The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-03-01
Union PACIFIC
INQUIRY ENDED
Whether the Stomach Pump"
Will Be Applied Will Be De-
Cided in Washington.
QUESTION OF vERACITY
CONTRADICTION OF HARRIMAN's
TESTIMONY.

View York Feb. 2S.-The interstate
.r,roeree commission today concluded
49, New York hearing upon the investi-
--a,ion Of the operations and relations
H. Union Pacific system, and while
here will be oral argument heard at
washington in April, on a date to he
sacided later. the testimony has prob
ehlv all been taken. There has been no
secisiou vet as to an appeal to the
,.cTrrts 10 compel Edward II. Hartman
"a Otto Kahn TO answer the many i'm
,,rtont questions declined by them,
- tho 0uesti0n will be considered
.s,or the commission returns to Wash
;ngton I've will discuss the question
- washington" said Commissioner
Iane after adjournment today, land
.bsre decide if we are to ask that the
stomach pump be applied to these wit
nesses. e
The closing hours of the hearing
brougnt a statement from Controller
NfabI that financial statements were not
sent 10 Southern Pacific stockholders
Tor several months before the dividend
meeting In July last, this being in con-
tradiction to Mr.. Harriman's testi-
,nonv: suggestion from Commission
or Harlan that the 80 Der cent dividend
on Alton was illegal under the Illinois
constitution; a partial clearing away
of the aspersiOn in regard to the mort
gaging Of the Murrayville-Spring
cutoff before it was built, and
lengthy discussion of the propriety of
capitalizing the old expenditure for
bettements upon thu Alton.
Before the hearing began it was said
G. Rockefeller would not be called to
testify regarding the alleged sale to
him bv Mr.. Hartman of 300. 900 shares
of Union Pacific at the time of the So
called Keene raid in 1908.
Income Was Included.
Samuel FELTON,. president of the Chi
cag0 & Alton since 1899, was called to
show that about 81 900. 900 from income
as against proceeds from the sale of
securities was included in the state
ment that showed that so, 600. 900 had
been expended in improvements. The
So. 900 900 also included s., 1850, 600 eX-
pended since last June and paid for by
aar trust certificates. This reduced the
expenses from sale Of securities in the
Alton TO between S1S,0O0, 900 and $1,000
O0O
Charles W. Hillard. controller of the
Chicago & Alton. who was upon the
stand when the hearing adjourned last
evening, was then called. He explained
that the branch line or cutoff from a
point near MuTTayville to Springfield, |
which he yesterday testified had been
InOrtgaged before il was built. was one
the Alton had right to build. The
proceeding was not unusual. The ex-
pense and the method OF mortgaging
were legitimate.
The line OF inquiry was evidently
meant 10 correct the impression left
by cOunsels questions and Mr.. Hill
1srd's replies yesterday.
ATOMS Capitalization.
Then Mr. Kellogg asked a series of
questions, eiieiting a statement of the
Chicago d Atoms assets and liabilities
in 1895, before Mr.. Hartman entered
the property. and at the present time.
These figures were taken from an an
nual report showing that before 1898
its capitalization was. IN round num-
hers' tS3,e00,0OO. against $122, ST2, 1928 on
June last
The witness said the car trust certifi- |
Gates were not included in the capital |
lzatcn, so the total should really be
NA-S'N1VVV ana not SlZZ,OoU, UOu.
M kellogg examined the witness at |
length as 10 the books of the company,
and had him produce, identify and ex-
pam many of the accounts already /!
oVered by evidence The witness pro-
iuced a record showing the stock |
landing in the name of the syndicate |
managers
Debts Capitalized.
Mr.. Kellogg endeavored to show that /
ne Hartman management of the Chi /
ago d Alton had capitalized the debts 4
L the old Joliet & Chicago road prior
o 1858. but Mr.. HiIlard said his knowl- /
ose OF the roads affairs did not go /
'dcA that far. II was elected. how /
yer NAT there never had been a fore
losare CT the Chicago & Alton railroad /
z IaliWdy, while the old Joliet & Chi
ago had been foreclosed. The witness
as examined as to the s12. COG. 600 I
'hieh 1t is claimed that Hartman al 1
sd1y added to the capital OF the Alton,
eca1se that amount had been expend- !
on improvements OF had been lost |
= former shareholders.
III. Lovett of counsel for Hartman nh I