The San Francisco call., 1908-03-18
SANTA FE NEXT TO
BE INVESTIGATED
Southern Pacific Given TEN.
pOrary Rest While Rebate
Hunters Go TO Los Angeles
Luce VIII Gain No Immunity by
Testifying Before State
Board

The railroad investigation was halted
temporarily yesterday afternoon when
q. ". Luce, general freight agent of
the Southern Pacific. ended his direct
testimony. which continued seven days.
The commission viii meet in Los An
geles April to inquire into the charges
of rebating against the Santa Fe and
xhe Clark line. On April 90 the inquiry
into the methods Of the Southern Pa
ciho viii be resumed in San Francisco.
and witnesses will be summoned from
various parts Of the state to testify.
The delay was asked yesterday by
attorney General Webb in order TO sub
pena the necessary witnesses. These
witnesses, who are nearly all ship
pers. it IS said. will controvert much
OF the testimony given by Luce.
Peter F. Dunno. attorney of the
Southern Pacific, objected to any delay,
and requested that the examination of
Luce proceed so there would be no
necessity of calling him again Webb
however, replied sharply that 1T was not
the attorney general but the railroad
commission which was conducting the
investigation. The commission then
ruled that the delay should be granted
1T Is our desire, said Alexander
Irwin, president Of the commission, ito
make this investigation as thorough as
possible. and TO that end the commits
sion viii grant the postponement as
proposed by the attorney general"
s. p. RESENTs CHARGES
Dunno remarked that he considered
st unfair TO compel the company to rest
under the charges which have been
made against IL.
This postponement viii work a
hardship upon the Southern Pacific,
he said because IL has been charged
No~ -f--@ft fo-- hos
by the Southern Pacific in the matter
OF rates when we have proved by Mr..
Luce that they are defensible We
have been unjustly accused in the mat
ter Of freight rates. We claim we have
not been guilty of discrimination
Just before the session closed, Com
missioner H D. Loveland. with the in
tention Of correcting the impression
that had gone abroad that Luce had
been given immunity by his appear
snce on the stand, called upon Attorney
General Webb for an opinion. Webb
stated that under the laws of Califor-
MIA the appearance Of Luce as a wit
ness in no way granted him immunity
from prosecution on any matter that
might be developed by his testimony.
Luce took the reference good natur-
edly. Dunno stated that the miscon-
ception probably had arisen from th'
incident in the hearing before Frank
lin X Lane, interstate commerce com
missioner, when Luce was not allowed
20 testify on the ground that under
the federal statutes he would thereby
receive freedom from prosecution
There is no state statute. however.
which would admit Of immunity in the
circumstances.
INvEsTIGtT ATE FRUIT RATES
The session yesterday was devoted
10 further analysis of the rates on
wines. grapes and fruits. Some con-
sideration WAS given 10 the case ol
Simon Newman. who was granted spe-
cial rates 70 and from points in the
San Joaquin valley. The attorney gen
eral pressed the inquiry in regard Il
the rates granted TO Newman, anc
o. X. Gushing. attorney for the Cali
fornfa traffic association, intimateC
that witnesses would be called wh'
would show that Newman was givei
cut rates while they We're required q
pay the fun tariff under like circum
stances and conditions
Commissioner Summeriand arrived
nearly an hour late and offered hi
apologies. explaining that his train ha'
been delayed.
was it a Southern Pacific train?
inquired Dunno.
NO" responded summerland. Il
was not
piled Dunno
II developed that the California win
association was given an inside rat
on wines and grapes, but Luce asserte'
that other concerns also were favore'
on shipments Of crude wine 10 be use
for blending. The California wine as
eocistion was given a rate from Ma
tonaa 10 san Francisco of 1856 to-
against the published rate Of $3.50
Webb called for the list showing tn
rates granted to other wineries. Luc
replied that it had been destroyed b
the FIRE.
The California wine association
was not only favored by your com
psny," said Webb. but by the element
as well. for its list was preserved
The attorney general later charge
that in granting the special rates I
the association the Southern Pacih
had enabled il to control the tndustr
5n the state. 1t was brought out tina
the Italian Swiss colony and J. c Faw
Der also had received the cut rate.
CUT RATES ON COAL
Evidence was produced showing tina
the Walsh coal company of San Jos
has received a special rate of 81 TO
70 San Jose to include store deliver,
Luce said that this rate had bee
given to other mercantile establish
sneuts in San Jose. Cushing brough
out the fact that it had not bee
erAnted 10 san Francisco merchant
selling in san Jose.
EAe reopening OF the inquiry int
the rates granted packing houses re
vealed similar cut tariffs on the SAINT
Fe and the Southern Pacific
The Santa Fe treated them ABOUT
we did" said Luce
At this point Webb stated that h
was through with the witness for tn
resent, and an adjournment was OF