The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-12-10
Final Chapter in Famous Rebate
Scandal Written.
Government WillNOt Press Gases
Dismissed by Judge Philips.
SEEM RATHER PLEASED
of Morton in Line
With OpiOiOns of Moody.
Gossip and Matters of Interest
in Railroad Circles.

Washington, Dec. 9.-There is. semi
/ official authority for the statement
that no further action win be taken
by the attorney general of the United
States against the Atchison, Topeka
& Santa Fe railway company and the
/ other railroads concerned in the re-
bate cases which We're dismissed by
Judge Philips in Kansas City last Mon
day. This then will be the final chap
ter in this famous rebate scandal.
/ Though by the decision or Judge
Philips one of the most important
prosecutions recently undertaken by
the government falls to the ground
it is evident that no tears are being
shed over the result at the department
of justice. AS a matter of fact, friends
of Attorney General Moody find in the
opinion of Judge Philips a vindication
OF the attorney general for the course
he pursued towards Paul Morton who
at the time was a member of Presi-
dent RoOseveit's cabinev.
1t will be remembered that Fred
erick n. JudSOn, of st. Louis, and
Judson Harmon, of Cincinnati, special
counsel employed by the attorney gen
eral to investigate the record in the
rebate cases. recommended not only
that proceedings be brought against
/ the Santa Fe corporation, but that
criminal action be begun against
President Ripley of the Santa Fe and
| Paul Morton, the latter having been
vice president and general manager of
| the Santa Fe when the rebates We're
given. In the correspondence be
/ tween Mr.. Moody and Aiessrs. Harmon
and Judson it developed that the pres
ident and the attorney general would
not act on the recommendations or
the special counsel.
At the time Mr.. Moody said: "I do
not find any testimony relating to the
conduct of any save minor officials
and Mr.. Biddle. who may claim to
have obtained immunity by testifying
fully before the commission. For in
stance, there is not a syllable of teSti-
mony that Mr.. Ripley, the president of
the road, or Mr.. Morton, then one of
its vice presidents, had any cOnnec-
ton whatever with the departure from
the published rates in favor of the
Colorado Fuel and Iron company, or
/ that ne knew or suspected that trans
pOrtatiOn was furnished to this COM
pany in any manner different from
that prescribed by the open and pub
lshed rate
Judge Philips took occasion to ex-
press the same view in his opinion.
Attorney General Moody is known to
have taken to heart personally the
widespread hostile criticism of his
course in so bluntly acquitting Morton.
The position taken by Judge Philips
is consequently not unpleasant at all
in the department of justice.
As to what the fate of these Santa
Fe cases may argue upon the ineffi-
cheney of government machinery to
cope with present and future rebating
that is a question upon which the at
tOrney general does not speak just
now. 1t has been suggested that in
all above rebate cases, upon which
the statute of limitations does not
run, and in all others concerning
which Information may be in hand,
district attorneys the country over be
instructed TO bring original criminal
prosecutions. both against responsible
railroad officials and against offending
shippers.
Lawyers familiar with the govern
ment viewpoint find obstacles to this
plan. For one thing, they say that
district attorneys are usually political
appOintees, who might institute actions
for which the government would not
care to be responsible. Then, again
they say that few district attorneys
have the ability TO cope with such liti-
cation.
For the present, accordingly. the
question of handling rebating railroads
and shippers is in allegiance. AS it
stands the department of justice
seems TO have thrown up its hands
and quit.