Audubon Republican. [volume] (Audubon, Iowa) 1894-1925, 1901-01-03
RAILWAYS IN VAST COMBINE.
{. Pierpont Morgan and E. H,
Hartman Dominate Systems.
MILLIONS ARE BEHIND THEM.


Chicago, Dec. S1.-The new century
will find nearly all the great railway
systems Of the country dominated by
two mem. Pierpont Morgan and e
II. Hartman, according to the Chicago
Tribune. They are the coequal rulers
IF the American railway world. The
principal lines of the vast region west
Of Chicago and the Mississippi are sub.
iect to the rule OF Mr.. Hartman
Those east of here are directed by Mr.
Morgan. These two men between them
control all commercial and manufactur.
ing outlets OF the country. Back oil
them are the great financial interests
Of the country, represented by com.
mittee armed with extraordinary pow.
ers. They have resolved on the abso-
Lutte elimination of rate cutting west
Of Chicago, and the rash railway Off.
cial who attempts such tactics Is
threatened with the refusal of loans
The beneficial results to the railways
Of such tactics are shown In the In.
creased earnings of the lines in the
Morgan-Harriman community owner.
ship" project.
Rate cutting, railway officials de;
clare, has forced the vesting OF su.
preme power in the hands OF Mr.. Nor.
gan and Mr.. Hartman. 1t is the con,
summation Of scheme that has en-.
gagged the attention OF great railroad
magnates ever since the United State.
supreme court declared the Joint Traf.
tic association a violation OF the anti.
trust law. Since the enactment of tn,
Interstate commerce law American
railroads have been unable to main.
tain rates. Competition has FORGET
thGm to keep the tariffs within com
paratively reasonable limits. Unde,
these conditions they have found i
impossible to earn enough money T.
pay dividends on their watered stock
Traffic associations failed to give sat
isfaction, being unable to enforce tn,
agreements or tariffs. The railway
magnates decided at length that tn,
evil could not be remedied unless pool
ing was legalized by congress. TIL,
failure to secure favorable legislation
Notwithstanding the most desperate eff
forts, convinced them of the useless
ness of making further efforts in tina
direction, and they concluded tina
their object could be gained only b!
practically consolidating all the BIZ
railway interests in the country.
Mr.. Morgan found that to direct tn,
affairs of the roads east OF the Mis-
sissippi and Chicago. the principa
roads in the South, and, in conjunc
ton with J. ]. Hill, the principal roads
IN the Northwest, was all that coult
be expected Of him, and he suggested
that another financier take hold Of tn,
affairs of the lines in the West. E. II
Hartman Of the New York bankins
firm Of Hartman Brothers was tn,
man chosen. The magnate COMMITTEES
is not only expected to keep the lines
in which they are interested in check
but also those lines in which they
have not become interested. 1t repre-,
sents original sources Of money supply
as well as community ownership
The strongest of railroad owners have
need for money, and they cannot ge,
1t unless the powers are in sympathy
with them. Without money the wheels
must stop and financing" come to ar
end. The men who have built up and
organized more or less pretentious
systems of railroads and who hereto,
fore have imagined themselves great
men are speedily brought to a realiza
ton Of their weakness when they find
they cannot borrow money to carry on
their projects. The result is rigid en-.
Fnrnapnant If aoraad rataa