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The Minneapolis journal. (Minneapolis, Minn.) 1888-1939, December 21, 1901, Image 1

Image and text provided by Minnesota Historical Society; Saint Paul, MN

Persistent link: http://chroniclingamerica.loc.gov/lccn/sn83045366/1901-12-21/ed-1/seq-1/

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President's Reason for Cabi-
net Changes.
Cabinet Members Must Cease En-
croaching Upon It.
Violation!* of Civil Service Rules by
Heads* of Department)* \o
Longer Permitted.
J-'rom The Journal Bureau, Room 45, Pott
Building, Washington.
Washington, Dec. 21. —Should there be
a reorganization of the Roosevelt cabinet
along lines suggested in these dispatches
>t--u>rday, it will not indicate any change
in governmental policy. President Roose
velt intends to pursue the McKinley pol
icy, first, because he believes in it, and,
second, because he said publicly at Buf
falo that he would; but he feels that the
president ought to have freer swing in the
departments, now for many years almost
exclusively under control of the cabinet
chiefs, and ought not to be required to
indorse the actions ot these chiefs unless
he sees fit to do so.
For years the authority of the cabinet
has been encroaching on the authority of
the president, and this encroachment was
greatly intensified under the easy-going
administration of President McKinley.
Quite naturally the men who were in Mc-
Kinley's cabinet do not take kindly to a
man who proposes to restore the balance
that originally prevailed between the
president and his official advisers. And
that is about all there is to the case.
There has been no personal friction be
tween the president and the cabinet and
there will be none: The president Is
clearly within the rights of his office in
insisting on reviewing at will the acts of
his advisors and in reserving the privil
ege of ignoring their recommendations.
The fact that for years these rights have
not been exercised does not nullify them.
Men, who under McKinley, were given
practically full authority, naturally do not
relish the idea of curtailment under Mc-
Klnley's successor. And if several of
them, following out a purpose which was
expressed, but for other reasons, during
McKlnley's lifetime, conclude to resign,
their places will promptly be filled and the
general policies of the administration
will remain unchanged. The general pub
lic has nothing at stake In friction which
the past few days has developed, and
probably will indorse the president's In
tention to assume full responsibility for
and have full share in the various impor
portant matters which the cabinet gen
tlemen for a long time have been gradu
ally monopolizing.
Back of this friction, for the most part,
is federal patronage. The chief trouble
with Postmaster General Smith was the
rather loose manner in which he permittorl
postoffice appointments to be made. For
years the civil service law in thi3 depart
ment has been flagrantly and quite open
ly violated. When the civil service blan
ket was thrown over the rural free de
livery force, many people slipped in and
got under cover without any right. This
Drillers Find Boat and Cargo
Special to The Journal.
Sioux City. lowa. Dec. 21.—A bill of shipment from St. Louis of a cargo of hats
caps and shoes for Tootle & Jackson arrived here to-day just forty-five years late'
Ely Brothers of Holt, Mo., in drilling on their farm struck a steamboat and found
it laden with goods for this firm, both of whom died thirty-five years ago. The boat
was buried fifty feet, twenty miles from the Missouri river's present channel. Rec
ords bere show that Tootle & Jackson lost four steamboats about that time.
is but one illustration. Many more could
be furnished if necessary.
Secretary Gage had a grievance because
the president would not indorse in his
message to congress the asset banking
scheme and the Overstreet bill for making
gold and silver controvertible. This legis
lation Gage thought was important. The
president said he thought the country
cared nothing about it. Another trouble
with Secretary Gage was in New York city
federal patronage. The president did not
follow Gage's recommendations. In fact,
he Is understood in at least one instance
to have acted without consulting him. In
the treasury department, also, the civil
service rules on numerous occasions have
been more honored in their breach than in
their observance. Mr. Roosevelt, with hia
intense feeling regarding the civil serv
ice, could not be expected to indorse
cabinet officers who were negligent at this
point. "The best men for public office"
is the president's motto; and that motto
will probably be lived up with
the cabinet, just as it has been
thus far with the senators and
members of congress. Of course, thia
is a new proposition, for few people in
high official life in Washington have tak
en civil service reform seriously; but it is
quite natural that Mr. Roosevelt should
make it with emphasis. He has taken
hold, of certain details heretofore con
trolled by the cabinet expressly for the
purpose of seeing that the spirit of the
law is lived up to. It should be said in
this connection, as further explaining the
feeling of certain cabinet officers, that
they did not relish the criticism implied
by the president's course.
