The Cairo bulletin., 1907-01-06
FACTS REGARDING DIVIDENDS
AND HOW THEY WERE WITH.
HELD ARE LAID BARE.
ROCKEFELLER IN A DEAL
That Is Still Shrouded in Mystery
Jchn D's Brother subpoenaed to
n Explain 'Agreemsrt"-Ac-
ton Always Ratified.

New York, Jan. 5.--The Interstate
Commerce Commission concluded the
preliminary portion ot It's inquiry into
the Union Pacific and Southern Paci-
tic railroads and the allied Hartman
lines In this city today and adjnrned
to meet again next Tuetday a. Chi
caco.
The testimony taken today tended
| further to show the great scope OF
the power conferred upon Pres dent
Hartman by the boards OF directors
of the various lines under union
| Pacific control
Withheld Dividend Announcement.
All the facts of record as to the
declaration of dividends last August
by the Union Pacific and Southerl
Pacific were brought out by the com
mission The dividends were declared
on august 18th but were not an.
bounced until two days later. Just
before the stock exchange opened for
business. II was at Harriman's sug
gestion that the dividends were dc.
clared. 1t was also at his suggestion
that the announcement was deferred
He explained that a n3mber of tho
directors of the companies were not
present and he thought II nothing but
fair thai they should be advised he,
fore the matter became public prop
erty.
The executive committees OF the
lIuion and Southern Pacifior were
given authority to announce the diyl
dends at such tine as they deemed
proper. Mr.. Hartman was am IS
chairman of both con\-'ltees, The
committees also were s-a,5 orized to
designate the funds from Avhi h tie
dividends should be paid Wha these
funds were could not be learned from
today's witnesses, but the commits
sion was prom sed complete state.
ment.
Mysterious Rockefeller Deal.
From the minutes OF the Oregon
Short Line executive commi tee II
was disclosed that in March 1904,
Mr. Hartman sold to William Rookie
feller 100000 shares of the OFeg)nu
Short Lines holdings Of Southern
pac fic common stock. A letter from
Rockefeller referring 10 their agree
ment" as TO the stock was next
placed in evidence
Mr. Rockefeller In 1904. askel sir
Hartman TO take back The stock ta"n
instead of waiting for the expiration
of the agreement In May. 190i Ths
minutes of the Short Line showed
that the stock was bought back from
Mr.. Rockefeller and il was further
shown that he was paid a commission
II s1S7.500. Today's Witnesses knew
nothing Of what the agreement be.
tween Mr.. Hartman aud Mr.. Ro-ke.
feler was.
4 subpoena was issued for MFR.
Rockefeller to appear at such time
as the commission shall designate.
Mr. Hartman. when he T. able TO 'es.
tify viii also be asked regarding this
agreement
Hartman Bought Steamers.
Alexander Nillar secretary OF the
Hartman lines. read entries in ihe
Oregon Short Line minutes dealing
with the details Of the mauag enca:
Of other Hartman companies. At one
meeting. Harriamn reported That he
had contracted for the purchase cf
two ocean steamers from the Alanri-
Transport company for s9.20O 600 lis
action was ratified and confirmel
The bylaws Of the Union Pacific
were amended in April 1905. % as
10 provide that the president should
have the care. supervision and control
n The companys business IN all IS
departments. subject 70 the control of
he executive committee. There was
4 further amendment to the effect that
he president and chairman of tho
executive committee might be the
,ame person.
How Dividends Were Declared
The connse' FOR the commi sion
urned the inquiry to the dividends
declared last August by the Uni-a
Pacific and Southern Pac-fc A.
meeting of the directors u tho Unier
Pacific on August IS 1906. 1t appear
d from the minutes. that Hartman
ubmitted a statement showing the
financial condition Of the company.
. was then decided to declare q semi
n-ual dividend Of s. per share on
he preferred stock and s. per share
m the common stock Of the company.