Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1902-01-25
INTERSTATE COMMERCE coMMls.
SION INVESTIGATING RAIL
ROAD COMBINE.
JAMES ]. HILL ON THE. STAND
Explains the Details Of the Big Deal by
Which the Northern Securities Com.
pany Secured Control Of the Great
Northern, Northern Pacific and Bur.
Iington-other Railroad Officials
Also Give Testimony.

chicago, JAM 25.-What is expected
10 be the most interesting session of
the interstate commerce commission
yet held began here during the day.
The appearance of j. j. Hill and e. H!
Hartman, who are supposed to know
all about the community of Interest"
plan of the railroads and who are ex-
pected to enlighten the commission on
various points concerning the plan,
brought crowd Of curious people,
chiefly traction men, into court. It is
the expressed purpose of the commits.
sion to discover whether the carrying
out of the Community Of interests"
plan has affected the rate situation in
any way contratry to law or if it is
likely, as claimed, to bring about sta
bility and non-discrimination in rates
for which the commission has long
contended.
Darius Miller, first vice president
and traffic manager of the Chicago,
Burlington and Quincy and former
traffic manager of the Great North
ern, was the first witness. In answer
to questions by Mr.. Day, attorney for
the commission, Mr.. Miller stated that
the Burlington was absolutely inde-
pendent in its operations" and in the
making of rates.
"Have you received instructions
from either Mr.. Hill or Mr.. Hartman
in regard to making rates?" Mr.. Day
asked.
"I have received none," the witness
answered.
]. G. Stubbs, traffic manager Of the
Southern Pacific and the Union Pa
cific, followed Mr.. Miller. Mr.. Stubbs
stated that e. H. Hartman was chair
man of the board of directors of both
roads, but that he was appealed to
only in extraordinary cases. Mr..
Stubbs said no such case had arisen
since his appointment and that he had
proceeded under his general instruc-
tions from Mr.. Hartman He said
rates generally had been fairly well
decentralization in Colorado and Utah.
He declared that the Southern Pacific
and Atchison, Topeka and Santa Fe
were competitors.
James j. Hill on the Stand.
]. j. Hill took the stand at 2:2O
O'Clock. Much time was consumed
with routine examinations to show his
relations With the Great Northern.
Northern Pacific and Burlington com
panies.
Mr.. Hill was questioned in regard
to the relation of the Northern Securi-
ties company, the Burlington, the
Northern Pacific and the Great
Northern to each other. He said that
the Northern Securities company
owned no stock in the Chicago, Bur
lington and Quincy Railway company
(the new company but owned about
half the stock Of the Chicago, Bur.
lington and Quincy Railroad com.
pany (the old corporation). He ex-
planned that the new company really
was union of the three lines which
formed the old company and operated
the latter by virtue of lease. The
half of the stock of the old company
not owned by the Northern Securities
company, witness said, was owned by
the Northern Pacific company. In the
new company, he said, the Great
Northern and Northern Pacific were
the chief stockholders, having issued
a joint bond to cover the purchase
price of the Chicago. Burlington and
Quincy Railroad company. These two
companies as stockholders, elect the
directors Of the Burlington.
There were approximately 10000
stockholders In the old Burlington" !"
said Mr.. Hill. "It was impossible to
buy the stock amounting sto about
1000, 900, In the open market and
another plan was adopted resulting IN
the sale of the property, like a piece
of real estate. The Northern Pacific
and Great Northern railroads issued
$216 ,000,0 900 joint bonds to pay for it"