Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1907-07-15

Washington, July 13-A singing ar
raignment of Edward II. Hartman and
his community of interest and "har-
mony of management" policy. with an
indictment of the Union Pacific for
fragrant violations of the law" appear
in the long-eXpected report of the inter
state commerce commission made pub
lie Saturday afternoon. The Chicago
Rock Island & Pacific also is indicted.
and it will be difficult for that railroad,
along with the Union Pacific, to escape
severe punishment for what the COM
mission finds to have been utter disre-
gard for the law.
All Join In Report.
The report is unanimous, all the com
missioners Joining in signing it. In
the regular routine it will be transmit
ted to the department of justice, there
to be studied by officials of the govern
ment. So strong are the indictments
by the commission that court proceed
ings must be instituted. The charge is
made directly that the Union Pacific
acquisition of the Southern Pacific and
the San Pedro railroads was in viola
ton of the law, and it is expected that
the department of justice Will proceed
under the antitrust laws to compel the
first named to restore the competition
which the law contemplated by dispos.
ing of its control over parallel lines
which should be competing.
Rock Island Is Scored.
Equally reprehensible, but on some
what smaller scale, has been the poll
Cy of the Rock Island, which the com
mission finds to have eliminated tbs
competition of a parallel line by its
joint ownership of the Chicago & Alton
railroad.
The recommendations of the commits
sion are along the line set forth by tn,
president in his Decoration day speecI
at indianapolis. The ownership by
one railroad of stock in another. th,
report says, should not be permitted
and the commission urges that it b,
empowered to regulate the issuance o
securities of interstate railroads.
Would ViDdicatc Law.
Prosecution of the Union Pacific an
Rock Island is proposed as a vindica
ton of the law prohibiting railway
from controlling parallel and competing
lines.
The investigation was institute
Nov. 10, 1906, by the commission on it
own motion. Testimony was taken =
Chicago, New York, Portland, Seattl,
San Francisco, and Los Angeles, an
oral arguments and briefs were submi
ted at Washington.
Dominated i'm Three Years.
According to the reporJ, within thre
years after the reorganization of tn
Union Pacific Railroad company,
1897, Edward II. Hartman became tn
dominating spirit in that corporation
AS chairman of the executive cOmmi
tee he exercises powers that are we
nigh absolute. The directors have del
gated their power to manage and dire
all the business and affairs of the cor
pany to an executive committee of fly
members. who shall act ''in such ma
ner as such committee shall deem be
Tor the company interest Ill all cas-
in which specific directions shall n
have been given by the board" and
- turn the chairman of the executive
authorized to represent that body wh'
it is not in session.
borrowed Millions.
Accordingly, the report finds that
1902 Mr.. Hartman was authorized
borrow such sums of money as may
required for the uses of this compar
and to execute in the name and on
haf of this company note or not
for the amounts so borrowed. The
vestigation showed that in practica