The Topeka state journal., 1902-01-09
WILL TELL ALL.
Grain Men Decide to Make a
Clean Breast of 1t.
Cut Rate Investigation Moves
to Kansas City.
is NO COMPETITION.
Head of the Kansas City Trans
portatiOn Bureau
Says 1t Has Been Destroyed by
Railroad FaVOritism.

Kansas City, Jan. 9.-The interstate
commerce commission, whose members
arrived on an early train from Chicago,
began it's investigation of east-bound
grain rates from Kansas City this fore
noon. The investigation in KansaS City
conducted by the commission last sum-
mer was considered a fiasco as all those
called denied having knowledge of
illegal rate cutting. but the present
hearing is taken more seriously.
Before the first testimony was taken
today the forty or fifty shippers and
freight agents summoned were at sea
as to what to expect This time the
grain men have decided to tell all they
know about the situation and it is be-
ieved that the railroad officials will
also tell enough to abSolve themselves
from further liability. The investiga-
ton will, it is believed, be confined to
looking into the charge that freight
rates on grain and grain products from
western points to the Atlantic Seaboard
are being cut in violation of the tariffs
w. 2. Trickett, head of the Kansas
City Transportation bureau, the first
witness, said the arbitrary proportional
and differential grain rates they obtain
on goods shipped from Kansas City east
places Kansas City at disadvantage.
He said that the through grain lines,
which were the Santa Fe, Missouri Pa
cific and Rock Island, each had special
grain representatives in the person OF
firms could afford to pay a higher rate
than other grain men, as they undoubt-
edly received concessions from the rail-
roads Such a system, he said, had
been in vogue since about 1896, and 1t
had destroyed competition. This he at
tempted to show by saying that in 1895
the Kansas City market handled 51.4
per cent. of the Kansas wheat crop,
while in 1896 it had handled but 25.4 per
cent, despite the fact that the 1896 crop
was the larger of the two. The re-
ceISts had decreased since the operation
of the larger firms on the through lines.
Their operations became apparent after
the establishment of proportional grain
rates on all lines except the Union Pa
cific.
j. A Robinson, of the firm of Hall &
Robinson, grain commission merchants,
which firm Mr.. Trickett had testified
was the representative here of the Mis-
was questioned closely as to the records
of business between his firm and the
Missouri Pacific railway, but would not
admit that there were any such records
available. While other firms than his
had elevators along the line of the Mis-
souri, Pacific, he admitted that they did
not do an export business and that his
firm experienced practically no competi-
ton from them. His firm had never, he
declared, received money for rebates,
a concession from the railroad, or
from any other source, directly or indi-
rectly, during the past three years. His
firm he said had a definite and not an
elastic rate with the Missouri Pacific.
Oliver Denton, a grain commission
merchant of Leavenworth, KaS. would
not admit that he was the country rep
resentative of the Missouri Pacific His
firm, he said, did entirely a domestic
business, and never changed the desti-
nation of grain. They had never re-
ceived money rebates or other conces-
sions from the railroad, directly or indi-
rectIy.
Fred Hoose, local representative of
Richardson e. Co, of Chicago, was the
next witness. Mr.. Trickett had testi-
fled that this firm was the representa-
tive of the Santa F'e railway, and Mr..
HooSe was asked if this were a fact
Witness declared he did not know or
have any intimation of any arrange
ment by which his firm received any
special aid or concession from that
railway He admitted that of the two
million bushels of grain handled by his
firm in Kansas City during the past
year, the Santa Fe received all but $780,
900 bushels. But this was simply be-
cause the Santa F'e ran through better
grain country. He knew of no records
of business transacted between Robin
son & Co and the Santa Fe railway.
At 1890 p. m. the commission took
recess till o'clock