The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-01-05

New York. Jan. 4.--Modern methods
OF combining and consolidating mann
moth railway systems and extending
the principle of community OF interest
were investigated here today at great
length by the interstate commerce COM
mission. which began an inquiry into
the so-called Hartman lines" The
commission goes next week to Chicago.
Several other cities may be visited be-
fore all the desired testimony is in the
hards OF the government representa-
tives, whose object Is to determine
whether any OF the railroads of the
country are consolidated or combined in
restraint OF trade
At today's hearing IT was brought out
and admitted that the Union Pacific
Railway company. the Southern Pacific
company. the Oregon Short Line and
the Oregon Railroad & Navigation COM
pany are practically under the same
administration. Mr.. Hartman appear
ing as president of each company. with
only slight variations in the lists of
other officers
Owns Steamship Lines.
II was furthONshoNn that he South
ern Pacific company owns the Pacific
Mail Steamship company. and that the
Southern Pacific and the Hartman in
terests control the Portland q Asiatic
Steamship company. 1t was said the
Occidental is in liquidation. but it stll
operates two steamers. On the Atlantic
ocean it was shown that the South
ern Pacific owns the line of steamers
running between New York and Naw
Orleans. formerly known as the Nor
gan lire.
The Union Pacific by means of an
agreement signed by Mr.. Hartman ard
Senator William A. Clark has a traf-
tic arrangement with the San Pedro
Los Angeles e Salt Lake railway last
ing nincty-ninc years. This agreement
was entered into In 1908. and by its
terms the San Pedro cannot raise or
lower its rates without the consent. OF
the Southern Pacific.
Rock Island Agreement
The Union Pacific exercises joint con
troll with the Rock Island over the Chi
caso & Alton railroad. The agreement
IS that the Union Pacific shall have
charge Of the road one year and the
Rock Island the next This agreement.
entered into by Mr. Hartman and w.
y. Leeds. extends for a period of ten
years from 1904
The Union Pacific owns SOS. 123. 100
worth Of stock. or 29.59 per cent. OF tn
capitalization OF the Illinois Ceutral
railroad.
The Union Pacific also owns 1852, 800
worth Of stock OF the st. Joseph &
Grand Island railroad. which is 3737
per cent OF the whole.
The Oregon Short Line owns So $40
500 worth Of stock in the Baltimore &,
Ohio railroad, this being 1852 per cent
or the whole
or Chicago. Milwaukee & St Paul
stock, the Oregon Short Line owns So
Il ID
company also owns $2.572. 900. or 2.5S per
cent, OF the stock Of the Chicago &
Northwestern: SO 100000 Of the pre-
1erred stock Of the Atchison. Topeka &
Santa Fe being 4.2S per cent and S14.-
2S5.T45, or T.97 per cent. Ct the capital
stock Of the New York Central & Hud-
son River railroad.
Stocks Bought Recently.
or these holdings By the Hartman
companies the stocks % the Illinois
hBntral Baltimore e. Ohio. New York
Asentral. Chicago q Northwestern. Chi
49,. Milwaukee & ST. Paul. Atchison
Topeka 6, Santa Fe and St. Joseph &
Grand Island. aggregating in value
sl0S. 293, 745. have all been bought since
July 1. 1906.
Where did the money come from?'
asked members of the commission.
In reply it was stated that the Union
Pacific showed last July a surplus of
$4,000 600. The Oregon Short Line de
clared a dividend Of 80 per cent on its
stock held by the Union Pacific, and
also contributed out OF its general as
sets tO the purchase money.
After placing in evidence as to the
ownership OF the so-called Hartman
lines" counsel for the interstate COM
nerce commission then had Alexander
Milar, secretary OF the Hartman COM
pany read from the minutes OF many
Union Pacific executive committee
meetings, In which it was shown that
Mr.. Hartman reported various things
he had done. and the committee simply
voted 60 ratify and confirm his actions.
J. was also shown that AIR. Hartman
was given authority TO borrow money
Tor the Union Pacific company without
restriction.
There was read from the minutes a