New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-02-27

mart OF he sl0109 shares? Ayes. sir . =
o. notice that stock sold pursuant 70 70 d
resolution March s. -, and purchased back 6d iFOi
Sfr. william Rockefeller on November ~ r'JS 700
lection. .., -. M
s,Referrine 10 the agreement entered into ne
me sG 90 shares of the capital stock Of the Soutn-
ern Pacific Comps ay, beg 10 state tlaL 1 IN
fn glad 10 have you take over the stock no" "a
stead Of waiting until the isl Of May iva a. o4e
ysst Vas The agreement that contemplated
the Union Pacific taking the stock PACK, liz
and myself IN that he TO purchase that stock
and have the privilege May the year SO
1904 10 deliver the stock back TO ls at the same
price at which We sold i TO MN ann J tie
agreement on our part that we were 10 nave '-0
privilege 10 take II b2ek- ,., - ,5i.io-. ,r va c
q sale Iv the Union Pacinc Railroad Company or
the Short Line COMPANY, WIN 4 a. NJ -
Teller asked YOU to on May J. 1@e4, at the s.: same z
price with interest? A.-With interest and /
think a commission OF per cent ~ .,,,.,7- 90
(Which would be %ElvtJ; A4Ss, I I'm, a.
Mr. Lovett-Mr. Hartman is mistaken about Inc
Mr Kellogg thnI, that is 50. Five-eights OF
Mr. Hartman FIve-eights OF per. cent. ...
responsible. Mr. Rockefeller assumed 10 obllgSo
ion and merely had 3 cona.nona tai Due for IL
Q.-Only paid for part OF #. didn't he -, a.,
He paid 10000 and gave his note and marketable
collateral for the security or the lloLe IoI e-e'
millions ard odd hundred thousand dollars, On
9-I notice by your annual report i 1I 'T Roce
sellor you report that the mon Fc.LG 80 ,s
and it auxiliary COMPANY the snort dle, ." of
the Southern Pacific Company. Is that correct
AYES. Of course
THE FIGHT AGAINST JAMES r. IlEENE-
Q-We you considered you owned It at that at
the 100000 shares Of stock sold to Mr.. Rockefeller
was q protective measure pure and simple, There
street to speculate IL Southern Pacific stock ana
shares. They had appealed TO the stockholders
emo mad appealed to the courts ana haG {lSq
from continuing in the management Of the south
ton 10 tho Stockholders. that they could get
5Rarket Ior ana sell t1fic sLoGK our 70 noTaTv
whole 900oo0 shares of stock and in order 10 pro
1ect US against such a condition We took this
method Of disposing Of enough stock. we thought,
might obtain from the other stockholders 20 con-
cate II vas 9rr Is ro,e s'S the i9ferefs Of the
Union Pacific or Short Line stockholders.
somebody else owned it? And. in fact. there
was temporary injunction obtained. and it was
n the courts until some time in the autumn of
1908 The annual report Of the Southern Pacific
E.as not approved by its board Of directors until
of the controller 10 hold his books open untiI after
the annual report has been approved by the board
months ~ pror yba G I'm n oT r noe - some SIX
which Mr.. Rockefeller 10 have the right 70
return II to Us. the controller made his entries
the 10000 shares were not shown to have been dis
g9s6eSa Of during that year. And We wanted 10 set
hoay VINO would act against the attempt Of this
speculative pool TO control the property.
stool vs. "a "a as ' ne oDJect 81 seng the
necessary IN that suit, show that did not own
tlat 5elg9 shares? A.-Undoubtedly.
own it, mat is - h. si9s 10 STOW tAa5 IL dId
you could get it back? A--No. It was not You
OF the Union Pacific Railroad It was purely for
ship Of omebodv WING W vt S se aFa 2 the owner
which was trying get control Of the Southern
Get me inquire into that moment lent The sGt
was it not? A1Tas sHF at ~ III me name OF Taylor
lie was connected in some way with Nj
believe? A son-in-laW. - " al street.
Q.-Well, Mr.. Taylor claimed, didn't he, that ne
was stakeholder in the Southern Pacific COMPANY
N mat suit? Al believe he did.
,,Q.-And he was a stOckhOlder. was he not or
az Ay we lie was stockhodeg Of record.
n " 1eS ne Grained that the control by the Union
cause il was the control Of parallel and com
iif me az THlcn the stocl5hoders had right to
That IS my recollection: is that true? Al
rave forgotten Wen, he did not prove IL any,
Nh DR. KeII9sg-Io did not get jurisdiction Of the
mon racine. because II did not live down AT
ar ar 55ILaIT,rinlan-Is that the reason?
AR tAellogg-Tiat is the reason
ao MT. HarriIna-WelI have never been there;
81 don't believe anybody else ever has
f p; mat Is the headguarters Of the Southern
F2clhc Company, is II not? A.-Yeg '4A
20 0 M ~ order 70 show that the Union Pacific
you sold that stock Ar RocefelleT Gidas vo one
ensbo W Vas # not transferred 70 him in order to
utori, 49, 10 SiIg" mat you did not own enough
q 10 control the Southern Pacific? No, SIR
i1lu you moi deny IN that suit that Won d,,i
control TIE Southern Pacific? Al don't refner,be her
&c oscN ,s didn't you admit that you controlled
Tse S9s.heTn Pae!fie-which is it? Al don't
,,t2. 1Bg{ you did control Il, didn't you?
Q.-For that transaction, without Mr. Rocl,afep.r
M STSs 10y particular responsibility you Maid
It ~ 3 Sio1S0g commission; IS that trIieo A1TVs
ad hun SlsI99g for paying us So 600 900 and az,
VIC 11S US MS o3iigation secured by good Collateral
1---l We eOUia nave used for the balance.
DEAL " ATCHIsoN.
Mr. Kellogg switched the inquiry To the mr.
chase OF SlOO00O00, par value, Of AtcJNson stool,
Dy me oregon Short Line for S1O34 600 and
IN explanation Mr. Hartman said.
tabsh befte srOstaaGe that we were to try to es
roads IN tie line that should deal Taore
and operate our lines for t jto more 1ranky
si9ylng each other, but for the pruDoee az beIpir
y zach and TO that extent even went 80 far e III, f
S...t ~ a. 70 ten him that far as the
- Intern facinc was concerned would be willing
- even put him on the executive committee of he
t9eniSan fa s SO thar he might know what our
tak on those lines. they concluded shat thew v-oJiG
road-for cannot say that # was representatjoo TO-
LOCK , tlat was owned by myself and some of nv
10 that end they elected Mr. Pc es,ea 1y us and
Q-bolh OF whom were directors of The I-,for,
Pacihc? A-Yes; think the were. Now then
. II enect OF that has been. they tell me that
5.es nave acquired TWO OF the best directors that
. .ley nave ever had. So far my knowledge Of
me Atchlson IS concerned through the Information
men, II has been practically Ill; in fac So ,,3ScP
50, tnat when they had concluded In the hoard Of
directors TO issue S9s 900 o0 convertible bonds and
20 obtain the consent OF tho stockholders 10 in
sreaslng the stock. did not know anything about
Il until LIT Il was ANNOUNCED in the newspapers
Q-Ne4i, this establishing closer relations and
friendly interests is what is commonly known &c
community OF interests? Al never invented that.
don't like the term. " mat