Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-02-08
J, Ross Clark Tells How Half.
Interest in Salt Lake Road
Was WreSted From Original
Projectors,
LONG MARROW CANYON
KEY TO THE SITUATION
By Threats of Building Parallel
Line Southern Pacific Mag
nate Protected Self Against
Competition in California.
[Ry MornInE journal speeIaI Leased VIC

Competition in California,
IBy Morning journal Special Leased Wire.
Los Angeles, CAL Feb. THE first
day of the Interstate commerce COM
mission in Los Angeles on the subject
Of the Hartman merger was con-
sumed in the direct examination of a
single witness. j. Ross Clark. a
brother of United States Senator w.
A, Clark. director and second vice
president of the San Pedro, Los An
geles and salt Lake railway. Mr..
Clark's examination by Attorney c. A.
Severance for the commission was
complete. The line of questioning
covered every range of the subject
as IT APPLIED to the relations Of the
Clark road and the Hartman system
ana great mass of new facts We're
elected. Mr., Clark proved a willing
witness and gave evidence freely
enough, although he was hampered
occasionally in his explanations by
lack Of knowledge of the details Of
the business. He. however, readily
referred his inquiSitor To the mana
gers of the various departments of his
company for the desired information
The most important fact brought out
was that showing the reason and ten-
denCN from the viewpoint OF the
Clarl(s for the disposal of one-ha!f of
the road to the Hartman people 1t
was shown that when the building of
the Clark road was commenced from
salt Lake City and Los Angeles. that
the Oregon Short Line, Hartman
AN.
their progress and finally getting pos
session of the only available pass
through the Utah mountains. in the
shortest direction to Los Angeles
compelled the Clark road to come to
their terms. sell 10 them 0ne-ha!f of
their property ana make an iron-clad
agreement To maintain the same
freight rates as the Hartman roads
for period of ninety-nine years. AS
4 fina! act of coercion of the Clarks,
the Hartman interests began a survey
of road between Salt Lake CITY and
Los Angeles, and implied, at least so
Mr., Clark testified. the threat of build
ing q parallel line
Senator w. a. CLARK K c. Kearns
of st. Louis former Senator Thomas
kearns Of Salt Lake CITY and their
associates, originally planned to con
struct and operate an Independent line
Of their own between Salt Lake City
and Los Angeles, but in attempting to
locate their line through the Meadow
valley, a long canyon in Nevada, they
were effectively opposed by the Ore
gon Short Line.
The Utah. Nevada and California
Railroad company. subsidiary COM
pany of the Oregon Short Line. insti-
tuted suit to maintain control of the
canyon. This canyon was about 100
miles long and so narrow that the sur
veys of the two roads crossed each
other twenty-sx times in passing
through IT, The canyon. it appeared,
from the testimony of Mr. Clark. was
the KEY to the situation He admitted
that the reason he entered into traf-
6c agreement with the Hartman in
terests to maintain rates into southern
California territory was because he
could not get through the Meadow
valley without It.
Then you were compelled to con-
tract to keep the Oregon Short Line
from parallellng your line to Los AM
geles?" asked Mr., Severance.
"Thelr actions Indicated that" re-
piled Mr.. Clark The questioning OF
Mr.. Clark upon the subject of the ac-
quisition of. the Hartman holdings In
the Clark road. of the division Of the
plete agreement as to traffic rates,
routes ratings and preferentials. was
long and searching. Attorney Sever
ance went deeply into the details of
the negotiations and at times Mr.
Clarks memory did not serve him
well
The agreement entered into was the
ninety-nine year contract made by
Hartman and senator Clark i'm New
York City. the details OF which have
been disclosed in previous hearings OF
the Interstate commerce commission.
Mr.. Clark testified that Mr.. Harri-
man secured a holding of a one-half
interest in the Clark road. and the di-
rectorate was equally divided between
the two interests II was shown that
the salt Lake road did not after en-
terlng into this agreement with Mr.
Hartman bui,d eOmplete line be-
tween Los Angeles and Salt Lake, but
contracted to use certain trackage OF
the Santa Fe between Riverside and
Daggett California and of the South
ern Pacific between Riverside and Col
ton. which thCy are doing today 1t
was shown by the agreement that Mr..
Hartman obligated himself to secure
the latter concession from the South
ern Pacific in favor of the salt Lake
road.
II was also shown that the Clark
road and the oregon Short Line had
contracted not to Invade
each Others territory north and south
OF Salt Lake. respectively
"By this your people and the Ore
g0n short Line virtually erected a
fence AT Salt Lake. you MOI to get on
their side on they on YOUR side2"
asked Mr.. Severance
"That may have been the effect"
The preferential freight agreement
between the Union Pacific and the
Clark road. by the terms of which
neither could divert any business to
other lines IN each others territory.
was dwelt ugon. The Southern pa-
clhc was nawed as the sole exception
in this part OF the contract,