The San Francisco call., 1908-03-01
TRAFFIC Man OF
HARTMAN BUSY
AMONG SHIPPERS
j. G. Stubs Suddenly Becomes
Active in Face of Rebate
Investigations
Huge Mass of Evidence Against
S. P. May Lead to Honest
Confession
Sanguine Officials Expect Rail-
road Will Plead for
Leniency

Leniency
]. c. Stubs, general manager of the
traffic department of all the Harri-
man lines, has been unusually active
during. his present visit to San Fran
cisco, which began few days prior to
the railroad commissions investiga-
ton into the rebating practices of the
Southern Pacific company in this
state.
Stubs has made it his business dur
ing his stay in this city to go among
the merchants and shippers, many of
whom have been the recipients OF
favors from the railroad corporation.
The coincidence between Stubbs' pres
ence here and the date of the inquiry
together with the fact that the Harri-
man official has departed from his ac-
customed practice of staying but a few
days In this city, indicates that the
railroad corporation is apprehensive Of
ll4C OOlCOlAC VI lllC INV CSblE dliSAA NV
its traffic habits.
Sanguine officials of the California
traffic association are inclined to pre-
dict that in the face of the overwhelm-
ing testimony to be offered the railroad
commissioners by Attorney General
Webb and Assistant Attorney General
Raymond Benjamin, the Southern
Pacific company will throw up
its hands. strike its breast in
penitence and confess all rebating.
but deny that It violated the
letter of the state law; claiming that
railroad commissions in the past have
failed to comply with the law in the
matter of establishing rates. The COM
pany, according to this prediction, will
promise humbly to sin no more.
ASSISTING PROSECUTION
The California traffic association.
while assisting the attorney generals $
office in preparing the case against the
Southern Pacific company, is further
ing it's usefulness as a traffic bureau
F. NJ. Hill, general manager of the
association, has prepared much data
showing discrimination on the part Of
the Southern Pacific company, which
missions investigation. which starts
Thursday morning at 10 clock in the
rooms of the chamber of commerce.
"A meeting of the California traffic
association was held yesterday after
noon and it was decided that special
committee should be named to attend
the investigation.
Members of the association are now
availing themselves of the facilities of
the Bureau as dispenser of traffic in
formation. From various sections Of
the state inquiries have been received
and responses are being sent to ship
pers relative to disputed points
The association intends. to appoint
committee on legislation, which will
consider the propositions of the recip-
rocal demurrage act, the car shortage
act and other measures to protect
shippers. Oregop and Texas have new
railroad legislation which has proved
of advantage TO shippers and laws of
those states may be given place in
the codes of California.
Since the railroad commissioners
have bound themselves to Investigate
freight rates and the traffic associa-
tion has begun its activity the South
ern Pacific company has issued many
new traffic schedules to the public.
Trafficmen allege that for the most
part these rates now made public have
been privately granted to favored
shippers in the past.
NEW RULE ILLEGAL
o K. Cushing. attorney for the
traffic association, has given an opinion
that the proposed rule Is added to
transcontinenta1 traffic, which takes ef-
feet April 1. 1908, is Unconstitutional.
The new rule states that a trans
portation company will not be re-
sponsible for loss or damage of any
kind, unless caused by the negligence
of carriers, unless 20 per cent is added
to the ordinary freight rate. Cush-
ings opinion Is in effect that under
the constitution OF the United States
and the provisions of the interstate
commerce act a transportation com
pany can not take advantage of any
rule 1t makes that does not carry
with IL the common law ilaDlDty or a
carrier
An official of the California traffic
association stated yesterday that the
Merchants exchange freight bureau is
making renewed efforts to gain mem
bers and to break up the growing
power of the traffic association He
charged that the Merchants exchange
organization was enjoying the friend
ship of the Southern Pacific company
and that its renewed activity is in
obedience to the directions of the Har-.
riman managers. But the strength of
the California traffic association is in
creasing, he declared, many interior
shippers having affiliated themselves
with 1t recently.
Assistant Attorney General BENJAMIN
is expected to return from Los Angeles
today. Ben njamn has been In the
southern city for two weeks investi-
eating the practices of the Santa Fe