Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1902-03-27
MORGAN GIVES
TESTIMONY
Il Case Of Peter Power Against
N, P, Railway
answers MADE. RAPIDLY
..oome Fncetious at Times
Asked to be protected fro"
camera Fiends'

49,, york. March 2G,-J. Pierpont
Sorgon gave evidence today pc
, ag' Special Examiner MaybeS IN
,y,' emf, Of Peter Power against the
,,.norr Pacific Railway company ne
, ,o questioned for two hours ana a
N " by George Alfred Lamb Of counsel
,or power. and during that time he an
'.,sd questions rapidly and without
Nv. slightest appearance of reserve
on,v once or twice, when questions
,o, , asked concerning the relationship
oJ p Morgan & Co, with the lirm .
.n.,opers aid he decline to answer
'' Rctore the hearing was opened Mr.
v.rgen objected to the presence OF a
,',,nber Of photographers ana they
"nro directed to leave the room
WIN nnrlno the examination Mr. Morgan
.anod hack heavily IN his chair, MS
,,G hand thrust from time TO time
Iosnlv In his trousers pocket. lie toyel
INK an envelope now and then strik-
,nsit against his knee, now against the
AHA an which his arm rested. His eyes
eypressed Impotence, They loanel
ebont IN excited restleasness, while the
questions were being put to him' put
Inc moment he was ready to answer
NAV fixed themselves on MIR Lamb.
several times during the hearing the
enancler seemed amused. once Mr.
Iamb asked II the price Of Northern
paddc aid not go above It's real value
While his firm was buying 1t In May,
, lNl
no" said Mr. Morgan, so amused
lbat he had to stop to control himself
a before he answered, 1T did when they
u came 10 deliver the stock, but not when
\ thy actually bought
Al another point the witness was
4 sssed II Mr.. Hin had not told him that
4 there was danger that the Hartman
syndicate would by the Burlington
NO" replied he. but such a thing
was only to be expected. The papers
had much In them about railroad in
ierests buying roads. | believe that
within 80 days we bought every
railroad In the United States and Mr.
Morgan laughed
After his examination had been fin
t, lshed Mr. Morgan was conducted
4 through several Railways to Judge
n Wsllaces private chambers, whence he
a made his way out Of the building. All
4 this was necessary TO get away from a
h number Of photographers, who were
4 waiting in one Of the Railways to take
4 the fnancIers picture when he left the
examination hall
4 In giving his testimony, Mr.. Morgan
said Il was never contemplated that
ri the holders Of Northern Pacific pre-
N ferred could change that stock for
H common stock The retirement of the
II preferred stock as early as possible
4 vas part Of the reorganization plan OF
n 1884, The retirement, however, was not
practicable until after the common
socR. sold at par or above. The pre-
ierisd stockholders the witness
molghl would have changed their
wares Tor common stock II they had
hif The opportunity
4 ny Lamb next asked Morgan In re-
sfd TO q transaction in which $40, 0O0
wv par value OF Northern Pacific stock
WIS purchased for J. j. Hill and asso.
cNss IN 1886. The witness said he
conducted the negotiations for that
amount He did not know whether ali
.N purchasers OF that block of North
siu racine stock We're Great Northern
pNp,e Morgan said he did not re-
lion. Wv '""''o-
VI course 1t Is a great transaction,
aHu ! is only natural that YOU might
"VS DC able 70 remember" said Lamb.
,.h ulu nov look very large TO me-"
,,'u lhe witness, 1.-THE amount of cash
100000" wv ''V '''a'' aoout w.
4, u me Northern Pacific wanted any.
,nlbg today II would be financed by
your house would Il not ?" asked Lamb
es Undoubtedly"
n mas your firm loaned the Northern
Faclhc money!"
Yes
h.a Ua WE, account have these loans
mat ! won't answer. We were
commissioned to raise the money. Wo
T. Wherever we could, From whom
vas gotten ] viii not say"
Nr Morgan said the Northern pa.
o, had not been controlled by any
y,nef milroad since 1898. Since that
T Tn y value has steadily increased
, ne ~eat Northern, to certain ex-
". was a competitor of the Northern
nSy'lc' j. =. Morgan q Co.. received
NV nv, commission for financing the retnre-
@ Tt OF Northern Pacific preferred
yon'efnlng the Burlington purchase.
ms Witness said he had made IN his
T., a'Ia that the Northern Pacific ought
W nave an eastern terminal in Chlca-
~ lie talked the matter over with all
,tgIe persons interested and they agreed.
an sac lhere were three lines avail
sOle,the Wisconsin Central, the Rurling-
W" anl me ST. Paul. The FIRST, he said
ne would no. have.
A, wanted .he S. Paul" said Mr..
~, %O'sah and Hin wanted the Burling.
i "n' ana finally the Burlington was Sc.
Iu Inv II was the chief desire Of Mr.
bou n mat the Great Northern should
No. ~ terminal IN Chicago. / desired
M, NV same for the Northern Pacific
'"ere was nothing secret nj ali about