The Bingham County news. [volume] (Blackfoot, Idaho) 1918-1930, 1922-06-16
GRAY REVIEWS
ATTITUDE OF i. P,
PRESIDENT OF SYSTEM ISSUES
STATEMENT REGARDING THE
CENTRAL PACIFIC RAILROAD.
SATISFIED If LINE Is MADE IN.
DEPENDENT.
Special to the News.

Special to the News.
OMAHA, Neb., June 10.-President
c. R. Gray of the Union Pacific sys-
tenn said today that in view of the
widespread discussion of the recent
decision of the supreme court holding
illegal the control of the Central Pa
cifc by the Southern Pacific, and the
frequent reference to the Union Pa
cifc in this connection, it seemed
timely to make a statement of the in
terest of the Union Pacific in the sit
uation resulting from that decision.
He said:
Both the Union Pacific and Gen.
trail Pacific, constituting the first
transcontinental line, were construct
ed under Pacific railroad acts Of con-
gress, passed in the sixties, which
provided for a continuous line Of rail-
road from the Missouri river to the
Pacific ocean, and provided further
that they should be operated and used
for all purposes of communication,
travel and transportation as far as
the public and government are con-
cerned, as one connected, continuous
line.
Shortest Line Formed.
"The Union Pacific lines YER con-
structed westwardly from the Miss
ouri river at Omaha and Kansas City
about 1000 miles, while the Central
Pacific was constructed eastwardly
from San Francisco and Sacramento
about 800 miles, the two lines meet
ing near Ogden, Utah. They are es-
sential to each other and constitute
the shortest and best line across the
continent between San Francisco and
the east. But they have never been
commonly owned, Or under common
control, except during the period from
1901, when Mr.. Hartman, for the
Union Pacific, bought control of the
Southern Pacific, to 1913, when the
supreme court decided that the con
troll by the Union Pacific of the South
ern Pacific was in violation of the
antitrust law, and required it's re-
lease.
justification Sought.
THE Union Pacific in that case
sought to justify it's control upon the
ground that it had to buy the South
ern Pacific in order to get control Of
the Central Pacific, and prevent dis
elimination against it by the South
ern Pacific in favor of the l%atter's
southeriy line via New Orleans and
Galveston, but the supreme court held
this defense insufficient, and pointed
out that under the Pacific railroad
acts, discrimination against the Union
Pacific, the owner Of the line from
Ogden to the Missouri river, by the
westerly end of the line, from Ogden
to San Francisco, would be a viola
ton of the acts under which the en-
tire line was built, and observed that
the obligation to keep faith with the
government continued. as did the leg
islative power Of congress concerning
these roads, Notwithstanding changed
forms of ownership and organization
And the government proceeded by the
suit decided last week to complete the
job of making the first transcontinen-
tai line formed by those two links
entirely free and Independent and free
" AANQt SOAtiOAs WAlSA Adu OAly
been partially accomplished by the
decision in the Union Pacific case.
Litigation Avoided.
although there was a clear recog-
milton by the supreme court of the
special interest of the Union Pacific
in the Central Pacific as the owner
of one-half of the line built under the
Pacific railroad acts with the aid of
government bonds and land grants,
the Union Pacific, Notwithstanding the
policy of the Southern Pacific to ia
vor the southern route, as stated by
the supreme court decision, has re-
Trained thus far from taking any part
in the litigation between the govern
ment and the Southern Pacific; but
we lave been ap%prehensive that in
ease the supreme court should decide
in favor OF the Southern Pacific il
woull Weld to the temptation to route
even more of this San Francisco and
c ntral California traffic in favor Of