ALLIANCE Friends of the Tawney-
Grout bill in both houses
NOT TO BE. of congress say there i 3
nothing in the report that
there is likely to be an alliance between
the- oleo, ship subsidy and river and har
bor members. Such an alliance would be
all powerful, and nothing could stand
against it, but there are many good rea
sons why it will not be made. In the
first place, so far as the oleo people are
concerned, there is no need for it. The
Tawney-Grout bill has a splendid follow
ing in both houses, and will probably pass
without questionable support such as has
been proposed. It is barely possible that
th«> subsidy folks are anxious for the al
liance, but it always takes two to make
a bargain.
So far as can be known at this time,
the senate committee on agriculture is
pretty evenly divided between the two
forces—oleo and anti-oleo. Of the repub
licans, Proctor, Hansbrough, Foster, Dol
liver and Quarles are supposed to favor
the Tawney-Grout bill. All of the demo
crats, Bate. Money, Heitfield and Simmons
are against it; Warren, a republican, 1b
also against it, because he represents a
cattle state. Here, then, are five votes
for and five against. The eleventh mem
ber of the committee is Senator Quay of
Pennsylvania, who Is being claimed by
both sides; but there are reasons for be
lieving that he is favorable to the bill.
Quay is sick, and. has gone to Florida for
the winter, but he will probably be in
Washington in time for a committee vote
should it be needed.
—W. W. Jermane.
Special to The Journal.
Washington, Dec. 21.—Postmasters ap
pointed to-day: Minnesota—Collis, Trav
erse county. J. E. Murray. lowa^—Chil
licothe, Wapello county, A. E. Belman;
Mark, Davis county, R. B. Andrews.
North Dakota—Donnybrook, Ward county,
Patrick King; Garske, Ramsey county, W.
V. Bake; Glencoe, Emmons county, W. J.
Taylor; Omio, Emmons county, George
Westcott; Standy, Richland county, M.
K. Harris. South Dakota — Ludlow,
Ewing county, Amanda Maoh; Terraville,
Lawrence county, H. O'Connor. Wiscon
sin—Hamlln, Burnett county, Simon Jen
sen; Hempel, St. Croix county, A. O. Spen
cer; Robinson, Walworth county, John
Gavin; Union Mills, lowa county, Sever
New York, Dec. 21. — Mrs. Elizabeth
Dale, who was held in custody at St.
Mary's hospital, Hoboken, pending the re
sult of an investigation into the death of,
her 5-year-old daughter Emmeline, was
released on $5,000 bail to-day.
Governor of Massachusetts Is
Offered Gage's Place
in the Cabinet.
Governor Hesitates, but Is
,P Expected Finally to
A -i_
From The Journal Jiivreau, Jloom 4,5, Post
Building, Washington.
Washington, Dec. 21.—1t is said to-day
on high authority that Governor Crane of
Massachusetts may be secretary of the
treasury if ho will. The president has
made the offer. —w. W. Jermane.
Boston, Dec. 21.—A close friend of Gov
ernor W. Murray Crane to-day stated that
the. governor had been offered the treas
ury portfolio by President Roosevelt and
said the governor had asked for time un
til next Monday, before deciding whether
or not he would accept. A message from
Dalton, Governor Crane's home, received
here to-day says that Governor Crane is
considering the question and is inclined
to accept the position. Family and busi
ness considerations are the cause of the
governor's hesitation.
