Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1906-05-22
Officials of Pennsylvania Com
pany Said to Have Got Money
From Oil Companies
BIG SUMS FOR PLACING ORDERS
Officials Said to Have Been Paid
Handsome Sum for Their Influence
in Giving Favored Steel Companies
Fat Contracts for Steel Rails and
Equipment.

Philadelphia, Pa, May 22.-Ugly
stories of graft in the purchase OF
locomotives steel rails, cars, and
equipment for the Pennsylvania rail-
road are in circulation, and legisla-
tive inquiry is now declared to be GER
tain.
Another sensation to be sprung by
the interstate commerce commission on
Wednesday is evidence that many of
the Pennsylvania officials got theirs
from the coal and oil companies in
cash. This money, it is said, was dis
tributed regularly, all of it going thru
one mans hands. The agent in this
proceeding is said to have been for
mer superintendent of transportation.
The money was given to him by the
coal or oil companies and he placed
it in blank envelopes these being given
to various officers of the operating
department.
Officials Get Big Sums?
The rumors of graft in the purchase
of supplies declare that officials of
the railroad have received big sums
lOI pldCIiIsS OIQSlS Will AsiS VI SSi
steel companies.
Back of the demand for a legislative
inquiry are the minority stockholders
who have been startled by the expos
ures of graft uncovered by the inter-
state commerce commission.
The admissions of prominent officials
of the company that they had accepted
as gifts large blocks of stock of GER
tain coal con- anies came as Il distinct
shock to the stockholders, and now
they want a more searching inquiry
by the legislature.
Owing to the restrictions placed upon
the investigation of the interstate COM
merce commission by the resolution
passed by congress, many avenues
which would prove or disprove the al
legation of general graft can not be
entered Only that portion Of the man
agement dealing with the coal or oil
traffic can be touched upon.
Therefore the minority stockholders
desire to know just what safeguards
against graft are taken In other depart
ments. They have already secured
council and their next step is only
matter Of short time.
1t is argued that the desired result
can only be obtained by the appoint
ment of committee by the legislature
to undertake the task, such committee
to be organized ON the same plan as the
Armstrong committee, which unearthed
the insurance scandals in New York.
These stockholders are not actuated so
much by desire to expose the scandals
as they are by a purpose of securing an
economical as well as progressive sys-
TEN of administration. The caution with
which many financial interests have re-
ceived the announcement of the recent
$50 900, 900 loan by the railroad has done
much to push this desire for an in
quiry. .
Gives Carnegie the Lie.
In an interview yesterday which
touched upon the investigation the
railroad itself will carry on, Vice Pres
ident John Green gave the lie direct to
Andrew Carnegie, who last week de-
MED receiving rebates from the Penn
sylvania railroad. Mr.. Green supports
ed the assertion of President Cassatt
in recent magazine article, in which
the Pennsylvania president said that
Andrew Carnegie's steel companies re-
ceived more rebates than any other
shipper on the road. He further con-
tradicted Mr.. Carnegie, who denied
that he ever had any personal inter-
view with President Cassatt.
There is just this about it," said Mr..
Green, "our records show that the steel
companies governed by Andrew Carne-
gle received more rebates during the
the time they were given by the road
than any other shipper in any line of
business. I have not the slightest
doubt that Mr.. Carnegie held not one
but several conferences with President
Cassatt on the subject. / also know
that Mr.. Cassatt's refusal to grant re-
bates after the enactment of the Sher-
man law led to strained relations be-
tween US and Carnegie's companies.
"Why does Carnegie deny it all now?
~ &1,:,,