The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1907-06-21

Brought Before Interstate Com
mcrce Commission-Charg Pre-
ferred Against Hamburg American
Packet Company and Certain Rail-
roads in the United States-Evcry
American Manufacturer. Producer
and Shipper Interested.
Washington, June 13-The interstate
commerce comimssicn today decided
to institute proceedings of inquiry and
investigation into the affairs of the
Hamburg-American Packet Company,
which is charged by Peter Wright and
sons, general agents at Philadelphia
of the Cosmopolitan Shipping Company
and the Cosmopolitan lines with pool
ing and maintaining monopolies in re-
straint of trade.
The inquiry is expected to be one of
the most stupendous ever undertaken
and of a character different from any
that ever before has engaged the at
tention of the commission.
The inquiry will have to deal with
an alleged combination between rail
roads in the United States and the
German shipping concern and there
fore interests every American producer
manufacturer or shipper aspiring to
introduce his goods to foreign con-
sumers
According to the complaint on which
action was taken by the commission
the Hamburg-American Packet Com
pany has built up complete monopo-
1y Of the east bound traffic originating
in Chicago, st. Louis, Kansas City,
Omaha Minneapolis, Duluth, Cleve-
land. and manufacturing centers of
the United States intended for inter-
ior points or places On the continent
of Europe. The complaint renews
what is claimed to be unfair methods
in sitting competition.
The Cosmopolitan Shipping Company
of Philadelphia, which figures as the
complainant, operates lines to Rotter-
dam, Leith and Copenhagen.
The charges allege an iron clad trust
transatlantic freight carrying exists
between the Hamburg-American Pack
ct Company, the Nodl German Lldyd,
Scandinavfan-America and the Wis
son (SuTD line and that mis- pool
proportions the volume of traffic each
of it's members shall carry, and from
what port or ports each line shall
make it's sailings, thus involving the
apportionment of traffic originating i'll
western cities both as to character and
amount between the cities of the North
Atlantic Seaboard.
In charging that the Hamburg Anne
rican Packet Company in it's almost
absolute control of eastbound and west
bound traffic between interior points
of the United States and Hamburg, is
monopoly in restraint of trade, the
complaining companies raises an in
ternational question.
The allegation is made that the for
eigh corporations is backed by the
German government, dictates terms,
routes and rates to shippers all over
the United States who forward goods
to Baltic ports, diverts freight to and
from American ports at its own will
without regard to the natural flow
of trade, and uses coercive AMI unlaw-
full methods to crush competition:
The statement filed by Peter Wright
and Sons say Cosmopolitan freight
services have no desire to suppress
legitimate competition and adds:
1--WE therefore do not seek to have
ameliorated any of the conditions
which fair competition may impose.
We do believe. however, that pooling.
combinations and intimidations, the
latter in certain instances approaching
blackmail, even under the semblance
of competition, are not legitimate
forms of competition. Pooling, COM
bination and intimidations in their
worst forms have been encountered
recently by the Cosmopolitan service
These are the unlawful conditions
masquerading under the guise of COM
petition which it is our purpose to
endeavor to place before your honor
able commission in concise and
chronological form"
In connection with the complaint
the Cosmopolitan line submitted copies
of the combines rebate form of con-
tracts and it is alleged that these