Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1907-11-13
Argu ents Resulting
From Refusal to An.
swer Questions.
BEFORE JUDGE H0UGH
Senator Spooner Appears as
One of the Attorneys Fer
the Railway Magnate.

New York, Nov. 13.-Arguments on
the interstate commerce commissions
motion TO compel Hartman to answer
certain questions put to him during the
commits sion's investigation of railroad
affairs we're made in the United States
court today. The government was rep
resented by Frank B. Kellogg, and
Judge E. S. Lovett appeared for Harri-
man.
StimsOn Opens for state.
Judge Hough said he would allow
each side three and a half hours TO
present the case. United States Dis
trict Attorney Stimson opened for the
commission. He said the commission
before starting the investigation dur
ing which Hartman was asked the
questions which he declined to answer,
had stated the object of the investiga-
ton, which was to inquire into various
combinations and consultations in al
legged violation of law by certain rail-
roads engaged in interstate commerce.
Quotes Taft's Speech.
Stimson concluded by submitting to
the court copy of the speech made
by Secretary of War Taft at Colum-
bus, Ohio, in which the matter of in
terstate commerce and regulation of
railroads was discussed. John g. Mil
burn opened the argument in behalf
of Hartman.
SpOOner aE Attorney.
hA
Hartman is John C. Spooner of Wis
consin.
COnstitutiOnality Not at Issue.
Stimson said the constitutionality of
the statute was not under considera-
ton. Hartman, he declared, was try
ing to cut congress off from even con-
sidering a statute which might affect
the financial operations of his lines.
ARrOnt to Congress.
"They are trying to cut congress off
from inquiring into the facts upon
which legislation may be based" con-
tinued Stimson. What the commits
sion is endeavoring to learn from the
questions addressed to Hartman"
said Stimson, 'is whether or not the
enormous stock investments made with
Union Pacific funds amounted to
waste of assets and impairment of ia
cilities of interstate common carriers,
and whether the matter of such invest
ments should be made subject to reg
ulation by congress-"
stand In Their Own Light.
Stimson asserted immoral and i'm
RI nj nSih n
for the position in which some rail-
roads now find themselves. He quot
ed from a statement by Robert Math-
er, president of the Rock Island rail-
road, in which it said railroad directors
who purchased stock from themselves
were largely responsible for the wave
of distrust which has swept the coun-
try, the inference being but natural
that where worldwide rules of honesty
and fidelity had been violated in one
company, the same conditions might
exist in every other corporation.
NIiIburn for Hartman.
John G. Milburn opened the argl-
ment in behalf of Hartman. He de-
clared he would not take issue with
President Mather or with the disti,-
guished secretary of war Milburn AS
serted the Union Pacific had the legal
right to purchase stock of other rail-
roads; had the legal right to buy Hi
nois Central stock from Hartman AMI
Hartman had the legal right to sell it.
The transaction was proposed by the
executive committee, adopted by the
board of directors and ratified by the
stockholders. The transaction was Sc:
forth in the minutes of the company
in a perfectly regular way.
Time Private Matter.
Hartman was asked when he
bought Illinois Central stock. If that
is not a matter of private business
what can be private business?" de
manded Milburn 1T was not unit
nine years after Hartman bought hi;
Illinois Central stock that he sold it tt
the Union Pacific at the market price
Interrupted by Judge.
Judge Hough interrupted Milburn tC
ask if he did not understand the inter
state commerce commission was en-
deavoring to elicit from Hartman tht
facts as to whether or not he individu
ally made large sums of money selling
stock to the corporation in which h
was director.
Broadly, that seems to be true,' re
piled the attorney, land the question
here arises as to whether or not Han