The Brandon news. (Brandon, Miss.) 1892-1961, 1907-07-18
COMMISSION
MAKES REPORT
ON ASTOUNDING POWER OF E.
r.. HARTMAN.
NEW ORLEANS TO CHINA
He May Journey from New Orleans
to China via San Francisco With
out Leaving Transport That he
Controls.

Washington,-A report was made
public by the interstate commerce corn
mission Of its inquiry into the railroad
operations of Edward H. Hartman
and Of the operations of the so-called
Hartman lines of railway which
have been in progress for several
months.
The report, which was written BY
Commissioner Franklin X. Lane, is
the expression Of the commission on
the subject. Copies have been sent
to President Roosevelt and the de-
partment of justice.
1t is expected by the commission
that it will be determined by the
president and Attorney General Bona
parte from statement Of facts sent out
whether to institute any sort Of pro-
ceedings against Mr.. Hartman or
the corporations involved in the in
quiry. No recommendation are made
by the commission.
The report is an exhaustive sum-
mary of the evidence adduced at the
several hearings held by the commits.
sion IN the course of its inquiry. 1t
enters on the policy of Mr.. Hartman
In obtaining and maintaining control
OF various lines Excerpts of the
verbal testimony of Mr.. Hartman are
given to show, as stated in the re-
port:
"That it is only the law which pre-
vents the concentrating into ldr. Har
riman's hands of every railroad in
the country"
Mr.. Hartman S control of many of
the competing trans-continental lines
was prevented, it is pointed out, by
the supreme courts decision in the
Northern Securities Company case.
Particular stress is laid by the
commission on the elimination OF
competition in trans-continental bus
mess among the Hartman lines and
the commission indicates that is
matter of large significance developed
in its inquiry
Special reference is made to the
deal in which Mr.. Hartman secured
control of the San Pedro and the
manipulation of the Chicago & Alton,
very careful synopsis of the financial
operations in both instances being
given. In its conclusions the COM
mission says:
THE effect of the control of the
Southern Pacific by the Union Pacific
has been to unity and amalgamate
these two railways and their branch
lines and to exterminate competition
between them in trans-continental
business and in business to and from
Oriental ports.
The joint control of the Alton by
the Union Pacific and the Rock Island
has undoubtedly eliminated competi-
ton between the Alton and the Rock
Island between Chicago, st. Louis and
Kansas City.
These are Illustrations Of the de-
velopment- of the theory of communi-
ty of interest and harmony of man
agement which Mr.. Hartman sug-
gested when he demanded representa-
ton on the Santa Fe board.
IF the policy of purchasing and
contest is permitted to continue it
must mean SUPPRESSION of competi-
tom
The recommendations of the COM
mission which are rather general
than specific in their terms and appli-
cation, are as follows:
1.-THE function Of railroad cor
poration should be confined to the
furnishing of the transportation.
Railroads should not be permitted
to invest generally in stock or bonds
and securities Of other railroads and
transportation companies for the pur-
pose of forming combinations.
1T is the interest Of the public
to facilitate the consolidation Of
branch lines. The credit Of a rail
road company is founded upon the
resources of the country through
which it passes. This credit should
be used for the betterment Of its lines
and to develop the country contig-
uous to it.
: Every one knows that railway Sc
curities fuctuate more or less, ac-
cordfng to the times and also by
reason Of the wide speculation Of Sc
curities.
" It therefore adds a hazard to rail-
roads capital to have its funds in