Omaha daily bee., 1907-03-15
ROOSEVELT CALLS BLUFF
Belief in Washington Furry on Wall
Street Deliberately Planned
WILL NOT CHANGE PRESIDENTS POLICY
Il. II. Hartman Admits Railroads
Have Made Political Mistakes
in Dealing with the
People.


CHICAGO March IA large part Of
Todays Tribune is devoted to a review Of
the railway situation, together with in
terviews with various railway presidents,
chief among them Mr. Hartman.
Under headlines, Roosevelt calls Wall
street bluff-President unmoved by stock
furry suspected Of being engineered to
alarm him-Real business not hurt-Some-
thing more than n SPECTATORS panic needed
to scare administration into new policy
1t prints the following from its special
Washington correspondent:
There Is a strong suspicion IN the minds
OF some people that the panicky conditions
I in the New York stock market today were
carefully engineered by certain persons for
the express purpose Of influencing the mind
of the president and of throwing a scare
into the administration.
1T seems remarkable, to say the least,
that e. H. Hartman should have been
here one week, that Yoakum, stickney and
Garrett, representing the Rock Island,
Great Western and seaboard Air Line,
should all have arrived in Washington and
given out alarming interviews within few
days, while on Monday evening ]. Pier
pont Morgan himself made a hurried trip
to Washington. saw the president. arranged
/ for big railroad conference, and left for
Europe.
Some people seem to see a coincidence in
! the fact that Mr.. Morgan was hardly out
! Of sight of land before panicky conditions
! developed in the stock market. Money had
not been high previously and except for
the fact that the Pennsylvania, North
western and other roads have been In the
market for subscriptions which culminate
on Friday, there has been no anticipated
! reason for the extraordinary slump all
along the line.
ut is not believed that Mr.. Morgan
would be a party to a premeditated panic
In Wall street. He has too much to lose
Nevertheless, It is considered strange that
Immediately after his visit to the White
House, when he predicted all sorts of
gloomy things to the president, he should
go to sea so as to prove an alibi, and
\ thereupon mild panic breaks over Wall
street and sweeps all prices down before It.
Roosevelt Not Frightened.
''f the Wall street manipulators have
any idea they can frighten the president
by purely stock panic they have missed
their guess most woefully. The general
railroad and corporation policy of the ad-
ministration, 1t can be asserted on good
authority, is not in any way dependent on
stock market prices. II is more than likely
that the president, in common with a good
many other men, has no special 'objection
to seeing the water squeezed out of some
of the so-called railroad securities
''The administration is engaged In no cru
SADIE against the railroads, nor against the
corporations. Mr.. MorEan's visit TO the
White House will not, 1t is believed ma
terially alter the policy of President Roose-
welt That policy can best be discovered by
an examination Of his public messages and
speeches. He believes the railroads are en-
titled to square deal and he will not be
a party to any crusade against them At
the same time he believes the people are
entitled to fair rates without discrimina-
tions as between a small shipper and a
large one.
1.-THE presidents policy, as far as II can
be outlined, does not involve any new leg
islation hostile to the railroads, except SO
far as 1t seeks to determine a fair basis
, of capitalization. so that the Interstate
Commerce commission may be enabled tc
fix a fair tariff rate without regard to
: watered stock, or shadowy bonds, or the
gayly printed chromos which have been is
sued in such profusion by wizards Of Wal
: street"
Hartman Admits Roads TO Blame.
Among other things out of the mouth
of Mr. Hartman as given to the Tribune'l
. representative in New York is this: "ThC
agitation for these lower fares is a result
of mistaken policy on the part of railroad
arrangements in the past Mr. Hartman
continued I'VE have been so busy con
structing and reconstructing lines with {
view of improved service and better re
turns to shareholders that we neglected
the important matter of the relation be
tween the railroads and the public as re
lating to sentiment and legislation Tht
railroads left TO lawyers and subordinate
their dealing with legislatures. They ant
the people were not taken into full and fire.
, confidence-a policy which must be changed
. The relations between the roads and tn,
! people, in their general welfare are no
understood. I am insisting that there b.
( cooperation for the mutual good.
II would like 10 go out among the peopl
5 and explain the necessity for cooperation
y between the railroads, the people, and tn
I government but am a little too old to be
{ gin campaign OF that kind"
Mr.. Hartman was asked what he coul,
say to a proposal by legislatures to reduc
! the rates Of fare on the Union Pacific q
, view OF the fact that the road is paying ]
! per cent dividends. He replied;
'"rhe Union Pacihc's position is dlferen
from many of the other roads, II havin
been fortunate in making improvements a
a lower cost than they now can be made
, We jumped in in 1888 and improved IN
property when materials. the cost Of tn
use OF money. and hire Of labor was 5 pc
r cent less than now It would cost s5O.O
900 more to make these changes now than
I did when they were made.
RePrisaIs for TwO-Cent Fare.
. "It may be assumed that reasonable rate
/, would not invite hostility. Don't misunder
stand me. I do not wish the railroads to b
removed from under state authority. Their
!, is no desire 70 abolish state boundarle,
: What We do want is authority to legal
: handle trafhc In q way to effect the mos
= economy In the cost OF transportation. Thi
= being the position OF the railroads, the mex
question is what will the president do?''
Would you. IN the event OF 2-cent fare
becoming general, favor a raise IN freigh
rates or a reduction in dividends?" Nj
h Hartman was asked.
Probably the first result would be a r,
duction in passenger service" he replieC
This branch OF the business is not yer
profitable, put the railroads must carr
o passengers In order TO have people alon
L their lines to develop business, One trail