Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1912-01-11
CARNEGIE BEFORE
THE |NQU|S|T0RS
Laughs Like a Boy as He Refers
to Business Triumph
over John D.

lawful under the Sherman law until very
recently Senator Hoar. vino had much
10 40 with Tho framing of the Sherman
'a"' wrote d statement after the passage
oi mat law that pooIs were not pro-
hibited by 1t.
I "As matter Of fac, i; was a sur
I"'S'he thing to me when ] learned n
IL" years ago that the sherman law
was passed so long ago 1890. 1t
''r'aihlN was not much heard ot until
long afterward"
asked about the option valuation OF
S"2o.ooO,oOo and the final disposition
OF the property to toe steel corpora
t'on In 1901 FOR much larger sum,
Ar. carnegie related the history OF
ms retirement from the steel business.
lie told how Charles NJ Schwab, then
president of the company had come
to him with n message from j. Pier
pont Morgan asking MIN II he desired
to retire from business and how much
he wanted for his properties
Il told Mr.. Schwab that 1t would
depend entirely upon my partners"
said MIR. Carnegie. Il was ready to
GO Already had become engaged
IN arduous work trying to dispose Of
surplus wealth and | was willing to
retire. Mr.. Schwab said the partners
were willing and he went back to see
Morgan. When he returned he said
Morgan wanted figure We went
over the estimate and considered the
former option Of s32O.O0o.oOo Schwab
had figures to show that since that
was given about two and a half years
before the property had grown in
value about 100000. 900. He thought
we ought to add that and I agreed
with him. Mr.. Morgan accepted that
figure"
But you sold for more than that to
the steel corporation" he was asked.
DID NOT SELL FOR MORE.
! THAT is not true" MIR. Carnegie
stated emphatically. THAT was our
valuation and Mr.. Morgan accepted it
as fair ! have since been told that I
could have had s1o0oooooo more IL
I had asked it, once and for all I
want to put a stop to this talk that
] was holding out for an excessive
price. We fixed fair valuation OF
s42o.ooo.ooo and got it. There is the
truth. gentlemen"
But the steel corporation.' said
Mr.. Gardner, ISSUED bonds against the
Carnegie Steel company Of s492 oOs,-
100 when il was absorbed"
I That's very surprising to me-" said
Mr. Carnegie Il never knew that thi.
was done and was not party to such
"A thing"
! When asked by Mr.. Gardner about the
statement made by Senator Oliver that
! the carnegie company received railroad
rebates. Mr.. Carnegie declared:
| Its astonishing how suspected an hon
est corporation can be. | never received a
rebate that know OF in all my NE"
| Mr.. Carnegie then related how he had
| fought the Pennsylvania railroad because
of discrimination in rates against him.
how he had interested the Vanderblts IN
| q project to erect a competing road to the
! East, and how tho Nandorbilts had gone
over to the enemy ending the project.
MADE OFFER TO GOULD.
When this fell through went to
George Could and told him that years ago
/ his father. Jay Gould had told me he
would furnish me the money to buy the
| pennsylvania railroad and would put me
! in charge Of 1t II would de> ote all my
time to it. did not take the JOB. Then
! said to George Could that nasmuch as
! his father had given me that opportunity.
| wanted to give jay Goulds son an op-
! portunity and offered to give him the Car
I neSie business II he would run MS rail-
road into Pittsburg and Il was al my
suggestion that the Gouds went TO Pitts
| burg with the Wabash railroad
| Mr.. Carnegie declared that. instead OF
! the Carnegie company having received re-
/ bates, as matter Of fact he had forced
! tie PENNSYLVANIA. by threats TO build
/ competing roads, to agree TO give him
! rates as low rs those given competitors.