Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1908-07-30
Hill, Hartman, Berwynd Syn
dicate and Canadian Lines
In Concert.
BIG BLOW TO COUNTRY
Cuts Off Oriental Commerce.
Publicity Ruling Fatal to
Business.

Washington, July 30.-The report
that the tTanscontinental railroads. con-
trolled by James J. Hill, Edward H.
Hartman, the Berwynd syndicate and
the Canadian government, have deter
mined to surrender their export trade
TO China, Japan, New Zealand and Aus
tralia Nov. l, has created a great deal
OF interest at the offices of the inter-
state commerce commission in this
city
Would Fulfill Prediction.
II this is true, it will merely fulfill
the prediction that has been made by
railroad officials who have resisted the
enforcement of the rule of the commits
sion by which they are obliged to pub
lish the portion of their export rate
which goes TO railroads for hauling
shipments to seaports and to give no.
tice of any increase or decrease in
these rates.
Has Not Been Notified.
The purpose of the transcontinental
roads to take this action has not been
brought to the attention of the commits
sion, which has full power to modify
its rulings in order to meet objections
OF carriers should they care to do SO.
But as this matter has been very fully
considered by the commission, it is
not regarded as likely that their rul-
lngs in this respect will be changed.
The railroads have claimed ever
since the rule became effective they
could not comply with it and conduct
their export trade.
To Provide the Cash.
New York, July 30.-At a confer
ence yesterday in the Office of Kuhn.
Loeb & Co. E. H. Hartman. George
j. Gould and Jacob II. Schiff arranged
tentative plan by which a syndicate,
headed by Kuhn, Loeb C Co. and
Blair & Co, is to furnish the Wabash
railroad with funds to meet the S.
600 900 Wheeling & Lake Erie notes
which nature next Saturday and which
are guaranteed by the Wabash.
| This development if of far-reaching
significance, in that it means the vir-
tual abandonment of George Goulds
attempt to form competitive trans
continental line consisting of the
| Western Pacific, Denver & Rio
Grande, Missouri Pacific, Wabash,
Wheeling & Lake Erie. Wabash-Pitts-
burg terminal and the Western Mary
land system.
| Gould Holds to West.
1t probably means, according to the
Interpretation placed upon it in finan-
cial circles, that E. H. Hartman is to
play an important part in Wheeling
& Lake Erie, Wabash Pittsburg ter.
minal and Western Maryland, while
Mr.. Gould will be able to maintain
} the independence of his systems west
of st. Louis.
1t will mean a close traffic alliance
between the Erie railroad, which will
acquire a Pittsburg terminal, and the
Wheeling & Lake Erie, now in bank
ruptcy. 1t means the double track
r ing of the Wheeling & Lake Erie
r system and the development of the
. Lorain Steel property at Lorain. Ohio
+ owned by the United States Stee
? corporation.
shows Consent of Pennsylvania.
. The fact that Kuhn, Loeb & Co.
/ the Pennsylvania and Hartman bank
D ers, have agreed to finance the Wheel
v ing & Lake Erie notes, means that the
e Pennsylvania railroad also has giver
v Its consent to the financial rehabilita
/ tion of the Wheeling & Lake Erie
e Wabash-Pittsburg terminal and Wesi
d fern Maryland, three bankrupt Goul
properties.