The Washington herald., 1907-01-30
HANKS TURNED DOWN
President Gets Adverse Re-
port on Him and Hartman.
ATTACK ON ADAMS BASELEsS
Experts say Statistician's Work Is
Not Open 20 Criticism-InterestIn
story of Operations of the Two
Men from BOstOn-ChGfrman Knapp
Declines to Discuss the Case.

4 The story of Hanks and Hartman. late
Ioverseers Of the Interstate Commerce
Commission. is coming out in pieces.
Another chapter was added to it yester-
day when Commissioner of Corporations
James r Garfield, Commissioner OF
Labor Charles F. Neill and Bank Exam
liner Charles Starke laid before President
Roosevelt a report which indorses the
statistical work Of the Interstate Com
merce Commission. and states in sub
stance that the theories of Hanks and
Hartman concerning the management of
railway properties and reduction in rates
are not entitled TO further consideration.
While officials Of the commission abso-
lutely decline 10 discuss the Hanks Har-
riman episode. it appears that the pres
ence Of these two experts in its offices
for a number Of months last summer
created a condition bordering on democrat
izatiOn and Reorganization at a time
when active preparations We're being
made for the enforcement Of the new
railroad act. It now develops that Messrs
Hanks and Hartman first told the Presi-
dent that they could demonstrate with
mathematical accuracy, by the records Of
the commission. Tat railroad rates could
be reduced 10 per cent without disturbing
stock values, OF affecting wages or divi-
dends, while the rate bill was pending in
the Senate
Put on Pay Roll.
Shortly thereafter the names Of the two
gentlement from Boston were tackled on
TO the pay roll OF the Interstate Commerce
Commission, although when the negotia-
tions were first taken up. looking TO their
employment IS investigators of the COM
mission. il Is understood that there was no
suggestion of compensation. Just how
much of the money Of the government
was collected by the two experts is not
known. on account of the injunction of
secrecy laid on officials Of the commits
sion by Chairman Knapp.
The first report Of Messrs. Hanks and
Hartman was nothing more than an
arra!gnment of the statistical work of
Prof Adams They charged, by infer
ence. that the statistics were 'juggled,
and We're altogether misleading and in
accurate. The allegations were thrashed
out before the commission, which de-
cided that they were not sufficiently
specific. The experts were then asked 10
put their plans on paper They went 10
work again, and finally preferred addi-
tional charges against Prof Adams.
Things had come 70 such a pass By this
time that the President interposed. and
referred the Hartman charges
and the replies Of Prof. Adams to a sta
tistical expert of the government. who
sustained the commission and Prof.
Adams.
Failed 10 Demonstrate Theories.
Not satisfied, the President placed the
whole matter in the hands Of Commits
sioner OF Corporations Garfield. Commits
sioner Of Labor Nell. and Bank Exam
liner Starke. the last named an expert
accountant The report Of these officials
is to the effect that the statistical matter
Of the Interstate Commerce Commission
IS properly handled, that Prof. Adams
is In every way competent and entirely
guiltless OF the charges made by his
critics, that Messrs. Hanks and Harri-
man have utterly failed TO demonstrate
their rate theories, and that after hay
ing every opportunity 20 do so they have
failed 20 make good. -
Messrs. Hanks and Hartman are no
more as far as the administration is con
cerned- They have been dropped from the
public pay rcU, and their advice as 10
how the government should be run or
what steps should be taken 20 reduce the
earnings Of the railroads viii not be fur
Their sought by the President
From present indications it may be
some days before tie commission viii
make a reply To the CuIberson resolution.
adopted Monday. calling for all the facts
concerning the employment Of Charles :
Hanks as official investigator All Of the
members n the commission. with the ex-
ception of Chairman Knapp. are engaged
in holding hearings At various points
throughout the country. Whether the
reply 70 the resolution viii be prepared
i'm the absence of a quorum has not been
determined Chairman Knapp refused
yesterday 10 discuss this or any other
phase Of the matter