The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-03-01
He Denies Giving Un-
due Aid to Transcon-
tinental Railroads.
|NOW AT MERCY
| OF PACIFIC MAIL
Invokes Antitrust Laws to
Break Up Monopoly Of Busi-
ness Between Pacific Coast
Points and Isthrnus of
Panama-Makes Peace
With Insurgent.

Washington. D. c.. February Is
Secretary OF War Dickinson proposes
that the antitrust laws be invoked to
break up the monopoly which the Pa
cific Mail Steamship Company and the
Hartman transcontinental lines have
on business between Pacific coast
points and the Isthmus of Panama
When 1t was suggested to-day that
suit under the Sherman law might
fail because of the lack of steamship
company, operated as an independ ent
line, which would be considered COM
petitor of the Southern Pacific Rail
road. members Of the Senate Commit
tee on Interoceanic Canals discussed
the advisability of recommending leg
islation that would reach the merger.
Answers Criticism.
| The hearing to-day was held in or
der TO give the Secretary OF War op-
portuntty to answer the criticism of
| Senator Brtstow that the government
was giving aid to the transcontinental
railroads by not encouraging the es-
tablishment or an independent line on
| the Pacific coast as was proposed by
| 3. n. Baker. OF Baltimore
! Secretary Dickinson produced the
! proposed contract submitted to him to
| show his understanding of the offer
made by the syndicate backed BY Mr.
| Baker. 1t indicated that the company
| was to have an exclusive contract and
many other favors that Mr. Dickinson
said could not be granted under au-
| thority vested in him or any other
/ member of the Presidents Cabinet.
| After this showing had been made Mr..
BrIstow acknowledged that such a con-
i tract would be unacceptable to the
/ government.
Peace was patched up between the
War Secretary and the "insurgent.'
/ Senator. although for an hour IL was
i apparent that the secretary had been
4 Mr. 2ristore that his tsi!ure 10 acce pt
/ Mr.. BAKERS proposition looked TO Kim
that the secret of the whole business
is that the government does not pro-
pose to put in anything to compete
with the transcontinentaI railways"
Coerced into Acceptance.
II The statement had been made by Mr.,
Dickinson that he had practically
been coerced By a serious situation
into consenting to the demand OF the
Pacific Mail for 20 per cent. of the
4 Joint rate. The Pacific Mall had
threatened to withdraw its ships. and
Il II TINS SnOulQ NC IIt -
would have left the government line
without an outlet on the Pacific coast
and no business could be obtained for
the government line on its northbound
trips on the Atlantic.
"rf the ships on the Pacific side had
been withdrawn. I felt that my posi-
tion would have been indefensibie
and therefore / was forced TO accept
the terms offered by the Paclic Mail
said the secretary.
Did YOU ever make an investSa-
tion to determine whether the Facihc
Mail is controlled by the Hartman
! IIines?" asked Chairman Flint. MT
Dickinson replied that he had seer
president Schwerin, of the Pacific
Mail, only once. and they had had ar
unpleasant Interview. Schwerin insist
: ed. he said. that his steamship line
: was independent of the Southern Pa
: cinc. and upon that point they coult
not agree.
"Why, if it is wrong for the South.
! ern Pacific to own the stock of the Pa
cific Nal. you have antitrust laws
Secretary Dickinson said. ut is no
the business of the Secretary OF Wa
to enforce antitrust laws"
Pressed for opinion.
Several Senators pressed the Secre
tary OF WI ar lor MS oPinio't ~ ~ q ~
est way to break up the Pacific Nal
monopoly. He said that the sures
way would be for the government t
build ships and operate them, bu
he would not say that such cours
would be the wisest way. He said tha
: the question was a Legislative one, an
!, that he did not care to indorse govern
ment ownership.
I'VE sent for you to tell US what
: do" said Chairman Flint. That,
think. is what you would do If yo
. We're SENATOR
mo. wouldn't ask any man to tel
, , me what to do in the matter OF gov
ernment ownership" replied the sec
, retary.
! Congress- TO do something" said Sena
, tor Bristow.
= rress what to do?" asked Mr.. Dlckln
son.
: "That is lust what you are doing j
!. reports which you send to Congress,
.. said Chairman Flint. rather sharply.
"Probably we have been trained
different political schools" SAID IN
!. secretary, "but have never pelleVe
> it was the duty Of the government
: furnish means OF transports .loi'.
: 10 not believed 1t wise for the go,
arnment to engage In that bushes
yh,ch can hest be done by individuals
senator Bristow said he thought
!, was the duty Of the secretary to de-
: ignate some one to find out wheth'
: there we're private concerns whit
;, wound enter this transportation field.
Secretary Dickinson left the star
after saying that he would investiga
!. the whole subject OF mail contract
chartering steamships or any 9th
!, means OF meeting the situation.
d -----e
s DECIDES ON COMMERCE C0UR
y '-''l. 39lf
lnmmittee Votes hN NnrrON Margin