was Incorporated TO do business
on the canal and the maximum allowed
capital but with the avowed intention to
finally control the grain, lumber and flour
traffic of the West through that channel
Following closely upon that Incorporation
came the introduction of a bill by Assem-
blyman Parshall, of Brooklyn, increasing
the maximum capital to be allowed "A COM
pany working the canal 10 be S40O0.O0O
The company which 1t is believed desires
to take advantage of this act, If il becomes
q law, has as its mainstays such men as
Erastus Wiman, c. a. Pillsbury, the Min
neapolis flour king. and r. a. Young, one
of the largest grain shippers or the West
If the bill becomes a law this company will
proceed 10 take possession of the entire
traffic in grain and flour, at least from the
West, ana Will form a formidable opposi-
ton 10 the big railroads. Already they
have obtained valuable docking privileges
from the city of New York, and some OF
the stockholders are stockholders in the
steel canal boat combine, 1t is certain that
their operations TO be OF stupendouS
nature. As an indication of this, this COM
pany. the Consolidated Canal and Lake
Company. has promised the New York au-
thorltieS that they Will increase the carry
ing of flour by canal in one year from 900
barrels TO 100000 and that contracts for
the carrying of that volume of material
are already in existence. The company has
already ordered seventeen lake steamers
and thirty-five canal boat consorts.
Taken in connection with the improve
ments asked OF the national government,
above can easily be seen. Those capitalists
whom ii is known are In the combination
practically who started lake combina-
tion last year, and il is intended to con-
tinue this later organization in conjunction
with the new company. Among the orig
inators are Charles y. Pillsbury, who, with
his associates of the Washburn-C Crosby
Company and the Consolidated Milling
Company, has q flour output of 100000
barrels annually; Bradford G.. Church, rep
resenting the mills of Duluth and Superior
with an output of 80 900 barrels daily, and
Edwin a. Young. OF St. Paul, representing
the Jobbers' Union. distributing nearly ali
the merchandise absorbed in the six North
western States. Ii is believed that by these
means the general traffic in these things
that has lately gone by way OF Newport
News will again be brought through New
York State. The bill to allow the in
crease of "a canal corporation capital TO
four millions will met the combined oppo-
men. but the company Will so on never
theless, even with the small capital al
lowed by law.