The morning news. [volume] (Savannah, Ga.) 1887-1900, 1898-01-16
TRAFFIC IN SCALP TICKETS.
NET PROFITS OF ONE FIRM IN oNH
YEAR $4,000,

Editor of the Commercial TraveleE
of 81. Louis Thinks Drummers
Would BE Able to Get Reduced
Rates From Railroads IL Tickea
scaIping Was Prohfbited--Tfcker
Broker Mckenzie Asserts Thae
Brokers often Deal with the Rails
roads Themselves.
Washington, Jan. 1.-THE Senate come
mittee on interstate commerce this morn~
Ing at 10:45 o'clock resumed its hearing o1
the antl-ticket scalpng bill.
Pending the resumption of the testi<
mony of George NJ. Mckenzie of Chicago.
a statement was submitted TO the CONS
mite by Bert Lyon, editor OF the Commer-
clal Traveller OF ST. Louis. Mr.. Lyon said
that L. J. Feeley of Chicago, and p E.
Dow of New York did not represent ths
$4,000 travelling saemen Of the country.
While he did not wish to be understood as
claiming to represent all the commercial
travellers of the country, he was absolutely
satisfied that great majority of those
travellers is in favor OF the pending bill
He thought It absurd to suppose that the
hundreds of thousands OF commercial
travellers could not make arrangements
with the railroads as favorable to them
selves as the few thousand ticket brokers'
had made with them.
IL it were not for severe restrictio ~
placed by the railroads upon local rates
made necessary by ticket brokers' 10
would be possible for commercial travel
ers 10 make much better arrangements
FOR their transportation than they are
now able to make. Mr.. Lyon held that as
a business proposition the railroad could
afford to sell the transportation In large
quantities at lower rates to commercial
travellers than in small quantities to brok-
ers. He, therefore. held that the traveller
no was on railroads practically oil. the
time was entitled 20 lower rates than the
person who Travelled only occasionally and
but a short distance.
Mr.. Mckenzie, the Chicago ticket brolk-
er, then resumed his testimony He pre-
sented affidavlts from various ticket brok-
ers In Chicago, st. Louis, Boston, Louis
vile, and other cities, setting forth that
they had purchased tickets directly from
the authorized agents of railroads, and In
some cases received commissions thereon.
In response to inquiries by Senator Gull
lun, Mr.. Mckenzie named among the lines
with which he had done business Ia Chi
cago, the Big -Four, Chicago and Great
Western. Chicago, Burlington and Quincy,
Chicago and Alton, Union pacific, Monon
Route Wisconsin Central, Canadian Pa
cifc and Rock Island die was unable to
afford the committees details and particu-
lars concerning the business done with
these lines.
Senator Elkins inquired what the annual
volume OF Mr. McKenzie's business was.
and he replied that Il aggregated last year
$4,000
"No wonder you are making a fight
against this BILL" said Mr.. Elkins.
The questioning of Mr.. McKenzis
brought out the statement that the bulk of
his business was done over the weak lines.
He said that he could do little business
with the Canadian Pacific, because the
laws OF Canada prohibited brokers in rail-
road tickets within the limits Of the Go
minion.
Mr.. Mckenzie did not say that he him.
self had received commissions from the
sale of Tickets but he presented statements
from brokers that they had been paid conn-
missions.
MIR. Mckenzie said that upon mileage
books no commission was ever paid by
the railroads, the brokers having 10 pay
as much for the books as anybody else.
Senator Tillrnan asked sharply: Cans
you produce some absolute proof In the
shape OF cancelled checks or some other
kinds that the railroad men who have ap-
peared here lied? That's what we are
trying to get at"
Mr.. Mckenzie then stated that he could
furnish statements from brokers' with
cancelled checks attached.
'Can you state" inquired Senator Gull
lom, what lines give you personally COM
missions2"
Il have been here several weeks" re-
piled Mr.. Mckenzie, ''and I cannot state
what the actual conditions In my office
now are"
"Wel, don't you know" persisted Mr..
Cullom what is being done in your Office
in Chicago or not whether or not you
are getting COMMISSIONS
II really cannot say" was Mr.. McKen-
zies reply, whether my office Is now re-
ceiving commissions or not. :"
Mr.. Mckenzie said that since the recent
decision was handed down some OF the
railroads had withdrawn their business !
from the brokers.
do you, AS brokers'" inquired Senator
Cullom fpay heed to the state law requir-
ing that no railroad tickets shall be sold
except by authorized agents OF the road?"
I'VE pay no attention TO that law" re-
piled Mr.. Mckenzie.
'Why?' then asked Mr.. Cullom
1--WE don't think Il is a good law" was
the answer.
We'll" said Mr. Cullom. I'VE should
have a queer condition of affairs IL all the
people proceed on that plan. What ex-
PLANTATION have you TO offer on that point?"
Mr.. Mckenzie said that II seemed to be
the result Of public opinion regarding the
law.
you say" said Senator Elkins, ''that in
1894 you did business aggregating $500 00O
Now what was your profit on that busi-
ness?'
II viii say" said Mr.. Mckenzie, that
i'm that year we-my partner and I-had
five Offices. Our aggregate business was
S1,39,0C0, and our net profits about So, ,O00'
This concluded Mr.. McKenzie's testf-
mony and the committee then adjourned to
meet at the call OF the chairman.