"Washington, Dec. While no official
confirmation can be obtained at the White
House, it is believed that President Roose
velt has offered the treasury portfolio to
Governor Crane of Massachusetts and the
latter now has the tender under advise
ment. One of the difficulties in the way of
Governor Crane's acceptance is under
stood to be his connection with the com
pany at DaltoD, Mass., which furnishes 1
the paper for government notes. This
paper is prepared by a secret process, and
the government's contract with the Dal
ton company is a large one. Should Gov
ernor Crane accept the treasury port
folio, it is considered probable that he
would dispose of his interest in the paper
New JTorh Sun Special Service
Washington, Dec. 21.— Winthrop Murray
Crane, governor of Massachusetts was
a caller at the White House yesterday
and breakfasted with the president. The
significance of Mr. Crane's early break
fast at the White House is that he may
have caught there the secretaryship of
the treasury, if not for himself then for
some ether good New England republican.
President Roosevelt has determined to
go to that section of the country for a
successor to Secretary Gage, and for sev
eral days he has been asking New Eng
land congressmen about Governor Crane
and about other New Englanders who
have special qualifications as business
men and financiers. In his search the
name of Governor Crane was suggested j
or came to him and he was at once in
vited to Washington. The result of the
conference was that Governor Crane now
has under consideration the question of
whether he could so arrange his politi
cal and business affairs as to accept the
secretaryship of the treasury if it should
be formally offered to him. The few per
sons who knew of his visit here and its
import have the impression that the gov
ernor will succeed in doing this.
Mr, Crane is an able business man and
a politician of the Henry G. Payne order.
He is to be inaugurated for his second
term as governor Jan. 1, but that cere
mony would not necessarily be Interfered
with if it should be decided that he is
to go into the cabinet, as Secretary
Gage's formal resignation is not yet
handed in and could be made to take effect
at such time as would be agreeable to
Governor Crane and his political obliga
Mrs. Ruble's Clothes Caught Fire
While Preparing Supper.
Special to The Journal.
Mason City, lowa, Dec. 21.—While put
ting cobs in the stove to prepare supper
i last night, Mrs. . Charles Ruble of Swale-
I dale, was burned to a crisp. ; :.
Austrian Count's Three Hours at
Cards Very Costly. ,
Vienna, Dec. 21.—1n. the Vienna Jockey
club Count Potooki lost $500,000 ; during
three hours' card playing. Count Palla
i vincini won most oX the money, ,
> ■■;"■■■•■'.■■■
> . , • • ■ n
> Secretary Approves Schley
I Court's Findings. :
> ■■
> ,— _ I .
> Attorney Rayner Mentions Arbi
> ■ ■..■•■
--> trarlness and Tyranny.
> ■■' '*■' - ' "-*. -: ''. .■'' -■•■*..,'.' . '."•*■'■ j
> .. ; .--_ '•■■■' ■ ; —■ «
>. . ;
> :
' Admiral Schley Will Appeal to the
- . President to Appoint Such
I a. Body.
' Washington, Dec. 21.—Secretary Long
■ has disposed finally of the Schley case
' so far as the navy department is con
• cerned, by acting upon the findings and
' conclusions of the court of inquiry. These
> i are the secretary's words:
[; The department has read the testimony in
, this case, the . arguments of counsel at the
, ! trial, the court's findings of fact, opinion
• ■ and recommendation; the individual memo
• ; randum of the presiding member; the state-
ruent of exceptions to the said finding and
\ opinion by the applicant; the reply to said
. . statement by the judge advocate of the court
■ ■ and his associate and the brief this day sub
' mitted by counsel for Rear Admiral Samp
' son, traversing the presiding member's view
, as to who was in command at the battle of
i Santiago.
And after careful consideration the findings
' of fact and opinion of the full court are ap
' proved. ' .
As to the points on which the presiding
| member differs 1 from : the majority of the
■ ' court, the opinion of the majority is ap
' j proved.
