Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1910-09-20
c,al to Tlmes-Republican.

Special to Times Republican.
Chicago. Sept. 20--Controller Blauv-a
cit. OF the Illinois Central. again wasA
the target OF questions relating to tho
alleged manipulation OF stocks and
bonds OF his company when the inter-,
state commerce commission rcsumeCe
is rate hearing today The questions
came from attorneys representing var~
ious shippers organizations The at-
tacl, Of tho shippers was made on this
cornpany's statement OF capitlliza tions
dividends and bond interest.
Attorney Lust. representing the li>
linois Manufacturers Associations
sought to show discrepancies hctween
the roads reports 10 Interstate cons
mercc commission and those 70 ths
Illinois grain and warehouse comInis-
sion Attorney Lyon. OF the inter.
state commerce commission. guess
toned the correctness or several itenX
given by BlauV-it of the cash cxpeDd!-
lures by the Illinois Central by which
witness In part seeks 10 show dispro-'
portionate drain on the revenues ant
the Justice OF the proposed advance IN
freight rates.
Graft as Factor in Expense.
Attorney Lyons interrogatlons
brought out mention OF the car repair
graft" for which three former ofiic'als
of the road are now on trial In mus
nicipal couyt Tho lawyer referred to
n statement tha, during the fiscal YEAR
1910. - 600 cars OF n total OF 6o.oou
were "repaired' and that tho discov-
erv of the alleged swindle would prob
ably take care of the normal increasr
in wages during the present fiscal year.
DO Won expect the cost OF car re-
pairs 10 bo less this year," was asked.
I'VE certainly do. by about sl.ooo.ooo
or 81 600, 900" replied the witncss.t
THAT was about the excess we paid
last year by reason Of deferred mains
tenance, and --er-cr- other reasons" ho
added alludinS 10 the alleged graft
and smiling grimly
| Sharp Questioning.
Commissioner Clements asked WitAi
| ness Blauveit;
! "po understand Won TO say that
/ railroad should he allowed 10 charge
I moro than a reasonable rate In ordeu
to secure a surplus -
! "Oh. no; not moro than reasonable.
rate
"rf the Duhuquc e Sioux city road.
aItho subsidiary line OF yours. should
have rate controversy" the commis-
s!onor resumed 1T would Claim tho
/
wouldn't it,"
Yes" admitted Blauv"lt
| "And YOU sav tho Illinois Central
owns about s11 5o0.0oo az tho $4,000
600 stock OF the Dubuque & Sioux
! city. having paid We VIII say. about
! IS 600 900 OF It's own stock for It %
| yes"
..Thent do YOU maintain tho Illinois
! Central should earn ! per cent on tho
! SIS 900 900 OF its stock, and also per
cent ON its Dubuque & Sioux city
/ stock?"
"Not at au: 'here should hc no dup
/ l!cntlon." replied the witness
William L. PARK vice president ana
! general manage OF tho Illinois Central.
was the next witness. He testified az
/ To increased expenses.
Mann Tawcs Notes.
Congressman James K. Mann. chair
man OF the house COMMITTEES on inter-
! state and foreign commerce. heari
most OF the inoruing testimony. III"
/ had charge oc the rate bill In the house
/ at the last session OF congress and took
a number of notes on tho hearing to-
day lie heard Incidentally. legislation
| sharply criticised hy Vice President
! Parks because il imposed new burdens
! upon the railroads In the way or safety
! devices. upon the Investment In which.
he said. tho company would get no
I adequate financial returns,
A New Definition.
Tho commissioners listened with in
terest 70 Parks definition OF proper
! freight rate" which was: ~ proper
( freight rate Is ono that IS n fair return
4 In proportion to tho service rendered.
/ which he said. should be without re-
gard to how largo a divided the COM
| uauy- earned thereby.