Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1903-04-02
salt Trust METHODS.
Nine Independent Concerns
Driven Out of Business by
the Railroads
DISCRIMINATION IN THE RATES
In Order to Hold the Trust Business
the Western Roads Were Compelled
to Give the independent Companies
the Worst End of the Deal-An In
just and Unlawful Proceeding.


Chicago, April 2.-Ths searchlight OF
the interstate commerce commission
was turned yesterday on the Interna-
tional Salt Company Of Illinois. and
the Michigan, Indiana & Illinois steam
boat line. Mark Morton, who is treas
urer of both companies, stated under
oath at session in the United States
court room that neither concern owned
the other, but admitted that the stock
holders Of the salt company controlled
the steamboat route.
Relations between western railroads
and the steamboat line controlled by
the owners of the salt trust" were also
revealed. BY various witnesses 1t was
shown that when the salt combine was
formed and had secured water car
rier no more salt was shipped 10y other
routes to Milwaukee. and the railroads
from Chicago to Missouri river points
We're forced to pay frora 80 to IS per
cent of the thru rate from Manistee and
Ludington to the steamboat line.
In other words, before the salt trust
was perfected sal, IVES hauled from
Manistee and Ludington to Milwaukee
for Z cents barrel, and cents to Chi
cago, but after the trust got it's steam
boats 1t secured about II cents per bar
rel for hauling to Chicago.
In the opinion of j. T. Marchand, at
torney for the interstate commerce
commission, and of the independent
producers of salt in and near Detroit
the excessive proportion of the thru
rate which is given by the western
railroads to the Michigan, Indiana s.
Illinois steamboat lire practically
amounts to rebate Of 10 cents q bar
rel on salt to the trust.
In order to retain the business of the
trust, as shown by the testimony of
various witnesses. all the railroads from
Chicago to the Missouri river, except
the Alton and st. Paul, refused to join
in making comparatively the same thru
rates OH salt from Detroit. The result
was that nine independent salt firms
at Detroit were driven out of business
and the three remaining firms located
there were unable to compete with the
trust for business west Of the Chicago
and Peoria gateways.
j. NJ. Mulkey. president of the De-
troit Salt Company, was the first Wit
less before the commission. He said
that prior to the formation of the trust
the Detroit producers warc able to COM
pete for business to Mississippi and
Missouri river points, but had not been
able to do so since 1871 because thru
rates from Detroit were cancelled by all
but two of the roads west of Chicago,
which at the same time increased from
8 to II cents the amount OF the thru
rate paid the steamboat line carrying
from Manistee and LuGington to Chi
cago.
f. A. Wann, general freight agent of
the Alton railroad, testified that OF the
thru rate OF SO cents from Manistee tt
the Mississippi river, 35.S per cent was
given the Alton road and 17.7 per cent
to the steamboat line.
A. Patriarche, traffic manager of the
Pere Marquette railroad and steamship
lines, testified that after the salt trust
was formed and got It's own boat, the
Pere Marquette company did not haul
any salt from Mantstee and Iludington
to Milwaukee; had hauled none since
1891. Prior to that time the rate from
Manistee and Ludington to Milwaukee
was cents a barrel, and s cents to
Chicago.
George H. Crosby, assistant traffic
manager of the Burlington, testified
that his company had refused to join
In making thru rates on salt from De-
troit to Mississippi and Missouri river
points because 1t didn't consider 1t to
It's advantage TO do So
HAS any jobber or dealer applied to
you, or Mr. Miller, or the Burlington
company, for thru rate on salt from
Detroit?" asked Attorney Marchand of
Mr. Crosby.
NO"
Then Attorney Marchand excused Mr..
Crosby and called John Blaul, a whole-
sale grocer and jobber III salt at Bur-
lington. Iowa, to the stand.
Have you applied to any railroad for
rates on salt from Detroit to Burling-
ton p he asked.
yes. / applied to Mr. Miller, of the
Burlington company" said Mr. Blaul.
He said he could not quote me a rate
then, but to let the matter rest until.
after the interstate commerce commits
sion had held meeting here to inves-
tigate salt rates.
This fiat contradiction of the testi.
mony of the assistant traffic manager of
the Burlington created a sensation
Mr.. Crosby, in reply TO a question
from Mr.. Dawes, said he understood
- 6 s<1,
her applied for rates; that he had been
asked for a rate by Mr.. Blaul.
j. r. Tracy, general manager OF the
steamboat line, contended that 1t did
rot demand excessive divisions OF thru
rates.
The. commission then closed the hear
ing here with the announcement that If
further testimony was deemed neces-
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