[ I As to the further expression of his views
, by the same member with regard to the
question of command on the morning of July
j3, 1898, and of the title to. credit for - the
' I ensuing victory, the conduct of ; the court in
making no finding and rendering no opinion
, on these questions is approved— indeed it
I could with propriety take no other course—
1 evidence on these questions during the in
| quiry having been excluded by the court.
The department approves the recommenda
tion of "the court that no further proceed
ings be had in the premises. The department
records its appreciation of the arduous labors
of the whole court. —John D. Long,
Secretary of .the Xaty.
The secretary also has declined the ap
plication of Admiral Sampson's counsel to
enter upon an inquiry into the question
of command and has notified Admiral
Schley's counsel of that fact as a reason
for declining to hear them on that point.
The text of the secretary's letter to Ad
miral Sampson's attorneys end; to Ad
miral Schley follows:
Washington, D. C, Dec. 20, Gentle
men: In view of the department's approval,
this day, of the recommendation "of the court
of inquiry in the case of .Rear Admiral Schley,
that no further proc ■■'"■■ o , be had. ■ and .of
the fact^tfaut the (T&p*ticii of -command was
excluded from consideration by the court, the
department will take no action upon the
brief filed by you in behalf of Rear Admiral
William T. Sampson.' Very respectfully,
" - —John D. Long, Secretary.
Messrs. Stayton, Campbell & Theall, New
Long to Schley. ,
Following is the text of the notice to
Admiral Schley:
Washington, Dec. 21, 1901.—Sir: Referring
to the department's letter of the 13th inst.,
you are advised that action has been taken
to-day upon the findings and recommendation*
of the court of inquiry in your case and upon
the minority opinion of the presiding officer
and upon the indorsement indorsing such ac
tion is herewith transmitted for your informa
In response to your request of 18th inst.,
and hereby acknowledged, that if a protest
should be filed by Rear Admiral W. T. Samp
son, relative to the question of command of
the United States naval -forces during the
battle of Santiago and credit for the victory I
of that battle, you be accorded an opportunity
to answer through your counsel or oral argu
ment against such protest, you are advised
that a .brief on this subject has' this day been
filed by Messrs. Stayton, Campbell & Stay
ton in behalf of Admiral Sampson.
In view, however, of the department's ap
proval of the recommendation of the court of
inquiry that no further proceedings be had,
and of the fact that the question of com
mand was excluded from consideration by
the court, no action will be taken upon said
brief, and reply to that effect (copy in
closed) has this day been made to counsel for
Admiral Sampson. Very respectfully,
• —John D. Long, Secretary.
Rear Admiral Winfleld S. Schley, U. S. N.,
retired, Washington, D. C.
Admiral Scliley Will Request the
President to Appoint One.
If etc Ttorie Sun Special S*rvio»
Washington, Dec. 21. — Admiral Schlej
has determined on another move in his
endeavor to offset the effect of the ad
verse conclusions of Admirals Dewey,
Benham and Ramsay. Incidentally this
is intended obviously to keep his name
before the public.
Realizing that his petition for a rehear
ing will be denied by the secretary of the
navy, he has decided, according to an
announcement made from • Schley head
quarters, to appeal to President Roose
velt to sanction the appointment of a
board of arbitration to pass on his case,
the board's decision to be final. The
scheme calls for the selection of three ar
bitratorsone by President Roosevelt,
one by Admiral Sampson and one by Ad
miral Schley. They are to review all the
evidence of the court of inquiry and hear
further evidence bearing on the conduct
of Admiral . Sampson in the war with
Spain. When they have done this they
are to report fully their findings and
opinion, from which there shall be no ap
| It is safe to say that this appeal will be
rejected. If its purpose is to get Mr.
Roosevelt on record on the Schley case,
Admiral Schley will be successful.- Should i
congress pass the bill promoting Samp- '
son, Schley and Captain Clark to the
grade of vice admiral it will be vetoed by
President Roosevelt for the reason that it
seeks to interfere with the exclusive
right of the executive to make nomina
tions and "by and with the advice and
consent of the senate" to make appoint
ments. No president has ever permitted
congress to infronge on this right.
