The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1899-10-31

PAID NO REBATES.
Testimony in the Oil Case
Against the Penn
sylvania.
CHARLES 4. STERLING'S EVIDENCE
President of National Storage
Emphatically Denies the
Charge.

LlnOlcy GdIE6LSOH t0tiuttlVU
in his Office in the Davidson Building,
this morning, as a Commissioner OF the
Philadelphia Court of Common Pleas In
the case of Ladenburg, Thalman q Co.,
! against the Pennsylvania Railroad Com
pany. The firm, which is a Pennsyivanla
| one, dealing in oil, is suing the railroau
| under the Pennsylvania law, prohibiting
| the discrimination in freight rates Inc
firm claims that the railroad company
| paid rebates to the Standard Oil Com
pany for the purpose of evading the law.
The National Storage Company, which
operates the small railroad from Black
| Tom to the Pennsylvania Railroad COM
many at the Point of Rocks, the
| complafnants claim, were the agents Of
| the Pennsylvania Railroad in the trans
| actions covered by the case and that the
I rebates were paid through that company.
AS the National Storage Company is a
| New Jersey corporation and out of the
jurisdiction of the Pennsylvania courts,
the New Jersey Commissions was APP
pointed.
The first witness this morning was
Charles Sterling. of Orange, President Oh
the National Storage Company. Mr.. J..
w. M. Newlin, of Philadelphia, counsel
for the plaintiffs, subjected Mr.. Sterling
to a rigid examination. He began by
questioning him as to the contracts ex-
sting between his company and the Stan
dard Oil Company
Mr.. Sterling fenced with the lawyer for
some time and then said that he declined
to state anything concerning the busl-
ness Of the National Storage Company
With anyone of its customers or Of any
Of his contracts with the Standard OIL
Company.
Mr.. Newlin asked If the business of the
witnesses mpan with the Standard OH
Company was conducted principally in
New York or New Jersey and he replied
that he didn't recall. Neither could he re-
call either the occasion when or place
where his company made agreements
with the Standard Oil Company. In re-
plv to a further question in this line Mr..
Sterling said
81 decline to answe as it is the private
business of the National Storage Com
pany." $.
To further questions Mr.. Sterling said
that returns were made monthly to the
Pennsylvania Company Oh a printed form.
and the forms on which they were made
were destroyed. After considerable fenc-
ing between counsel and witness, Mr..
Sterling said that these transactions were
entered into a book and that all these
books were destroyed.
Mr.. Newlin then put the question point
blank to Mr.. Sterling whether his COM
pany ever received back from the Penn
sylvania Railroad Company any monies
paid for freight.
MOT one dollar emphatically declared
MI. Sterling. After some other questions
Mr.. Newlin asked if the National Storage
Company had received any money from
the Pennsylvania Railroad Company, and
Mr.. Sterling said:-.I cannot answer lot
the reason you do not state for what
reason or for whom 1t was paid. We had
many transactions with the Pennsylvania
Railroad Company"
! You are not prepared to say then that
money was not paid?'
st am not"
o what account, If any, was It paid?'
IT don't recall, and if I did I would not
tell you, as it is the private business OF
the National Storage Company"
At this point, Mr.. Newlin, addressing
the Commissioner. said:-"It is evident
that the witness does not propose to tell
what he knows, but I will proceed further
and lay the foundation for an attachment
against him and see if he cannot be made
to tell"
The threat had no discernible effect upon
Mr.. Sterling. Mr.. Newlin then questioned
the witness as to certain books he had
been ssbpoenaed to bring will him. and
he said he had caused a search to be
made for the books but they could not be
found.
What are your relations with the
Standard Oil Company" asked Mr.. New
lin.
4 decline to answer said Mr.. Sterling.
'sWhy?r
because your question Is impertinent."
In reply to another question concerning
the payment of rebates to his company
by the Pennsylvania Railroad Company
MIR. Sterling said
'No rebate of freight or its equivalent
in any form or description was paid. and
if it was I would have known IT,"
The case went over for two weeks.