The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1902-03-28
QUARTER OF A
BILLION STOCK
Amount That Has Been Issued
by the Hill Merger
WANT POWER TO TESTIFY
ATTORNEYS ANXIOUS TO ASK
HIM a FEW QUESTIONS.


Anew YORK, March 27-John S.
N Kennedy, banker. was recalled to-
day for eross-examination in the
hearing of the suit of Peter Power
against the Northern Pacific Railroad
company He said he bought a block
Of Northern Pacific stock, about $1,000
600 worth. in 1896. There was no
. agreement on his part with anyone as
( to how he was 10 vote or sell his
Northern Pacific stock Mr. Kennedy
held about $4,000, 600 of Great Northern
stock, which was voted by James J.
Hill on a proxy. The formation of the
} Northern Pacific was not dependent
upon the requirement of either Great
Northern or Northern Pacific. Mr.. Ken
nedy said that he had never heard of
I any agreement in the Northern Sc
/ cUrities company that any set Of men
( were TO control the company.
{ He also said that in the sale OF
I Northern Pacific stock 10 the Northern
/ Securities company each stocknClder
acted for himself The witness never
heard that there was any question or
( discussion TO the effect that the North
/ ern Securities company was organized
/ to acquire majority of stock of both
/ roads. to maintain rates and control
/ competition. The retirement of the
/ preferred Northern Pacific stock had
4 not been part of a plan to enable any
one to control the Northern Pacific
company. so far as ne knew.
/ w. P Clough. vice president of the
/ Northern Securities company. was then
/ called Mr.. BOutelle of counsel for
/ Power questioned him
You have testiged that large
amount of Great Northern stock was
never transferred TO the Northern Sc
curities company. viii you explain
this?"
The purchase Of about 500 shares
was completed, but negotiations for
about 100000 shares were not com
pleted."
Declines to Answer.
Mr.. Clough declined to ssy whether
1 the Northern Securities company had
! received dividends on the Great North
I ern stock held by it. He said that
/ Charles Steele of J. P. Morgan & Co,
/ George F. Baker, jr., and A. b. Hep
/ burn held proxies for the Northern Pa
! cific stock in the possession Of the
! Northern Securities company
As 10 the proxies for the Great
I Northern stoU,-, said Mr.. Ciougn, niy
I memory is not so good, but I think 1t
/ is held by J. J. Hill and by Edward
/ Sawyer in Mr.. HIS absence Wit
! ness said. $3.50. O00. 600 worth OF Northern
I Securities stock had been issued.
/ This concluded the examination of
1 Colonel CIOugh. Mr. Kellogg Of COun-
/ sci for the Northern Securities COM
pany asked for an adjournment until
/ Saturday. At that session. ne said, he
I wished to examine Mr.. Perkins Of the
/ firm of J. P Morgan & Co. He also
{ notified Mr.. Boutelle that there were
! certain slight corrections to be made
in the testimony of Mr.. Morgan, and
/ it was agreed that these would be made
in writing and entered upon the rec
ord.
Mr.. Kellogg also asked that Peter
/ Power. the plaintiff in this suit. be
/ produced at the next session Reply
was made that Mr.. Power would be
! produced as soon as the direct testi-
mony' was in. It was then agreed that
the adjournment taken today should be
[ subject TO the call Of the examiner and
it was said that it probably will be
/ three weeks before the next session
viii be held. E. H. Hartman is to
be the next witness.
St. Paul. March 27.-Summons were
received by a number Of St. Paul rail-
road officials today. directing them to
appear in Chicago next Monday before
Z the interstate commerce commissioners
20 answer questions relative to the
transportation Of grain and grain
products. The lines interested were
/ those operating between Kansas City,
Missouri river points and Chicago,
which includes the Burlington. Mil
| waukee. Great Western. Northwestern
and number of other systems.
st. Paul. Mimi. March 27-The suit
of the state of Minnesota in the state
courts against the Northern Securities
company and Great Northern and
Northern Pacific railways win not be
filed until after the suit of the state
OF Washington is filed with the United
States supreme court on April J. At
torney General Douglass and his as
Sociates have completed the papers in
the case and hold them for fling. At
torney General StrattOn of Washington
state was in consultation today with
Attorney General Douglass and Spe-
cial Counsel wilson
Des Moires. March 27.-Governor
Cummins has vetoed the so-calIed mer-
ger bill. Governor Cummins bases his
veto wholly on the unconstitutiOnality
Of the measure. in that il discriminates
in favor C railway corporations as
against o. " corporations. and also
grants a prl -ilege to lines operating
partly outside the state that is denied
those wholly within the state. He
says the measure is plainly intended 70
benefit the Burlington system.