The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-09-11

Pritehard, developed sensational features
yesterday. The feeling between the op-
posing counsel has been intensified as the
hearing progressed. The counsel for the
State OF North Carolina sought to press
the inquiry into unusual paths and the
Southern Railway attorneys have charged
that the States case was being con-
Quoted for ulterior political purposes. and
not with a view Of enlightening the court
as TO the distinction between conhscatory
and reasonable rates
The climax came yesterday when ex-
Congressman Woodward, representing the
State. demanded that the Southern Rail
way turn its books over to certain ex-
perts employed by the State to determine
whether the railroad company had paid
money for lobbying. 70 subsidIze news
papers. and other improper purposes.
General Counsel Thorn, of the Southern.
objected to unfolding the business affairs
OF the railroad to crafty a LOT of poll
ticians. He explained that ne was quite
court and examined in the usual course
of the hearing. and the States experts
might even be present to observe.
Takes Matter Under Advisement.
The special master, Judge Montgomery.
presiding over the hearing took the mat
ter under advisement, -intimated that
he would hold that the production of the
books in court. as proposed by General
Counsel Thorn. would subserve all the
purposes Of the hearing While, the dis
cussion over the question thus raised
was in progress. Mr. Thorn announced
that he would strenuously resist a general
incursion into the company's affairs for
hostile and political purposes. which was
apparently sanctioned by the master, who
g indicated that he had seen no disposition
on the part Of the company to indulge IN
obstinate tactics.
Ex-Representative Woodward promptly
resented the charge that the States coun-
sci were acruated by any political hos
tility to the Southern Railway. He ad-
mitted that the road had been a great
factor in the development OF the South.
but the State of North Carolina had pro-
tected the property Of the railroad. The
State was seeking only 10 regulate the
affairs Of the railroad and to protect the
public.
we do not object to your regulation"
suggested Mr.. Thom, but we DO object
TO your conhseation."
''The people Of North Carolina have no
intention 70 cOnhscate the property Of any
corporation, or Of any individual" re-
torted Mr.. Woodward.
Hints at Expenditures.
Continuing. Mr.. Woodward hinted at
large expenditures by the Southern for
lobbying. and declared that James II
Pou, former Democratic State chairman
and law partner of United States Senator
Simmons. had been paid 5000 by the
Southern for work around the last legis-
lature
This brought Mr.. Thorn to his feet.
Lobbying is your charge" he shouted
at Mr.. Woodward. You have said that
Mr.. PoU was not a regularly retained
lawyer Of the Southern Railway. I chal-
lenge your statement"
Mr.. Woodward replied. brusquely. that
POu's name did not appear as the. defend
ants attorney in more than two or three
small cases In North Carolina in which
lhe Southern was interested.
You will have to prove that charge
Df lObbing,' exclaimed Mr.. Thorn.
I'm prove it ali right" shouted Mr..
Woodward.
Then ! ask that you be sworn" de-
handed Mr.. ThOm.
Not now," protested Mr.. Woodward.
i am not witness.
u ask your honor to administer the
oath to the States counsel. so that he
can prove the charge which. if he cannot
snbstantiate. he ought to retract right
now" demanded Mr.. Thorn.
Peace Is Restored
Special Master Montgomery interfered
az this point and directed counsel TO re-
turn to their argument Of the motion.
5. II. Hardwick, passenger traffic man
ager Of the Southern. was the principaI
witness of the day. He testified that the
North Carolina legislature should not
have fixed the passenger rate below 2
cents a mile If it was to be reasonable
Anything less than that rate. he de-
clared, would be conhscatory because sta
tistics proved that North Carolina had a
smaller per capita for manufactures. az
TiCulture, and other gainful pursuits and
a smaller population per square mile than
other States which nave fixed low mas
senger rates. An effort was made by the
States COUNSEL to show that Mr.. Hard
wick had testified differently before the
Virginia corporation commission. General
Counsel Thorn objected 10 the effort 70
discredit the witness by producing the
record in evidence, whereupon the special
master sustained him. saying:
This mans character is worth some
thing to him. You must come at him
according 10 the rules Of law and OF
evidence. II you want to attack his
vsracity you must produce the record of
his former testimony"
Counsel for the State objected that If
would take too much time to read the
record. but the master directed that il
be read. II was shown by the record
that Mr.. Hardwick had not been incon-
sistent.
Mr. Hardwick testified that there had
been no complaint from the patrons of
the Southern in North Carolina that rates
were too high Even the Corporation
Commission OF the State had never made
representations that rates We're too high.
The hearing in Washington will be con-
cluded to-day, but will be resumed later
at Raleigh, n G, at which time the State
viii produce witnesses.