Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1906-11-21
70 PROBE HILL LINES
Interstate Commerce Commits
sion to Investigate Relations
of Three Roads
MAY EXPOSE ALLEGED ALLIANCE
Great Northern, Northern Pacific, and
the Burlington involved in the Com
bination-HiII Denies Rumor That
Lines Have Been Mersed-His State
ment.

ment.
Chicago, Nov. 21.-James j. Hill anu
the three great railways he dominates
are to be Investigated by the interstate
commerce commission. What are the
relations between the Great Northern
the Northern Pacific and the Burling-
ton systems? An effort is to be MADE
to find out.
The commission will seek to ascer-
tain what effect the control of all these
lines by one man has had and is hav-
ing upon rates in the northwest, ana
consequently upon the agricultural and
Industrial development of that section.
The result will be to bring out the
facts regarding what has taken place
in the northwestern railroad world
since the decision of the United States
supreme court in the Northern Securl-
ties case in 1904, and to show what
effects the decision has produced ana
to what extent its intent has been null
flied.
The announcement OF the commits
sion's intention to investigate the Hill
lines, coming SO closely upon the heels
Of it's plans for an inquiry into the
Hartman lines, seems to indicate a
purpose on the part of President
Roosevelt and the administration to eX-
pose and attack the various comoina-
tons of parallel railway lines which
have been effected within the last sew
eral years.
In the Hill, as in the Hartman in
vestigation, the commission will act
under the amendment to the interstate
commerce act passed in 1891, which
provides:
THAT the commission hereby created
shall have authority to inquire into the
management of the business OF all
common carriers subject to the pro-
visions Of this act and shall keep it,
self informed as to the manner and
method in which the same is conduct
ed, and shall have the right to obtain
from such common carriers informa-
ton necessary to enable the commission
to perform its duties and carry out the
object for which it was created
1t was aimed in the Northern Sc
curities proceeding to prevent the Bur-
lington, Northern Pacific, and Great
Northern railroads from being so COM
bined as to prevent effective compete
ton in the northwest.
Irac;dapt poncoua1t ho oop,.
mission fear that while the proceeding
was successful in the courts. the effects
of the decision have been practically
nullified.
James J. Hill owns a controlling in
terest in and is president of the Great
Northern. Before the Northern Sc
curities Company was formed he did
not control the Northern Pacific, and
it was the struggle between him and
e. H. Hartman for it that led to the
formation Of the Northern Securities
Co. as peace measure. Following
the dissolution Of this company Mr..
Hartman disposed of most Of his
Northern Pacific stock, with the result
that Mr.. Hill got complete control Of
this road.
1t is said he does not own a majority
of it's stock, but this does not keep him
from operating it exactly as he did.
The Great Northern and Northern Pa
cific together own the Burlington.
Thus the three lines, with total
mileage of 2O,S65, under Mr.. Hills
dominance, are perhaps even more
closely allied than thy were before
the Northern Securities decision. 1t
has been reported recently that it was
intended to merge them. Even as late
as Monday it was said the Burlington
was soon to lose it's identity, even Its
name. but President Harris fatty de-
MED this.
There has been complaint to the
commission from shippers that the
effect Of the present arrangement is
ia stifle competition in the north
west. =,
That Mr.. Hill and his associates Will
attempt to show that the relations be-
tween the roads have had no harmful
effects was shown by brief statement
made by Darius Miller, vice president
of the Burlington, in charge OF traitlc'
who is perhaps closer to Mr.. Hill than
any other railway official
"It was shown by the evidence IN the
Northern Securities case," said MT
Miller "that not more than l per cent
of business of the Northern Pacific and
Great Northern is competitive. The
situation has not changed much, con-
seouently their common control can
have little effect on rates. Rates are
made by conditions more than by traf-
afic men, anyway, and there has been
a steady decline in rates in the north
west. So far as their business is COM
petitive the Northern Pacific and Great
Northern compete for it as fiercely as
If they were under separate control.
CAS- for the Burlington, it is not
natural competitor, but a natural con-
nection of the other two lines. 1t turns
over to them the grain and other pro-
ducts of the middle west and they turn
over to it the lumber of the northwest,
The Burlington was acquired by the
Northern Pacific and Great Northern in
order that the profitable traffic rela-
lions already existing between them
might be made permanent. The traffic
relations are beneficial to themselves
and injurious to no one"
Tho Northern Securities proceeding