Admiral Sampson's friends and support
ers in the navy are indignant over the
attempt of Admiral Schley and. his ad
visers to secure reward for that officer
through the sympathy felt for Admiral.
Sampson. The bill which proposes to pro
mote Sampson, Schley and Clark was pre
pared by the Maryland delegation in con
gress and is intended to take the place
of the other measures which were framed
at the dinner given here this week by
General Felix Agnus of the Baltimore
Continued on Second Page.
The President of the Northern Securities Co.
Makes a Detailed Statement of Condi
tions Leading to Present Situation.
He Intimates That He and Morgan Saved the
N. P. From Baneful Domination of Har
riman Interests-Battle of Giants.
James X Hill, president of the North
ern Securities company, to-day issued a
statement to the press embodying the pur
poses of the Northern Securities com
pany and the events which led to its for
mation. He makes an important point
in the fact that the threatened Union Pa
cific domination of Northern Pacific af
fairs would have been detrimental to the
interests of the northwest. He states
flatly that the Northern Securities com
pany and its plans do not tend in any way
to a consolidation of the properties. His
statement, in full, is as follows:
"I have been absent from Minnesota for
more than two months, and during that
time there has been a wide discussion
throughout the state of what has been
generally called a consolidation or a
merger of the Northern Pacific and Great
Northern railroads, and in this discussion
statements have been made which are so
widely different from the facts that I feel
called upon to make a conservative state
ment of just what has been done in the
past and what will be done in the future.
"When the Northern Pacific failed and
the banking-house of J. P. Morgan & Co.
reorganized it, myself and frien&w were
holders of a large amount of the com
pany's securities. After the reorganiza
tion was completed we bought about $26,
--000,000 of Northern Pacific stock, both
common and preferred. Some of this
stock was afterward sold, but a large
amount has been held from that time to
the present.
Burlington Purchase Explained.
"About a year ago the Union Pacific
company bought the Huntington and other
interests in the Northern Pacific and at
the same time made an effort to buy the
control of ,the Chicago, Burlington &
"With these lines in the hands of the
Union Pacific interest, both the Northern
Pacific and Great Northern could be
largely shut out of the states of Nebraska,
Kansas, Missouri, South Dakota, lowa,
Illinois and Wisconsin, except by using
other lines of railway, some of which
were in the market for sale, and might at
any time pass under the control of or be
come joined with the Union Pacific inter
ests. We then, of the Northern Pacific,
made proposals to .the directors of the
Burlington to buy their entire property.
When this transaction was about Being
closed, the people who represented the
Union Pacific company, and who had pre
viously tried to buy the Burlington, asked
to be allowed .to share with us in the pur
chase of that company. This proposal we
refused for the reason that it would" de
feat our object in buying the Burlington,
and further it was against the law of
several of the states in which the longest
mileage of the Burlington was located.
Union Pacific's Bold Move.
At that time, against the oposition of
more southern lines, both the Northern
Pacific and Great Northern had put into
effect a low colonization rate and were
carrying daily thousands of people into
the northwest, many of whom were com
ing from Kansas and Nebraska along the
lines of the Union Pacific. This move
ment was at its height in the month of
April and though after we had closed the
purchase of the Burlington the Union
Pacific people undertook the boldest ef
fort that ever was made in this country
and bought over $60,000,000 of stock of the
Northern Pacific in the markets of
Europe and the United States. I was in
Panama Canal Co. Bound to Sell
Paris, Deo. 21.—At a meeting of the board of the directors of the Panama Canal
company, Thursday, President Hutin and M. Chorron, the director of works, re
signed. The report presented at the general meeting of the shareholders of the
company here this afternoon reviews the negotiations for the sale of the canal
property to the United States and says:
The decision of the isthmian commission was evidently due to a mis
understanding which must be dissipated. We shall ask you to give us
full powers to negotiate with the government of the United States
under the reserve of submitting for your approval the figure upon which
the representatives of the American government agreed and the manda
tory to whom we shall entrust the continuance of the negotiations.
