The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1904-10-13
SESSION ADJOURNs.
The Interstate Commerce Commission
Brings Out Important Facts.

We have paid the shippers of de-
ciduous fruits from California SIS a
car on shipments destined to Chicago
and $S5 car on shipments destined
to New York. We had to do it to meet
the competition of the Armour car
line.
When we went into the business two
years ago we found what the Armour
company was doing, and we were
forced to do the same or get no bust
ness--J. S. Leeds, manager of the
Santa Fe Fruit, Dispatch, in his testi-
mony before the interstate commerce
commission at Chicago.
Some of the inner workings of the
private car line companies We're laid
bare at the session of the interstate
commerce commission when ]. S.
Leeds, manager of the Santa Fe Fruit
Dispatch, frankly admitted that he
has been in the habit of paying re-
from California to Chicago and $35 a
car to New York.
The admission was not expected,
and the members of the commission
and the other railroad men in the
room were astounded at Mr.. Leeds
candor.
In the testimony that followed he
was equally frank. saying that his
company adopted the rebate system
merely to meet the competition of the
armour line. He went further and
said that he had to give the rebates
in order to get any business.
The testimony of Mr.. Leeds, under
oath, astounded the 200 private car line
representatives at the hearing, and the
commission itself was somewhat
aroused at the cool disclosure of infrac-
tons of the commerce law practiced by
the Atchison company, which is the
property of the Atchison, Topeka &
Santa Fe railroad, and practically the
only line owned by a railroad company.
The frankness of Mr.. Leeds was
counted for by the fact that a rule pre-
walls in the commission providing that
officials giving information regarding
Interstate commerce violations are inn
mune from punishment. Mr.. Leeds said
he himself had made the contracts for
rebates with the shippers and had re-
turned the rebates.
How do the shippers know they will
get a rebate. Are your agents author
lied to deal with them?" was asked.
mo, I dealt with them myself. | was
there and made contracts with the
How do you get the rebate back to
them? How does the shipper know he
is going to get the rebate?"
He probably couldn't ship unless he
did. We don't send the money in fruit
cars. 1t is sent by check. 1t was mere
ly a question of getting business and
meeting competition
He said the Santa Fe Refrigerator
line, although differed by the same
men as the Santa Fe Railroad company,
was not a common carrier and that he
proposed to continue to make induce
ments for patronage as long as condl-
tons were as they are.
F. J. Reichmann of the Street West
ern Stable Car line refused to tell the
commission what portion of tar1ft
rates were allowed shippers, and, al
though the commission ruled that the
question was proper, finally persisted
in his refusal upon the advice OF MS
was that it would expose the bust
ness methods of the company to its
keen competitors
With the exception of Witness Leeds !
the dozen or more on the stand were
extremely reluctant. Max Sulzberger
Of the Sulzberger & Co. Cold Blast |
transportation lines was examined, |
but could yield no information. Louis |
Swift Edward Morris and Albert Faye |
we're called, the latter two failing to
be present. Other witnesses called |
we're John H. McEwen of the Over |
and Refrigerator company, B. S. Gu |
Johnson of the Merchants" Dispatch, |
:. S. Cooper of the New York dis |
patch, H. Ct. Northrop of the Ameri- |
can Refrigerator line, which is op- |
Grated on the Gould system; S. B. |
Shane of the Chicago and Erie, A. |
Patriarch of the Pere Marquette, c. |
2. Zilke Of the Pabst Brewing COM |
oany lines and J. A. Donavan of the |
River Dispatch.
At Wednesdays session of the commits |
zion z. G. Davies of Chicago, a commits |
lion merchant, testified that because he I
would not pay alleged exorbitant icing |
ates the Armour Car company placed an /
upon his business. He testified |
hat an agent of the company called him
rom his office and told him he might
Is well go out of business. He said they
threatened that no freight consigned to
lin by shippers would be received unless
III charges were paid in advance by the
hippeTs The threat was carried out Da-
lies testified. and during last summer he
aid he received shipments from the |
ntire vegetable belt south of Cairo, III.
Davies further testified that since the
Armour refrigerator line had secured an
Exclusive contract with the Pere Mar
Iuette Railroad company, compelling the |
growers and shippers of the Michigan
Armour prices, rates have increased 16 2-3
,er cent.
1.-The shippers can either pay the I'M
easonable prices demanded by Armour
aid Davies, "or let their fruit rot
Mr. Davies presented as evidence letters
rom patrons informing him that Armour
Z Co had refused to accept shipments for
lin unless all charges were prepaid. He
.lso furnished a mass of testimony relat-
ng to the contract in refrigeration
harges between points of the same dis
ance-
The alleged extortionate charges and
.rbitrary practices of the Armour Car
were again the subject of exam
nation by the commerce commission at
is closing session Wednesday afternoon.
The committee finally adjourned, pending
. special call, with the investigation sus-
'ended.