The Saint Paul globe., 1900-06-24
rs INDEPENDENT LINZ
NORTHERN PACIFIC MAY so OP-
ERATB THE ST. PAUL 81
DULUTH
MIGHT THUS ESCAPE A FIGHT
NOrth-Western's Ownership of the
Omaha Gives Parallel Prece-
dent for Such
Deal.

The unexpected may be forthcoming
from the Northern Pacific. and there are
good grounds for believing that In tha
face Of present. conditions that road will
operate the former st. Paul &, Dulutb
as an Independent line An outline Of
plans to this end has previously been
published in the Globe, and In sub
staauation of that report an official of
the Northern Pacific made a, statement
yesterday which, from its source NAV
be taken as conclusive grounds for be-
heVing thai the plans formulated to pre-
vent a legal tangle over the consoIida-
uon Will be carried through, If not en-
tire at least in essential particulars.
FOR moIe than two weeks it has been
known that the Northern Pacific will
Keep the financial operations of the Du
Iuth separate from those of the other
mileage Of the system. The statement
mas peer recently made and substan-
tated that the operation of the two
parts of the system will be kept separate
In view of the somewhat unusual condi-
llon presented by these determinations,
the statement of the official referred to
made in the course of a desultory con-
Versation, is Of peculiar interest. He
said:
The strongest probability at present is
that legal fight of important DrOpor
tions will ensue. l have not believed
ana from what l have recently learned
DO not now believe, that when il comes
10 a showdown the Northern Pacific Will
De IOund in actual violation of the law
tldnS are being made along lines tend
ing TO the absolute Individual operation
OF the TWO systems which will avoid
many OF the complications with the rail
fGad commission and the law. and. while
tney may not prevent a contest in court
VIII assure the Northern Pacific of a no.
Sitlon outside the technical boundaries of
competing lines
DO the plans affect the consolidation"
or competing phrases of the statute?
Probably the former I do NOT wish +o
say anything further
burlhg the conversation reference was
again made to the attitude of Pierpont
Morgan upon matters affecting the
standing OF railroads in which he is. in
terested. with state and federal bodies
rms phase of the situation is one which
has been often broached and universally
accompanied with the comment that Mr.
Morgan's attitude would be against COM
phcations either with a railroad commits
sion of Minnesota or of any other
state.
There is little question, in the face of
recent developments but that the con-
solidation has been carried too far to
avoid fight with the state authorities
over its legality. The statement made
yesterday and quoted above. however, is
Interpreted on the best obtainable au-
shority to mean that the Duluth will be
placed in such a relation to the Northern
Pacific as to avoid the law, yet retaining
all the essential features which It has
under the present arrangement.
This will mean that the Northern Pa
ciiic Will still own the road and all its
property. 1t will be supervised by
9nan favorable to the Morgan and other
Northern Pacific interests and on friend
ly terms with President MelIen It's of
ficers will hold the titles usually carried
by those of individual roads, and its
financial, operating, passenger and
freight departments, together with the
other necessary departments, will be op-
Grated as before, yet all will be under the
supervision Of the Northern Pacifics
man, and indirectly under the supervision
of the Northern Pacifics general Of
ficers.
This arrangements has several prece-
dents. among which the case of the Chi
cago, St Paul, Minneapolis & Omaha is
most prominent. This road is controlled
Nby the Chicago & North Western through
Fnership of its stock. Marvin
Hughitt. of Chicago, is president of both
roads and at the general offices in St
president. The other arrangements for
the operation of the road are well known
With the indications at present. the
statement made by Duluth official sew
eral weeks since, that ANYONE can own
q railroad and anyone can control rail-
road if they have money! is particularly
apt General talk has assigned Leverett
S. Miller to the control of the Duluth
under the supervision of the Northern
Pacific and President Mellen. Mr.. Miller
is soon to leave his present post with the
Seattle & International, and this is also
taken as an indication that signs of
coming events are In evidence.
IT Is pointed out that in case the rail
road commission presses the case against
the Northern Pacific and the former Du-
luth, simple transfer of authority to
more indirect route would easily place
the commission in position where no
. conviction on their part could be secured