Our negotiator will be instructed to notify the American government that
we are prepared to set aside the valuations which have been considered
as the price asked and which have been Judged unacceptable, and we
offer to take as a basis and point of departure of the discussion we so
licit, and which we believe will not be refused, the figures and declara
tions contained in the conclusions of the isthmian commission's report.
We shall, however, give our mandatory power to close the discussion
by proposing a fixed price. We hope this simple, categorical offer will
exercise a favorable influence upon the future negotiations.
We regret that M. Hutin and M. Chorron have separated themselves
from us in this question by their resignations, which have been ac
cepted. M. P. Forot, the former controller general of the army, and
M. Bourgeois, the former receiver of finances, will replace them.
After an uproarious session, the shareholders almost unanimously voted to
adopt the proposition set forth in the report empowering the board to conclude
the sale and cession to the United States of all the Panama Canal company's prop
erties, subject to the limitations specified above.
New York at the time, and after Messrs.
Morgan & Co. were aware of the action
of the Union Pacific people, it was found
that together we held about $26,000,000 of
Northern Pacific common stock, and, in
asmuch as the common stock by a right of
a contract made with the preferred stock
holders when the company was reorgan
ized and the stock issued, had the priv
ilege of paying off the preferred stock
at par on the first day of January of any
year until 1917, Messrs. Morgan & Co.
then bought in London and New York
about $16,000,000 of the common stock of
the Northern Pacific."
U. P. Domination Feared.
"At the same time the Union Pacific
interests, having already so large an in
vestment, bid the stock up until there was
the largest stock corner ever known. The
common stock in three or four days went
up to $1,000 per shaVe. I explained to my
friends how that, with control of the
Northern Pacific, the Union Pacific wouldi
control the entire northwest and of the
west from Mexico to the Canadian line,
except for the Great Northern. So great
was this effort to get control that one of
my friends in London, who owned $2,000,
--000 or Northern Pacific common, was of
fered end refused $14,000,000 for hia
"The result was that Messrs. Morgan
& Co. and ourselves «wned 42,000,000 out
of 80,000,000 of the Northern Pacific com
mon with the privilege of paying off the
$75,000,000 of Northern Pacific preferred.
The Union Pacific people owned $37,000,000
of the common and about $40,000,000 of the
preferred, which was a clear majority of
all the stock of the Northern Pacific and
claimed the exclusive control of the
Northern Pacific railway and their owner
ship and control of one-half the Bur
When it was known that these preferred
shares could and would be paid off and
before the annual election, mutual nego
tiations resulted in Mr. Morgan giving
them a representation on the Northern
Pacific board. When I was advised of my
election I notified them that I could not
legally act as a director of the Northern
Pacific and Great Northern at the same
time, and I resigned after the first meet
ing of the board.
Genesis of Northern Securities Co.
"Several of the gentlemen who have
long been interested in the Great North
ern and its predecessor, the St. Paul,
Minneapolis & Manitoba, and who have
always been among its largest share hold
era but not the holders of a majority of
its stock, whose ages are from 70 to 86
years, have desired to combine Jheir in
dividual holdings in corporate form and
in that way secure permanent protection
for their interests and a continuance of
the policy and mangement which has done
so much for the development of the north
west and the enhancement of their own
property in the northwest and as else
where. Out of this desire has grown the
Northern Securities company. It became
necessary (in order to prevent the North
ern Pacific from passing under the con
trol of the Union Pacific interests and
with it the Joint control of the Burling
ton) to pay off the 75,000 of Northern Pa
cific preferred. The enormous amount
of cash required for this purpose from a
comparatively small number of men made
it necessary for them to act together In
a large and. permanent manner, through
the medium of a corporation, and the
Northern Securities company afforded
thorn the means of accomplishing this
object without the necessity of asking a
separate company to finance the trans
actions for the Northern Pacific; while, at
the same time, the credit of the North
ern Securities company would be much
stronger aa it would also hold a credit
able amount of Great Northern and other
The Northern Securities company is or- .
