The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-03-06
.MORGAN AND HILL
MADE sI1||.5||i.5|,000,000. II i
Northern Pacific Deal
Makes Alton" Look
Like Child's K Play.
STOCKHOLDERS WILL
SHOW UP GRAB GAME
spooner Blocked Senate Investi-
cation, But Roosevelt Will
Be Asked to Take Up
the Matter-North-
ern Pacific Was
Watered.

Especial to Ths Times Dispatch.l
PHILADELPHIA. PA. March 81
President Roosevelt IS to. be asked BY
Philadelphians to cause an investigation
of reorganization methods by which
James j. Hill and ]. Pierpont Morgan ex-
ercised their control over the Northern
Pacific Railroad for the enrichment of
themselves and their associates to the
amount of many millions. The COM
mittee of Philadelphia holders of North
ern Pacific shares, of which Charles
Fearon, of Charles Fearon & Co., bankers
and brokers, is chairman, has gathered
proofs bearing upon their allegations
that they and thousands of other stock
holders throughout the country have been
grievously wronged in the Hll-Morgan
reorganization.
Spooner Blocks Inquiry.
1t was sought to bring these facts be-
fore the United States Senate two weeks
ago, bu$ largely through the instrument
tally Of Senator Spooner, of Wisconsin,,
that effort was blocked.
Two other methods are still available
for the accomplishment of substantial
justice, These are appeal to the Presi-
for Federal investigation and action
| for which the Roosevelt policy has sup
| piled numerous precedents. and an in
vestigation by the Interstate Commerce
Commission. 1t is altogether probable
| that the first course will be the one
| that will! be followed.
| In the meantime the committee is
accommodating evidence for presentation
to the courts for legal proceedings,
Story Told of Deal.
| Bit by bit the story Of the gigantic
! operations of the reorganizers is being
told One of those affiliated with the
/ Philadelphia committee told to-day
some of the facts upon which the de-
/ mand for an investigation is based.
He sald "Alr Hill and his friends Were
not in ignorance of what transpirel
In connection with the Northern Pa
ciflc reorganization.
i "The people we'll remember the Hill
/ Great Northern plan of 1895 for the
absorption of tho Northern Pacific
under which there was to he reor-
gani2atcn of the latter
II chill speaks of foreclosure of the
old Northern Pacific Company, Ii,
knows that in the Hepburn resolution
it was charged that there was no valio
foreclosure sale; that the reorganiza-
tion was effected by fraudulent con.
Spiracy against the Old StOCkhOlderS
and that it has resulted In fraut
upon the government of the Unite.
States by wrongfully making it appea
that the ownership of the railroa,
telegraph line and land grant Is n,
longer vested In the corporation of con
4 gressional creation over which Con
gress is possessed Of direct and i'm
mediate legislative power
$15s,ooo,o 900 Profits.
at was also charged In that resolu
tion that the Northern Pacific estate was
taken over by the Wisconsin Compan!
under an agreement of July 13, 1896. ante
dating the alleged foreclosure sales ant
fixing S345, 100000 as the value OF tn,
J property. At the time the WISCONSIN
!, Company had hut $4,000 In its treasur!
and was without other assets or credit
], "The valuation of S345,000.O00 thu
/, placed upon the Northern Pacific estat
; was more than $l55,000,000 In excess o
. every dollar in Indebtedness, real o
alleged principal and interest, exisrnl
: at that time against the old company
II, as is claimed by Hill and Morgan
I | the old company was bankrupt at tn
! | time, then this sls5,000,00O represented
!. nothing but water. II, OH the other hand
d real value was represented in the $a45
: 600, 900, then the old stockholders wer
. deprived Of that vast equity of Sl55
$ 600, 900 In order that Hill and his friend
d might get so per cent, dividends an
$50 per sent, profit on their investments.