The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1906-02-09
Government May Take Pro-
ceedings In the Case of
the Absortlon Of the B. &
0. and Other Systems
INDEPENDENTS ARE ACTIVE
BULLITT GAVE THE DATA
WHICH RAISED THE RUMPUS-
TOWNSEND URGES IMMEDIATE
ACTION.

WASHINGTON, Feb. 8, 1906.-Pro-
ceedings against the Pennsylvania Rail-
roads merger and control of the Balti-
more and Ohio, the Chesapeake and Ohio
and the Norfolk and Western Railroads
may be instituted by the Attorney Cen
| eral before Congress will have an OPP
portunity 10 act upon the pending resolu-
ton directing that the alleged conbna-
tion of these roads be investigated by
the Interstate Commerce Commission.
Representative Townsend. Of Michi-
gan, the principal author Of the House
railioad rate regulation bill, intends to
take the matter up with the Attorney
General as soon as that gentleman re-
turns from Chicago.
He believes that sufficient evidence
has been found to warrant action
against the railroads for and Illegal
combination in restraint of trade in yio-
lation of the antitrust law of 1890.
Whether or not the Attorney General
takes the same view of the matter as
does Mr.. Townsend, it is now certain
| that a thorough investigation of the re
lations existing between the Pennsylya-
! MIA and the, other roads is to be made
| together with an inquiry into the means
by which the Pennsylvania and its con-
| nections maintain an illegal monopoly Of
| the coal mining and coal carrying busi-
ness
The resolution Of inquiry offered by
Mr.. Gillespie. of Texas, and passed by
| the House. the unsatisfactory report
made by the Interstate Commerce Com
mission, followed by Mr.. Gillespie's res
olution of investigation, together with
the speech in the House by Mr.. Gaines,
of West Virginia, have aroused the Re
| publicans to the Importance of the mat
ter.
Some of the strongest and most inde-
pendent among them are now enlisted in
the effort to force compliance with exist
| ing law by the Pennsylvania and its all
lies
| That the spirit of the antitrust law
has been violated persistently, and that
/ the Pennsylvania does exercise control
of competing lines in utter defiance OF
that law, is. generally believed by mem
/ bers Of Congress, regardless of party.
| Few Of them have investigated the sub
!, ject for themselves, but those who have,
/ since Mr.. Gillespie first brought it to
! their attention, are foremost in demand
ing that such action be taken as will
lead to the dissolution of the merger and
/ the enforcement Of the law.
Representative Townsend is one of
! these In addition to a careful exami-
nation of the charges made by Gillespie
and Gaines, and of the information sub
( mitted by the Interstate Commerce Com
mission, Mr.. Townsend yesterday had a
conference with Logan M. Bullitt, of
! Philadelphia, secretary of the Red Coal
Company. of that city.
Mr.. Bullitt has figured in the discus
sion of determinations by the Baltimore
and Ohio Railroad in both Houses of
Congress, and is recognized as one Of the
eomplainants responsible for. the present
agitation.
Representative Townsend believes Bull
| lit has made out satisfactory prima
facie case, sufficient to warrant the insti-
tuition of proceedings against the rail-
roads by the Department of Justice.
He will SO advise the Attorney Gen
| eral and will ask that the matter be
| taken up by the Department of Justice
without loss of time.
Representative Grosvenor, who has be-
! come prominent in the movement against
the Pennsylvania by offering an amend
ment to the rate bill, providing that no
officers or employees Of railroads shall
be interested in coal mining or other
| forms of industry by which they become
shippers as welt as common carriers
withdrew that proposition yesterday.
with the announcement that he win ern-
body it in a bill and demand its consid-
Grafton later
The subject is too important to be
/ disposed Of at this time, said Mr.. Gros-
yenor, and it has also been suggested
that it might hamper the passage Of the
rate bill. I, therefore. withdraw it, in
tending to introduce il in the form Of a
4 bill and ask its consideration BY the com
,nittee on interstate commerce"