ganized to deal in hlgh-clas saecurlties,
to hold the same for the benefit of its
share-holders and to advance the inter
ests of the corporations whose securities
it owns. Its powers do not include the
operation of railroads, banking, mining
nor the buying or sellng of securities or
propertias for others on commission; it
is purely an investment company and the
object of its creation is simply to enable
those who hold its stock to continue them
respective interests in association to
gether and to prevent such Interests from
being scattered by death or otherwise;
to provide against such attacks as had)
ben made upon the Northern Pacific by
a rival and competing interest whose main
pased, the gentleman in charge started o
investment was hundreds of miles from
the northwest and whose only object in
buying control of the Northern Pacific was
to benefit their southern properties by re
straining the growth of the country be
tween Liake Superior and Puget sound and
by turning away from the northern lines
the oriental traffic which must follow,
placing on the Pacific ocean of the largest
ships of the world.
Effect on Public Interests.
"The foregoing is a brief and absolute
ly correct statement of whole subject and
its truth can easily be verified by th«
state of Minnesota or any other state or
person having sufficient interest to inves
tigate the facts which are all matters of
"Now, as to the effect of what has been
done upon the public interests of tn«
country; let me ask a few questions which,
I want every candid and honest man to
answer for himself.
: Did the Union Pacific people :
: with their railway lines extend- :
: ing from Omaha and New Orleans :
: to California and Oregon, through :
: the several states in the middle :
: west and south, purchase a ma- :
": jority of the stock of the North- :
: em Pacific company for the pur- :
: pose of aiding that company, and :
: increasing the growth and pros- :
: perity of the northern country, or :
: was it for the purpose of restrict- :
: ing such growth and aiding the :
: development of their enormous :
: interests hundreds of miles to the :
: south? :
: Did they purchase the Northern :
: Pacific and its Interest in the Bur- :
: llngton for the purpose of build- :
: ing up the Asiatic trade between :
: the northern zone lying from St. :
: Paul and Minneapolis to the Pa- :
: ciflc coast, or in order to control :
: the Oriental trade for their own :
: southern railway lines through :
: their own seaports, over their :
: own Bhips? t
Thinks His Action Helpful.
"In defeating their control of thel
Northern Pacific and retaining in the
hands of those who had built it up and
with it the entire northwest, did we
Injure or benefit the people of the north
"Did I by inducing my friends to hold
their Northern Pacific comtmon stock and
act jointly with Messrs. Morgan & Co.
when this stock was selling at 600 to
$1,000 a share, thus preventing the Union
Pacific from controlling the northwest, in
jure or benefit every interest, agricultural,
business and otherwise of the entire coun
try between Lake Superior and the Pacific
"Had we sold our 20,000,000 of North
ern Pacific even at $300 a share, amount*
ing to $60,000,000, or nearly forty mil
lions more than its present value, and
transferred to the Union Pacific control
of the entire country between Canada and
Mexico, what law of Minnesota would wo
have violated? Could we nit"legally have
put the money in our pockets and let the
country learn what it was to be dominated
by a parallel and competing railroad?
"Why did Governor Van Sant sit still
from May until November while a major
ity of the stock of the Northern Pacific
company was controlled by "a parallel
and competing railway company in clear
opposition, until myself and friends have,
by our efforts and with our own money,
relieved the northwest, not as a rival
parallel or competing railway, but doing
what we clearly have the right to do as
individuals or working together for
greater permanency and security as a
financial corporation?
"Has there ever been a case in the his«
tory of this country when men hava
dropped their money profit and stood as
firmly by the interests of the communl
ties which had grown up with their own
and largely by their own efforts and capi«
Not a "Consolidation."
"The public Is Interested in having a
good railway service and at fair and rea
sonable rates. The past is gone ana
speaks for itself; I can speak for the fu«
ture, and I have no hesitation whatever
in saying that the increased volume of
traffic both through and local will enable
the companies to reduce their rates In
sroporttoß to th» volume of such traflt

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