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Show -RISE TO MONOPOLY IN TRADE, SAY WITNESSES road & Navigation company' water Una to San Franclaco and the Southern Pa clflc'a railroad. At prmnt, they .Wiaiod. they were not solicited to ahlp by any specific "Harriman" lines. Their testimony was corroborate! by T. W. McCusker, a former tariff official of the Southern Pacific afterwa.-d erup'oyed in a similar capacity by the allied lines, who testified that prior to the merger be was instructed to ret all the business he could for the Southern Pacific and after the combination was form Ml he was Instructed to gel certain business for the Southern Pacific and to try to swing other business to the L'nlon Pacific. Henry Hahn of Wadhams & Co.. grocers, gro-cers, was the first witness heard. Mr. H Ann's testimony in effect was that prior to 1901 there was active competition competi-tion between the Southern Pacific and Oregon Railroad & Navigation company freight agents for business, hut sines the combination was effected there had boon no noticeable rivalry between the lines. 1 Mr. Hahn. who has extensive cattle in-, in-, terests in eastern Oregon, was questioned as to the railroad possibilities in that region and said that there were D'l.itf) .. PORT-HAND. Or.. Jan. 25. Portland f merchants differ! only In their phraseology phrase-ology today In testifying before Franklin 'ir-.ne' Utln' the Interstate Commerce Com-merce commission In this city, that It TJf thir conviction that common ownership owner-ship of the Oregon PuUlro&d & Navigation Naviga-tion company, the Onion Pacih- the Oregon Ore-gon Short Line and thi Southern Fa-fi Fa-fi t?. destroyed competition between the Union Pacifie s rail and water i.ncs and the Southern Pacific between Portland Port-land and the East. One witness in addl-un addl-un declared that concentration of n-fr. n-fr. p ct roads had resulted ii tnlr monopolizing the trade of ta-itrn Oregon and that by reason of an ausence - or .competition these railroads had failed to extend their lines, as he thinks they would have been compelled to do if they had continued under separate Management. Manage-ment. This had, in his opinion, retmded the. development of the district mentiied la the "old days," as the wer; called by Counsel Severance for the (ern-ment. (ern-ment. before the ownership was inerted. the Portland men testirWJ ihat 'herr bualness had beT activel.' solicited hv agents of both these lines and that theie , was competition between the Oregon Rail- square miles of territory not lap;?d by Railroads, and that owing to the lack of facilltjes for transportation onH- sufficient suf-ficient grain for home consumption as raised, though the country was capable of raising ordinary grains, potatoes and other products. Edward Newbegin of R. M. Wade & Co . wholesale dealers In agricultural implements, im-plements, testified that prior to the time' the mexger is alleged by the newspapers to have been perfected, his firm shipped a large portion of its freight over the Southern Pacific via Ogden and Sacramento. Sacra-mento. He testified that the Southern Pacific had separate solicitors, as did other roads. Asked as to whether he recalled re-called a shipment that had been diverted at the time the common ownership is declared to have begun, the witness said it was about the time of what he termed "the closing of the Ogden gateway." The firm had ordered freight routed via the Ienver & Rio Grande and the Southern Pacific via Sacramento, but instead it hf.d )een hauled over the Oregon Short Line- and Oregon Railroad & Navigation, without the firm s consent. J. K. Gill of the J. K. Gill company. wholesaJe stationers, remembered that prior to the merger of the lines that some of his freight was shipped by the rail ard water and that now all-rail routing was used. A. W. Montgomery of the same firm explained that water rates were cheaper, whlc.n accounted for the firm's patronizing the steamers. Kdward Ehrman of Mason. Ehrman k Co. ami I. A. Lewis of Allen Lewis, both wholesale grocers, testified to solicitation solici-tation by the Southern Pacific before the merger and to an absence of it a' presr-en presr-en t Thomas McGusker. for several years in the employ of th Southern pacific and later assis'an' general agen' of the allied al-lied linei-. testifies) that while in the em-plnv em-plnv of the Southern Pacific hi" duties w. re to get huinss for the all-rail lines hy way of igden and Sacramento, and that th I'nion Pa, iric and Mregmt Fca!!-r"ad Fca!!-r"ad aici Navigation company formed the s'ro'-get I'oinpetltor previous to the r:c rtre: . |