Rock Island Argus., 1907-01-05
WERE ONCE
COMPETING
President of Rio Grande
Says of the Two
Pacifics.
BUT NOT AT PRESENT
Hartman Shown to Have AbsO-
lutte Sway in Vast
Deals.

commerce commission represented by
Chairman Knapp and Commissioners
Lane and Harlan continued today at
the federal building its inquiry into the
socalled Hartman lines" acting upon
its general order for the investigation
of railroads of the country to discover
whether or not there is a combina-
tion or agreements are existing which
are in restraint of trade, or violate the
acts relating to interstate commerce.
This Last Day.
Today is expected TO be the last day
of the commissions session in this city
at this time. The commission will
meet next Wednesday in Chicago
where it is expected to hear the testi-
mony of a number OF prominent offic-
ers of the Hartman companies which
it has developed yesterday, consist
chiefly of the Union Pacific, Southern
Pacific, Oregon Short line, and Oregon
Railroad & Navigation companies. For
the convenience of hearing these four
SCAA nave DSCn SIOuDGu
the term of the -four Pacihcs.'
Hartman Ill Two Weeks.
The commissioners are somewhat
disappointed over the inability of E.
H. Hartman to appear as witness at
this time, but his attorneys declare it
will be two weeks yet before he is fully
recQSnSz eHects of his re-
Gem f5peIsff ft5ll ~ Is
.1sazsssfe Gr.,nde fl<<E 1sesysaes.
2. T. Jeffery, presidepespf the ben,
vers& Rio Grande railnbad and affiliat-
ed lines. including the proposed West
ern Pacific railroad. WIS the first wit
ness before the commission today. He
said he was well acquainted with the
railroad situation in the west. He de
scribed the Rio Grande system and it's
connections. 1t exchanged business
with the Oregon Short line and Oregon
Railroad & Navigation company.
business Was Less.
When the Union Pacific took hold of
the Southern Pacific there was a
shrinkage in the amount of business
received by the Rio Grande from the
Oregon lines, due no doubt" added
Jeffery. ito the control of the Union |
Pacific had of the Southern Pacific"
Jeffery next described the u p, |
which he said has line under con-
struction from Salt Lake City to San
Francisco.
Found Difficulties.
Witness read from the recent annual
report he had submitted to the Rio
tab,
stated Pacific control of the Southern
Pacific lines had resulted in "unex-
pected difficulties" and unlocked for
in getting business
brought to the coast and therefore the
building of a competitive line from
Salt Lake to San Francisco had been
to protect the Rio Grande
interests.
Prior to the consolidation, were the
Union Pacific and Southern Pacific
competing lines?" was asked.
Competed i'm Places.
within certain territory, yes" re-
piled the witness. "At Chicago, for in
stance. the Union Pacific would com
pete for business to the coast as
against the Illinois Central which
sought business to be handled by way
Of New Orleans and by the Southern
Pacific. Not all business was COM
Detitive but here was competition at a
number of points,
Power IL Absolute.
New York, Jan. 5.-Before the first
session of the interstate commerce
inquiry into the Harri-
man system of railroads was adjourned
E. H. Hartman had been
revealed as an even greater power in
The railroad and financial world than
ne has been pictured.
1t was brought out that Mr.. Harri-
man had unlimited authority to borrow
any amount of money he chose and
pledge all the assets of the companies
he controlled as security. This author
Ity had been used to make enormous
purchases of stock in furtherance of
Mr.. Harriman's gigantic scheme for the
and consolidation of vast
railroad systems.
For this purpose it was shown Mr.
Hartman has had supreme control of
the assets of the Southern Pacific, the
Union Pacific. the Oregon Short line;