Los Angeles herald., 1907-01-06
HAIR RIMAN'
MERGER UNDER
THE LIMELIGHT
Commission ELECTS
Many Facts
Confirmation Of Magnate's Purchase Of
Los Angeles Electric Stock Is
Brought Out at lnves-
tigation
BY Associated press.

BY Associated Press
NEW YORK. Jan. 5.--The Times to-
morrow will suyi 1t became known last
night that the condition of u. IT. Hnrri-
man had changed for the worse In the
last day or two. His friends nre now
seriously alarmed about him.
The operation which MIR. Hartman
underwent about n week ngo and which
was expected to give him reiiet mas
proved to have been not altogether sue
cessfuI and his condition at this time IL
ms bad. IL not worse, than IL has been at
any time previously.
MIR, Hartman had been expected to
nppcsr before the interstate commerce
commission either Friday or saturday,
hut nj the opcning of the hearing coun-
sci for the Union Pacific railway de-
cInred TINT it's president would be un-
able TO testify.
Late reports confirm the impression
that MIR. Harriman's condition is really
more serious than has been generally
thought. MIR. Hartman is at his town
house, IL East SiXty-second street.
BY Associated Press.
NEW YORK, Jan. 5.-The interstate
commerce commission included the pre-
liminary portion of its inquiry into the
Union Pacific and Southern Pacific rail-
roads and all of the Hartman lines
here today, and adjourned to meet again
Tuesday morning at Chicago.
The testimony tended further to show
the great scope of the power conferred
on President f. Fl. Hartman by the
boards of directors of the various lines
under Union Pacific control.
All the facts of record as to the
the Union Pacific and Southern Pacific
were brought out The dividends were
declared on August 10, but were not an
nounced until two days later. 1t was at
Mr.. Harriman's suggestion that the an
nouncement was deferred. He eX-
planned that number of the directors
of the companies were not present, ana
he thought it nothing but fair that they
should be advised before the matter be-
came public property.
The executive committee of the Union
and Southern Pacifics were given au-
thority to announce the dividends at
such time as they deemed proper. Mr..
Hartman was and is chairman of both
committees. The committees also were
authorized to designate the funds from
which the dividends should be paid.
What these funds were could not he
learned today. but the commission was
promised a complete statement.
Rockefeller in Deal
1t was disclaimed that in March, 1903,
Mr. Hartman sold to William Rocke-
feller 300, coo shares of the Oregon Short
Lines holdings of the Southern Pacific
common stock.
A letter from Mr.. Rockefeller, refer
ring to their agreement" as to the
stock was next placed in evidence. Mr..
Rockefeller, in November, 1903, asked
Mr.. Hartman to take back the stock
at the time instead of waiting for the
expiration of the agreement in the
spring of 1904 The minutes of the
Short Line showed that the stock was
bought back from Mr.. Rockefeller, and
it was further shown that he was paid
a commission of S1S7,5OO. Today's wit
nesses knew nothing concerning the
agreement between MI Rockefeller ana
Mr. Hartman.
A subpoena was issued for Mr.. Rookie =
feller's appearance at such time as the
commission shall designate. Mr.. Harri-