Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1912-02-13
9. ). HILLS PHILANTHROPY.
saya He Distributed Profit in Ore 0ea
Among Stockholders.

Among Stockholders.
Washington. Feb. 13.-James j. Hill
chairman of the board of the Great
Northern railroad. told the Stanley
steel trust Investigating committee
story of himself in the role Of phil
anthropist to the stockholders OF the
railway company.
M. Hill told how he had bought
pYonerties for more than $4.OOO.OOO
fnrned them over for that amount tt
the Lake Superior company. limited. q
frrafe@e for thu railroad Atockholders
and fpresehted the stockholders wief
nrn rata certificates for the increased
value Of the property. which accumu-
lated rapidly and amounted to mil
lions.
The railroad magnate was questioned
at length regarding the lease OF these
ore lands to the United States Steel
CORPORATION for development, lease
which the corporation recently decided
to cancel on Jan. 1. 1915. In this land
there are estimated to be about 5o0.-
100000 tons Of ore which the steel cor
poration values at 81 ton.
II wouldn't take 81 ton for the ore.
said Mr.. Hill.
The ore freight rate from the Lake
Superior region to the Pittsburgh dis
trict, which the United States Steel
Corporation recently reduced to 80 cents
ton, Mr.. Hill declared to be the
cheapest in the country.
''..And 1t will be still lower, said ne
'aThe next rate will be 60 cents.
.sWhy did they cut the rate?' ne was
esked.
"Why. think the steel corporation
"a ranlfo6
'-That's all there is to It,"
"But you get your royalty just the
same?" asked Mr.. Young.
"And when the lease runs out you've
got the ore?
eyes" Mr.. Hill replied, what differ
ence does It make? I'll have the ore.
and II doesn't go out OF fashion ana
the IRE risk Is quite low.
Representative Gardner asked the
,rtinass why he had turned over the
nronertfes to the Lake Superior Com
nany for the benefit Of stockholders.
~. H1n declared the trustee company
reimbursed him for what he had paid,
ana the increased value was gift to
the Great Northern stockholders.
sarhe trustee company paid me what
4 paid for the property, a little over
e4'06a OO0. with s per cent interest" !"
said Nh Hill. Those properties Inn
med,Ateiy took on considerable addi-
tional value and could make money for
the stockholders. There was nothing
10 conceal about It. Wherever I saw
Il could make money for the stockhold-
ers that way ! did It"
..Di4 tho stockholders Of the Great
Northern railway pay anything to the
Lake Superior Company" asked Mr..
Gardner.
.'No. their interests were gift to
them"
riftfr5 asked MF. BeaH of Texas.
s..;;2aeStt ut ssack =! had paid and the
stnckSx1fesS OF the railroad got the
henent of The additional value" said
NJ. nm. sTf could make money for
rnyself / could make IL for. the stock
holders. I was In measure dealing
with myself bought the property to
al control OF the transportation Of the
,or. n the Lake Superior region. Sub
senuent developments showed the prop
erty was worth vastly more than So
oo0. goo. ~ "
= bouslft the properties az an In
diyidusl." Mr.. Hin continued, because
40 q railroad company do not think
the Great Northern would have the
,eenl srixht 70 own and operate mines" :"
s.FSut .you as president, could own
ana operate miffes and distribute the
stock TO the railroad stockholders? ?"
asked Chairman Stanley.
.s'Yes, or give It to the poor said
Mr.. Hill.