The free lance. (Fredericksburg, Va.) 1885-1926, 1907-01-08
PROBING RAILROADS
Interstate Commission Investigating
Hartman Lines.
COMMUNITY OF INTEREST PLAN
The Union Pacific and Southern Pacific
Control Several other Roads, Be-
sides Ships On Atlantic and Pacific,
and over $1O3, 900 900 In Other Stock.


sides Ships On Atlantic and Pacific
and over s1O3, 900 900 In Other Stock
New York, Jan. 5.-Modern methods
OF combining and consolidating nam
moth railway systems and extending
the principle OF community OF interest
were delved into at great length by
the interstate commerce commission
which began in this city an inquiry
into the sO-called Hartman lines.
The object Is to determine whether
any of the railroads of the country
are consolidated or combined in re-
straint OF trade.
At the hearing II was brought out
and admitted that the Union Pacific
Railroad company, the Southern Pa
cillc company the Oregon Short line
and the Oregon Railroad 4 Navigation
company are practically under the
same administration, Mr.. Hartman
appearing as president Of each com.
pany. with only slight variations in
the lists Of other officers.
II was further shown that the South.
ern Pacific company owns the Pacific
Mail Steamship company; that the
Southern Pacific company and Harri.
man interests are I'm control of the
Portland and Asatic Steamship com.
pany All three OF these lines run
steamers between either San Fran
cisco or Portland and the Orient.
On the Atlantic ocean 1t was shown
that the Southern Pacific owns the
line Of steamers running between New
York and New Orleans. formerly
known as the Morgan line.
The Union Pacific, by means Of an
agreement signed by Mr.. Hartman
and Senator William A. Clark. has a
traffic arrangement with the San
Pedro Los Angeles & Salt Lake rail.
way extending over a period Of SO
years This agreement was entered
into in 1903. and by its terms the San
Pedro cannot raise or lower It's rates
without the consent of the Southern
Pacific company. which It was stated
does not own one dollar OF stock in
the San Pedro company.
The Union Pacific exercises joint
control with the Chicago. Rock Island
& Pacific railway over the Chicago &
Alton railroad. The agreement is that
the Union Pacific shall have charge
OF the road one year and the Rock
Island the next. This agreement. en-.
tered into by Mr.. Hartman and w. b.
Leeds. extends for a period Of 10
years from 1904
or the holdings by the Hartman
companies the stocks of the Illinois
Central. Baltimore & Ohio New York
Central. Chicago & Northwestern Chi
cago. Milwaukee & ST. Paul. Atchison,
Topeka & Santa F'e and St Joseph G.
Grand leland, aggregating in value
sl03. 2937l5. have all been bought
since July /. 1906.
Where did the money come FROM"
asked members of the commission.
In reply II was stated that the Union
Pacific showed last July a surplus OF
81 400, 600. The Oregon Short line de
clared a dividend of so per cent. on
its stock held by the Union Pacific
and also contributed out OF its general
assets to the purchase money.
After placing in evidence all that
was available as to the ownership OF
the so-called Hartman lines" coun.
sci for the Interstate commerce com
mission then had Alexander Miller.
secretary of the Hartman company
read from the minutes OF many execu.
tive committee meetings OF the Union
Pacific. in which it was shown that
Mr.. Hartman reported various things
he had done, and the committee sim
ply voted to ratify and confirm his
actions 1t was also shown that Mr.
Hartman had authority. by resolution,
to borrow money for the uses of the
Union Pacific company. without re
striction as TO amount or terms.