The Washington herald., 1906-12-07

Formal announcement was made by the
Interstate Commerce Commission yester-
day of its intention to probe the affairs
of the railroads known as the Hartman
lines.
After a prolonged conference with
Frank B. Kellogg and c. A. Severance, Of
St. Paul counsel engaged in the case, the
commission made public a statement as
follows:
The Interstate Commerce Commission
has to-day ordered an investigation Of
the relations between the Union Pacific
and Southern Pacific railway systems,
growing out Of their common manage
ment and control Frank B. Kellogg and
c. A. Severance, of St. Paul, have been
retained to take charge of the investi
cation, which will extenu from New York
10 San Francisco. A conference was held
this afternoon between the commission
and counsel, at which the general sub
ject was fully considered, but dates for
hearings and other details have not yet
been determined"
The announcement was further made
that the active work of investigation viii
begin the latter part Of this month.
Hearings in the matter will be held at
New York, Chicago. St. Louis, Kansas
City, Denver salt Lake City, Omaha,
and San Francisco.
VIII summon Roads Employees.
Every man connected with the Harri-
man roads supposed to have knowledge Of
the facts in the conduct and management
of the system will be summoned as wit
nesses before the commission. This
means that L. II. Hartman and other
prominent railroad men in the country
associated with him will be given full
opportunity to tell all they know about
this latest and greatest combination OF
railroad property in the United States.
1t is the opinion of Chairman Knapp
that the inquiry viii be completed about
March J. The evidence collected, if II
justiies such d step, viii be certified TO
the Department Of Justice with a view
10 prosecuting the Hartman system as
a combination IL restraint OF trade.
Mr.. Kellogg. one of the special counsel
retained by the commission, represented
the government in the case directed
against the paper trust. He has been
engaged in a like capacity in the Stand
ard Oil cases. Mr.. Severance. who will
be associated with Mr. kellogg in the in
quiry into the operations Of the Harri-
man lines, is a weu-known lawyer Of St.
Paul.
Knapp to Preside.
1t has not been decided just which
members of the commission viii sit at
the hearings, but it is likely that Chair
man Knapp will preside, and Commits
sioners Clements and Lane viii be as
sociated with him. Should Commissioner
CocEreWs health permit he may, also,
be one of those to pass judgment.
The commission will take the ground
that the Southern Pacific and Union Pa
cifc roads are parallel and competing.
1t is said that developments will show
that the entire traffic arrangements of
the merged roads are in control Of J. c.
Stubbs, traffic director. at $4,000 a year,
It may also be shown that Hartman in
terests control the Illinois Central. Chi
cago and Alton, and own a large block Of
this and other stocks.
William A Glasgow, jr., of Philadelphia,
may be engaged as attorney for the COM
mission. He managed the inquiry into
the relations Of the Pennsylvania and
the coal companies.
Trend of the Inquiry,
The determination Of the Interstate
Commerce Commission to go after the
Hartman lines was foreshadowed in The
Washington Herald several days ago. The
commission desires it to be made plain
that it has nothing to do with the enforce
ment of the act aimed at combinations in
restraint Of trade, namely, the Sherman
antitrust law. But out of the inquiry in
stituted yesterday proceedings against
the Hartman railroads for violations OF
the interstate commerce act, the Sherman
antitrust act. and the general conspiracy
statutes are expected to grow.
Under the authority with which it Is
clothed the commission may throw the
searchlight upon the operations of any or
all common carriers, and thus disclose
facts upon which criminal or civil pro-
ceedings against such carriers might lie.
As heretofore stated in The Herald, the
commission first revealed the facts upon
which were based the proceedings which
resulted in the dissolution of the North
ern Securities merger by order of the
United States Supreme Court
1t can be stated upon good authority
the President is deeply interested in the
step that has been taken by the commits
sion, and that everything possible will be
done by the administration to make the
work effective.
Rockefeller Called as Witness.