The Billings gazette. [volume] (Billings, Mont.) 1896-1919, 1907-01-22
Union Pacific Handles Large Per-
centa9e Of Portland Freight.
COMPETITION Until MERGED
Ways Of Hartman Discussed Before
Commission---Many Witnesses Present.

Seattle, Jan. 21.-The first hearing
on the Pacific coast into the Harriamn
merger was held at Seattle today by
Interstate Commerce Commissioner
Lane. After four witnesses had Been
heard the hearing was continued until
10 o'clock Thursday in the fedora.
court room at Portland, Ore.
The government has set out to stop
an apparent attempt upon the part of
E. H. Hartman to become the dictator
of one-fourth of the railroads OF the
United States. At the present Mr..
Hartman is the controlling spirit OF
one-eighth of the railroads of the
country. To show that Mr.. Hartman
has absorbed and merged parallel and
competing lines in violation Of the
Sherman law is the purpose Of the
present investigation.
Ben Campbell, fourth vice president
of the Great Northern and head of the
traffic department Of that road, who
was formerly connected with the trafs
fic department of the Hartman lines
as assistant to J. G. stubbs, was the
first witness examined. Mr.. Camp
ebll was at the head of the traffic de-
partment of the railway before the
merger with the Southern Pacific.
Mr. Severance sought to show by
Mr.. Campbell that previous to the
merger competition did exist between
the Southern Pacific on the o. r. & N,
Oregon Short Line and the Union Pa
cific, and that after the merger the
competition ceased. The affairs of the
o. r. & MS oriental steamship se"-
vice we're gone into and it was de.
veloped that these various lines, in.
cluding a service by contract with
Dowell & Co. and the 0. r. & N. S
own line, the Portland G. Asiatic, were
operated at loss.
3. T. Campbell, fourth vice presi
dent of the Great Northern, who fo1
years was general freight agent OF
the o. r.. & N. and otherwise con-
nected in a high traffic way with the
Hartman interests, was on the stand
all morning Attorney Severance fos
the government sought to prove thai
the ownership by Hartman of the
Sunset Route, consisting of steamers
from New York to Galveston or New
Orleans and the rail line Of the South
ern Pacific to San Francisco, consti
tuted a club whereby rates could be
controlled on eastern traffic which
might be routed to San Francisco
via Portland Mr.. Campbell stoutl7
insisted it was impossible from traf.
fic point of view to route freight from
the Atlantic seaboard to San Fran
cisco via Portland and the Hartman
steamers between Portland and Sar
Francisco, and compete with the
Southern rate.
Further, Campbell declared that the
Hartman line Of steamships Of the
Southern Pacific between Portland
and San Francisco was not club
Replying to question he said:
"In case the Union Pacific should
try to force from the Southern Pa
cific an unfair division on traffic b.
tween the east and the coast via Og
den, and the lines were not In one
system, the Southern Pacific woul5
worst the Union Pacific. That is. tbs
Tnicn Pacific would be more depend
er. upon tue Southern Pacific 1ine
from Ogden to San Francisco, and vict
versa. The Southern Pacific between
Ogden and San Francisco could make
traffic arrangements with the Rit
Grande system, reaching an easter
outlet via the Missouri Pacific and tht
Rock Island. which would greatly in
jure the Union Pacific.
'Why were these lines established? 2
asked r. s. Lcvett, who was then eS
aiming the witness In defense.
sSolely for the purpose OF AFFORD
ing an outlet at Portland in compet'
tlon with the Northern Pacific at Pu
get sound ports" said Mr.. Campbell
Mr.. Campbell also stated that tn
Portland route 60 the Atlantic sea
shore was an aYnpraeticabIe one. Whil