The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-05-09
CAN'T SELL 70 THE SOUTH
WITNESS TELLS INDUSTRIAL, COW
MISSION THAT TEE WEST Is DIS
CRIsLINATED AGAINST
RAILROADS FAVOR THE EAST
Denver Witness Also Complains
That the Roads Do Not Give
His City a Square
Deal.

WASHINGTON, May Sc. p Wilson
secretary Of the National Association Of
Manufacturers and various other trade
organizations Of Cincinnati, testified be-
Tore the Industrial commission today
concerning railroad freight rates from
the Ohio river southwark
MT. wilson SAID that the discrimination
against Ohio river points is the result
or an agreement which was entered into
almost quarter Of a century ago be-
tween the Atlantic coast roads rdnnfDg
south and the roads running south from
the river In accordance with that
agreement the Ohio river roads had add
vanced the rates on manufactured ar
ticles and had kept them so high as TO
practically exclude the manufactured
articles of the West from that market,
notwithstanding the manufacturing CEN
ter In that time had moved rapidly west,
ward. So great had this preference
been that many Western manufacturers
had found 1t profitable to establish ware
houses in Atlantic seaboard cities for the
distribution Of their wares through the
natural channels which were the West
ern roads running southwark Often the
rates. he said, from Cincinnati to south
ern points were greater than from New
York notwithstanding the distance is
only about half as great. Mr.. Wilson
thought the coastwise water traffic Is
not as great a source Of competition as
ISPOTISut LHdL IldIlC DeluR TO his mind
controlled by agreements with the rail-
road companies. He also said the river
competition Of the West had ceased to
be formidable
The Ohio river, he said, was fast dry
Ing up and the river business had lost
It's prestige. Speaking Of the interstate
commerce commission, Mr.. Wilson said
that while the opinions Of the commits
sion might be OF value from an educas
tional point of view, they have no biuds
Ing force. Mr.. Wilson said that Gin.
cinnati never would consent to the sale
Of the Cincnantl Southern railroad
In the afternoon the commission lis
tened to a statement from Mr.. G. y.
Griffith, Of the Denver Chamber Of Conn
merce, who read a document prepared
by the chamber, complaining OF freight
rate determinations against the city on
the present railroad companies. 1t was
reported that this practice grows large
ly out Of the fact that the Missouri river
is made the basis of Western rates. The
opinion was expressed that this base
should be moved westward to the longi-
tude Of Denver. The Chamber Of Com
merce also made complaint of instabil-
ity OF railroad rates, and q plea was
made for uniform and stable charges,
Mr.. Griffin said the rate from New
York and Chicago to Denver Is about
the same as the rate from those cities
as to San Francisco and that the rate
from Denver to San Francisco az that
from New York and Chicago. He also
said that Notwithstanding the fact that
Denver is 600 miles nearer Montana and
Idaho than Mississippi river pol ts, Dem
Ver's rate to those states IS only one
fifth less 1t was also true that goods
could be shipped to San Francisco and
back to Utah at a lower rate than the
same goods could be shipped to Denver
and then reshipped to Utah.
MAY MAKE AR0IOR PLATE
The government has compromised the
issue over the use Of the nickel process
for hardening armor plate for warshps
in such a way that in the future this
process may be used by the government
itself If it should undertake the MANI
facture Of its own armOr, or by any prl-
vate concern furnishing armor for Ameri-
can ships. Claims have been pending
for years, and in settling them the gov
eminent not only closed Up past Issues
but insisted on clearing the way OF pos
sible complications in the future. Tho
claimants sought to limit the adjustment
to the arrnor furnished by the two con-
Germs heretofore furnishing the govern
ment. Foreseeing, however, that the
government itself might wish TO make
armor at some time, or that competition
might extend to other large concerns.
Secretary Long insisted that the release
by the United States or by any concern
working for the government. These
points finally were conceded. The COM
promise figure paid by the government
was between $4,000 and 5000.
"DURKEE CLAIM" FRAUD.
The treasury department is preparing
a letter to the postoffice department.
asking that a fraud order be issued
against parties representing themselves
IS interested in the Durkee claim. This
claim is an old one, dating back to Ia
cifc railroad days. Durkee at one time
being governor OF Utah territory. The
original amount was $S4,OO0,O00- The casa
has been in the court Of claims, and moro
recently in the supreme court OF the Dis
trict of Columbia. and rejected
Yesterday a lawyer called on Secretary
Gage with two witnesses, and made
demand for S79.O00.OO0.
what do you intend 10 do about IT."
the lawyer asked.
st refuse to pay it for the reason that
I would be subject to impeachment and
Imprisonment" said Secretary Gage.
Every WELL" retorted the lawyer. Il
have witnesses to your refusal"
It IS stated at the treasury department
that many persons have been induced to
buy stock in this "Durkee claim" ann
for that reason 1t Is proposed TO ask for
the issue OF fraud order.