The independent. [volume] (Lincoln, Neb.) 1902-1907, 1905-02-23

an agreement was well known to be a
direct violation of the interstate COM
merce act. Under the decisions of the
courts it was also violation Of the
Sherman act. In the orange rate case,
three years later, an officer of the
Southern Pacific denied that there had
been an agreement. Mr.. Morton tes-
titled that the two companies there
were no others doing business in south
ern California; co-operated in making
contracts with private car lines. There
is necessarily" said he "a great deal
of cooperation between us" Ii his
signature was wrongfully published in
connection with what is alleged to be
copy of an unlawful pooling agree
ment he should have said so last week.
One year ago Jan 10, 1904 the COM
mission made decision in a case
brought before it by certain manufac-
turers of salt at Hutchinson, Kan.
who complained that they had virtu-
ally been driven out of business by re-
bates which the Atchison road had
given to salt company controlled
III.
In a recent volume of the commission S
reports the record may be found. Joy
Morton was president of the salt COM
pany and Mark Morton it's treasurer.
A siding, or spur track, in all less than
5000 feet, connected the Atchison line
with the mills. Owning this side track,
the salt makers incorporated it under
no of hn INT
kansas River Railroad company, of
which Joy Morton was president and
Mark Morton treasurer. They had
neither locomotive nor a car. But
with the Atchison (of which Paul Nor
ton was vice president) they were abls
to make traffic agreement which al
lotted to these 5000 feet of side track
about rs per cent of the freight charges
on salt. This disguised rebate amount
ed to so cents ton on salt to Kansas
City, 235 miles, the full rate being
81. Therefore the Morton brothers were
easily able to undersell their Hutchin-
son competitors at Kansas City and
other markets, and they did so under
sell them with the great beef COM
panies at Kansas City and Omaha and
st. Joseph.
"a mere subterfuge to give conces-
sion in rates, and therefore unlawful, =
was the decision of the commission,
which brought the evidence to the at
tention of the district attorney, ex-
planning that he was required to prose-
cutie such violations under the direc-
ton of the attorney general" Secre-
tary Morton has declined to discuss
this case Commissioner Prouty re-
marks that for five years past the At
Gibson has been guilty of deliberate
extensive, persistent and fragrant vio-
lations of the statutes
Mr. Morton has testified frankly be-
fore the commission and il court. In
1901 he admitted that his company's re-
bate agreement with the beef COM
panies was illegal. Eve knew that it
was" In the grain rate inquiry (fol-
lowed by injunetions) he explained that
the published rates were disregarded
by his company and all it's competitors
Testifying in the orange rate case in
California, he said:
eve tried the costly experiment of
being honest in this thing-living up
to the law as we understood it, and de-
Ginning to pay rebates; and we lost so
much business that we found we had
to do as the Romans did,
In public statements he has recently
urged that carriers or shippers guilty
Of giving rebates or preferences "by
any device" should be severely pun
ished.
We do not question the sincerity of
the expressed disapproval of such in
Justice and such violations of the law
But, being member of the cabinet,
and as he says, having consented to
assist the president in procuring leg
islation in accord with the latter's rail
way policy, he owes to the administra-
ton and the public full and frank
explanation of all the transactions, al,
legged to have been unlawful or unjust,
with which he has been connected by
official reports, other publications, and
his own testimony. Such an explana-
ton should be made at once.
1t is also Mr. Morton's duty to con-
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