Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-02-27
TAKES SEAT IN AUDIENCE
Part Played by Kuhn, Loeb and Com
pany.
COMMISSION OF FIVE PER CENT
Representative Of the Firm SAYS They
Were Protecting the Interests
Of the Stockholders.

NEW YORK, February 27-Edward H
Hartman, who has been a witness before
the interstate commerce commission in its
examination into the financial operations OF
the railroads of which he is the head, took
the stand today. 1t was expected that
his examination would be brief and that he
would be succeeded in the witness chair by
Otto H. Kahn of Kuhn, Loeb & Co. 1t is
said that George ]. Gould will be witness
but counsel for the commission would not
say when they expect to call Mr.. Gould
Stuyvesant Fish has as yet made no state
ment in reply to Mr.. Harrimans attack
upon him, and 1t is considered possible that
IL he does make one he will make it on the
witness stand before the commission. One
of Mr.. Fish's friends said that the reason,
doubtless, that he did not make an imme-
date reply was that he desired first to see
a verbatim report of the testimony.
Mr.. Hartman in the course of his testi-
mony yesterday said that If the Union Pa
cific had gained control of the Northern Pa
cific at the time it attempted to do so,
Northern Pacific would now be ten years
ahead of where it is.
James ]. Hill laughed when his attention
was called to this statement, and said:
My, Mr.. Hartman has got control of
time, too, has he?"
Expended $22, 900, 200.
Mr.. Hartman took the witness chair a
little after 10 o'clock.
Mr.. Hartman, in answer to Mr.. kellogg,
testified that the Union Pacific had pur-
chased the st. Joseph and Grand Island
since last year. The price paid was ST.
or, 600, and the witness had owned the
property and sold it to the Union Pacific.
Objection was made to questions as. to
when he bought the stock of the st. Joseph
and Grand Island, and what he paid for
1t the witness declined to answer.
The commission ruled that he must All
swer, and there was the usual formal re-
fusal.
The witness said the St. Joseph and
Grand Island was not a parallel and COM
peting line.
Mr. Kellogg asked of whom the New
York Central stocks acquired by the Union
Pacific were bought. Mr.. Hartman said
they were bought in the open market.
Were you or any Of your associates in
terested in the sale at the time of the
logg.
Mr.. Milburn objected. and Mr.. Hartman
declined to answer.
Mr.. Kellogg asked the witness il 1t was
not fact that Of the So, 0O0, 900 stated to
have been spent on the Chicago and Alton,
$2,274 600 was made up of car trust GER
tificates and 100000 loan from Kuhn,
Loeb & Co., so that the expenditures on the
only about $1SOOO,OOO.
Mr.. Hartman said that possibly the fig
ures were correct. He simply knew that
$50, 100000 had been spent on the line.
The witness was then excused, and Otto
Kahn of Kuhn, Loeb & Co., took the stand.
Kuhn-Loeb's Interest.
Mr.. Severance took the examination OF
Mr.. Kahn and. asking few questions as
to the organization Of his firm. led him
back to the lays Of the reorganization Of
<he Union Pacific.
Mr.. Kahn said that both himself and
Jacob III. Schfff remained on the Union
Pacific board until year ago. He said
he desired to say that In going on the
board they did so because they felt 1t
duty to the public which held the securi-