The Spokane press. [volume] (Spokane, Wash.) 1902-1939, 1909-01-11
Interstate Commerce Commission Tells Con-
gress Of Hardships.

WASttiNG lON, jan. IL nc
Interstate commerce commission
today transmitted to the congress
its report for the year 1908.
The report states that the gross
earnings of all railroads for 1908,
although S164,464,941 less than the
gross earnings for 1907, were $685.
S75,470 in excess of the gross earn
ings for 1906, and s342,15S.231 in
excess of those for 1905, and that
the neat earnings for 1908, al
though sl11,051, 006 less than for
1907 and $50, 349,1SS less than for
1906. were s37,65S,504 in excess of
those for 1905.
In E. II. Hartman VS.. interstate
commerce commission, the SUI
preme court of the United States
held that the appellant could not
be compelled to answer certain
questions propounded to him by
the commission This decision has
somewhat important bearing
upon the work of this body which
congress should understand.
The commission had instituted
upon its own motion an inquiry
into railroad consolidation and
combinations which had been
prosecuted with special reference
to the operations of Hartman in
connection with the Union Pacific,
Southern Pacific and allied inter
estS. In course of investigation it
came out that Union Pacific, in
which Hartman was the dominant
factor, had purchased of the Chi
cago & Alton and Illinois Central
certain very large blocks of stocks,
and he was asked whether he had
a personal interest in the stocks
of these companies purchased by
the Union Pacific 1t appeared
what the price paid by the Union
Pacific was, and Mr.. Hartman was
also asked i'm one instance to state
in case he owned any of the stock,
what priceUhe had paid for the
same. These questions he declined
to answer. This refusal is now
sustained by the court.
This commission has ruled that
Il might inquire to the fullest ex-
tent into the operations of rail.
roads and the officers of railroads
The Union Pacific is not a private
enterprise-it is a public servant
In the opinion of this commission
when Hartman assumes control of
the Union Pacific railroad he
ceases to be a private individual
to that extent and can no longer
claim protection, which, as pri-
waite person he might insist upon.
1t was our opinion that he might
properly be required to state
whether as an individual he had
sold to the Union Pacific stocks
belonging to himself, and if so
that he should be further required
to state what profit he had indi-
vidually made out of the trans
action. If this gentleman is ali
lowed to accumulate from manipu-
lation of these public agencies vast
sums of money which must finally
come from the body of the people,
We think he is so far a trustee of
the people that he can not object
to stating the manner in which
these accumulations have been
made.
The supreme court, however, is
: OF the contrary opinion, and the
commission can, of course, only
suggest to congress that if there
is to be any full investigation by
federal authorities of these finan-
cial dealings, some action must be
taken by congress.
During the year 5,194 complaints.
formal and informal, have been
Z filed with the commission relating
to rates and practices of substan-
TALLY all railroads in the United
States. The number of formal
cases and investigations instituted
during the year was 554, or an in.
crease of 1914 per cent over the
previous year. In 1903, 574 hear.
ings and investigations of alleged
violations of the act to regulate
commerce have been had.
Attention is called to a case in
which the commission has recently
nelds that a rule in Official classic.