The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-06-15
ALTON ROAD WILL
TRY A NEW TACK
Rock Island and Union Pacific
Let Go in Favor of the
Stockholders.
AGREEMENT is ADVOCATED
SOMETHING ABOUT THE HIS
TORY OF THE ALTON.

New York. June 1.-THE agreement. be-
tween the Hartman interests and the
Rock Island company entered into in 1904
for the control of the Chicago & Alton
railroad has been abrogated by mutual
consent, according to authoritative an
nouncement made today. In future ii
was stated, the Chicago & Alton stock
holders will manage the property. Under
the agreement which has just been abro-
gated the Rock Island company and the
Hartman interests alternately controlled
the Chicago q Alton. the Rock Island
company being in control one year and
the Hartman interests the next The
plan would have expired in 1914 The
termination of this plan is said to be
without prejudice to either party.
No Change in Policy.
The Chicago & Alton officials explained
that 1t was simply an instance of letting
STOCKHOLDERS manage their own affairs
1t Was felt that this policy would best
Snnserye the interests of the stockholders.
There is to be no change. according to the
Chicago & Alton officials, in the poll "
of the road which has been mana ged by
the Rock Island under joint control agree
ment since last September.
B. F. YOakum of the Rock Island and
San Francisco roads is the present chair
man of the Chicago q Alton executive
committee At the present time the Rock
tSldliu Has SlA representatives IN the BOARD
OF directors against five so-calied Har-
rlman directors The recent resignation
of j. B. Forgan from the Chicago & Al
Otn board reduced the Hartman repre-
sentatiOn to four 1t is understood that a
meeting of the stockholders will be held 10
elect board of directors under the new
plan, but no authoritative statement was
made on that point.
In financial circles ii is generally under
stood that the Rock Island interests holI
over 30 per cent of the Chicago & Alton
stock md that +. H Hartman and his
friends hold p per cent.
Harriman's testimony.
The financial management of the Chi
caSo u Alton road by the Hartman in
tereSts as told by T.. H. Hartman in his
testimony before the interstate commerce
commission some months ago aroused
much adverse criticism and discussion Is
to whether or not action should be taken
to restrain Mr. Hartman in the manage
menu and to protect the interests of the
smelier stockholders. The interstate COM
merce commission has as yet made no re-
port on this matter, but a severe criti-
clsm of the Hartman management has
been made by the commissions counsel
and by Attorney General Stead of Hin
ols in report to the governor of that
state In his report Mr.. Stead said that
the Indebtedness of the Alton system has
been increased to a total of $50. SAC. 21s
since it came into Mr. Harrman's hands.
Of this amount, only 81, 500. 600 according
to Mr. Harriman'S own testimony said
the attorney general. was incurred for
Improvements, betterments or extensions
of the road.
over $57.000000 of this indebtedness
said the attorney general, ''or more than
20 per cent of the entire indebtedness
created by this syndicate upon the prom
critics of these several companies was not
created in furtherance of any legitimate
purpose for which a railroad company is
or can be organized under the statutes of
the state of Illinois,