Las Vegas daily optic., 1907-04-04
ARGUMENTS ARE BEGUN De.
FORE INTERSTATE COM.
MERGE COMMISSION.
MAY GO TO COURTS
Question Involves Is Whether or
Not Union Pacific and Southern
Pacific Are Competing Lines.

Washington. ID. e. April i.-Argu,
ments In the famous Hartman case
which was heard by the interstate
commerce commission a few week )
ago. we're begun before the commits
sion today. The proceedings are not
In the nature of a hearing. but mere
ly an argument involving the ques-
ton Of whether the Union Pacific
and Southern Pacific railroads are
competing lines.
On the results OF the argument
may depend whether Hartman and
his assistants are to be prosecuted
As a combination I'm restraint Of
trade under the provisions Of the
Sherman antitrust law.
Il has not been determined yet
whether the commission will en-
deavor to force Hartman TO answer
questions which he refused TO an
swer at the hearing Of the commits
sion. 1t Is not likely that there will
be any decision of this point until
the commission has obtained,
through the arguments begun today
all the light that may be thrown on
the matter.
Counsel for Hartman declare that
the Union Pacific and the Southern
Pacific are In no sense competing
lines. being widely separated and oc.
cupying entirely different fields. They
declare that nothing can be found In
the relations of the two roads re.
sembling the Hill merger of Northern
Pacific and the Great Northern,
which was dissolved by the govern
ment as the result of a suit before
the United States supreme court.
II is not likely, however, that the
members of the commission will
share the opinion of Harriman's
learned attorneys. Much evidence.
has already been presented to show
that the roads In question, in their
conduct and management IL not in
geographical proximity. constitute an
illegal combination and as such open
to prosecution under the terms OF the
Sherman law.
1t is possible that before the pre-
sent hearing closes the counsel for
Hartman will be allowed to present
additional testimony, but this is op-
tional with the commission. Chair
man Knapp has stated that If Mr..
Hartman desires to go on the stand
again he will be allowed to do so.
Great Railroad Truss.
Evidence taken by the commission
at various cities throughout the coun'
try tends to show that the Union Pa
cific and the Oregon Short Line. ac-
tually one company. have been trans
formed into a great banking system
and are no longer mere railroads. the
effect of this banking system has
been, government attorneys allege, TO
practically eliminate competition be-
tween the Southern Pacific AMI the
Union Pacific. Further, through the
purchase by this banking system OF
Atchison, Topeka & Santa Fe stock,
competition by that road has been ef-
fectually wiped out; and similar
means have been used to stifle COM
petition by the important tributary
lines of the transcontinental roads.
The result is, if the contention of the
government is sustained, that the
SINNERS of California, although con-
nected with the east by three great
and supposedly independent railroad
systems. are actually at the mercy OF
Hartman.
The Union Pacific and the Oregon
Short Line combined extend across
the continent to Portland Ore, where
they connect with a steamship line
to the Orient AS banking system,
they control As per cent, of the stock
of the Southern Pacific, which ex-
tends from New Orleans to San Fran
cisco. Portland and Ogden, with
steamship line from San Francisco to
the oriental countries. The evidence
adiuced at the hearings tends to
show that prior to the Hartman re-