Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-07-12
TRUST TOOK REBATES
Sensational ACKNOWLEDGEMENTS
Harvester Trust Made by
Rodney B. Swift
WANTS MILLIONS RETURNED
Claim is Made That the Harvester
Concern Got 100000 Thru Rebates
and Operation of Switching Tracks
Swift Goes Into the Details of
the Transactions.

tho Transactions.
Chicago, July 12.-Another attack
was made late yesterday upon the In
ternational Harvester Company by
Rodney B. Swift, formerly head Of the
experimental department Of the Nc
Cormick branch of the harvester COM
pany. Swifts connection with the
company was severed some months
ago and suit commenced against him
by officials Of the company. who alleg-
ed that he had defrauded them in the
sale of a patent. In his bill filed Tues
day Swift as stakeholder demands
an accounting from the company, and
demands that the court force the COM
pany to cease taking rebates from the
railroad companies and also compel the
company to return to railroads moneys
said by Swift to have been Illegally
exacted from the railroads in the past.
The following railroads are also made
parties to the suit:
Chicago, West Pullman & Southern.
Illinois Northern.
Chicago, Milwaukee & st. Paul.
Chicago & Northwestern.
Illinois Central.
Chicago, Burlington & Quincy.
Santa Fe.
Chicago, Rock Island & Pacific.
Chicago & Alton.
Chicago Great Western.
Wisconsin Central.
How Rates Were Made.
OF the railroads made defendants in
the suit. two the Chicago, West Pull
man & Southern and the Illinois
Northern, are described in the bill al.
legged by Swift, as being the means by
which tribute was. according to the
bill filed by him. exacted from the lar
ger roads in favor Of the harvester
company.
The two roads. Swift asserts, con-
sist principally OF switch tracks. Swift
declares that up to September 80, 1902,
company alone forced the railroads to
pay 1t, thru rebates and the operation
of the Illinois Northern road, sum in
excess Of $3.000,00O. Up to the same
date, the money received in rebates by
the Plano branch OF the harvester
company. thru the agency Of the Chi
cago, West Pullman & Southern Rail-
way, amounted to 100000.
Since September 80, 1902, 1t Is de-
clared that all the other railway COM
panies have been making payments Of
rebates to the International Harvester
Company, under the guise Of an alleg-
ed division of freight rates with the
Illinois Northern company. Swift as
serts that the alleged illegal rebares
made to the International company
since 1902, amount to more than ST.
100000.
Goes; Into Details.
Swift goes into the details Of the
organization Of the International Har-
vester Company, declaring that shortly
after its formation an arrangement
was made between President Cyrus H
Mccormick. Charles Deering, George
w. Perkins and William c. Lane, to
the effect that all of the stock Of the
international comany should be put in
charge Of the first named three men as
trustees for voting purposes until 1912.
Swift demands that the voting agree
ment be terminated by the court.
1t is further disclosed in the bill that
the business Of the international Har-
vester Company is Of an extremely
profitable character. He asserts that
and delivered by the company for $57.
The company receives $95 for them
from agents who in turn sell them for
$125.
1t is stated that the company has by
it's officers taken the position that the
only persons having the right to exam
inc the books Of the company are the
trustees Of the stock, Perkins, McCor-
mick and Deering Swift says that all
his demands for an examination of the
companys books have been refused.
It is further declared that the unlaw-
full course Of the directors Of the cor
poration has damaged the harvester
company to the extent of $5,O00,0O0.
which amount Swift demands the di-
rectors repay to the company.
The injunction demanded by Swift
asks that the court prevent the pur-
chase by the company of any manu-
featuring plants when the purpose of
the purchase is in whole or in part the
suppression of competitions; use of any
money or property by the International
Harvester Company for the defeat of
the enactment of any law by any legis-
lative body in the United States or
elsewhere or for influencing elections,
or the work of taxing bodies; combi-
nation with the Plymouth Cordage
Company for monopoly Of the binder
Irvine trade of the United States.
No time has yet been set for the
hearing of the case in court.