The Saint Paul globe., 1897-05-21

ship all the products Of the soil East
via the all rail Vanderbilt lines. The
feeders of the Union Pacific extend out
like the arms Of spider They sap IN
a rich harvest which Is converted into
one constant stream Of traffic via Chi
cago all rail lines to New York.
The interests represented in the Cred
Its Communication company claim they
see peril in the situation. OF the re-
organization committee, three repre-
sent Vanderbilt interests. One Of them
is Chauncey M. Depew. Another is
Marvin Hughftt, president Of the Chi
cago and Northwestern and a director
OF the Union Pacific. Still another is
Oliver Ames. The petitioners believe
they see in the make up of the CON-
mtttee, the fine hand of the Chicago &
Northwestern and not that of the real
Union Pacific. It Is claimed that the
Northwestern already holds the stu
alton in it's grasp for 1t owns all Of the
systems involved in the case. outside
Of the Union Pacific itself. The Sioux
City Pacific owns the Fremont, Elk
horn & Missouri Valley, and the two
are owned by the Chicago & North
western. and the whole is owned by the
Vanderbilt interests. If the lines and
the Union Pacific should all come under
the control Of the Northwestern, rep
resenting the Vanderbilt interests, 1t
Is feared that all of the business Of the
middle Northwest would be DETECTED
to Chicago by the Northwestern, and
from there East either by the Lake
Shore & Michigan Southern, or the
Michigan Central, both Vanderbilt
lines. The last two lines would deliver
the cargoes to the New York Central,
making Vanderbilt haul practically
from the Rocky Mountains and the Pa
cific to New York. The Credits Com
mn 70 ino o1o hot
the Union Pacific was never construct
ed according to its original plan. That
If the governments understanding had
been carried out, the northern feeder
would have been built west from Sioux
City to North Platte, a distance Of
about 25O miles. This would have
brought Sioux City and far West close
Sioux City to Duluth is rs miles shorter
than from Sioux City to Chicago.
Grain from Sioux City hauled from
that point to Duluth for shipment 20
New York would have the advantage
of water rates thus bringing down the
cost Of transportation to a minimum
The acquisition Of the Union Pacific by
the Vanderbilt interests, the petitioners
believe, would do an incalculable in
jury to the lines of railroad they al
ready have constructed and others
Which they have in contemplation. It
would foster Chicago, Buffalo and New
York in competition to Sioux City, the
Twin Cities and Duluth. They say
look at what has been done since 1877
by water competition to bring down
the rate on wheat between Chicago for
instance, and New York The rate in
1877 was SO cents all rail from Buffalo;
lake and rail was 80 cents, and lake and
canal II cents. At the present time
the rates from Chicago to New York
are about IA cents all rail, II cents lake
and rail, and about cents canal and
lake. The petitioners contend that the
natural outlet Of the Iowa and Ne
braska corn and wheat belt is via Du-
luth and the lakes. At the present time
however, on account Of the Vanderbilt
traffic contracts and the excessive
bridge tolls, none of the traffic from the
territory indicated can get up to Sioux
City, and hence cannot reach the lake
and rail outlet. 1t is forced to 60.
and will be forced to go via the Van
derbilt lines If the sale of the Union
Pacific goes through on the lines laid
down by the reorganization committee.
Seventeen lines of railroad leading
northerly through Nebraska are headed
Off by the Union Pacific The on1y
hope OF the Southwest, according to the
claims of the Communication people. Is
the construction Of line northeasterly
from North Platte to Sioux City in
order to give the lake outlet