The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-07-01
MOVE ON SANTAFE
Charged With Contempt Before
Federal Court.
Action Is Commenced in Kansas
City, Mo.
RUMOR ABOUT HURD.
To Defend Company, Mr.. Morton
and Mr.. Ripley.
He Enters an Emphatic Denial
Today.
RUMOR ABOUT HURD.

| proceedings against the Atchison, To-
peka and Santa Fe Railway company
charging that company with being gull
ty of violation of an injunction issued
| at Kansas City by Judge F. Philips on
| March "A, 1902, restraining the road
from giving rebates, was filed in the
| United States district court here today
at the instigation of Milton D. Purdy,
of Washington. D. c., assistant attorney
general, who came here recently at the
! direction of attorney general to file the
suit upon behalf of the government.
| Although Judge Philips restraining
order, issued three years ago. was di-
rected against seven other railroad com
panies besides the Atchison, Topeka
and Santa. Fe, the suit filed today is
solely against the latter road The 9TH
er railways enjoined privately by Judge
Philips were the Chicago, Burlington
and Quincy; Chicago and Alton; Mis-
! souri, Pacific; the Wabash; Chicago,
| Milwaukee and St. Paul; Chicago, Rock
| Island ard Pacific and the Chicago
Great Western. A similar injunction
was issued by Judge Grosscup in Chi
! cago on March rs, 1902, against six 9TH
| er roads.
| The suit filed today at the instigation
| of the federal government recites that
/ the Santa Fe railway up to the time in
junction was granted had been engaged
| in the practice of granting unlawful re-
bates, preferential rates and facilities
to certain favored shippers whose
| names were to the complainants I'M
known, on traffic in packing house pro-
ducts, dressed meats, grain and the
| products of grain which were not grant
/ ed to the public generally, and the San
/ ia, Fe railway had also been granting
| unlawful rebates and preferential rates
| and facilities to certain other favored
| shippers, on many other of the principal
| commodities which constituted and
comprised the ordinary necessaries
noting the issuance of the restrain
| ing order on March "a, 1902 says that
between March Is, 1902, and November
ts27. 1904, the Sara Fe railway ana its
| officers and agents unlawfullS and
wrongfully violated and disregarded the
said restraining order. The information
| asserts specifically that the Santa F'e
| favored the Colorado Fuel and Iron
company in giving rates on coal, saying
| it carried the coal of said company "at
/ a less rate than the rates named for
| such services in defendants published
and established schedules, and granted
| and paid rebates to said Colorado Fuel
and Iron company"
| The information asserts that the
/ Atchison, Topeka and Santa Fe railway
is in contempt "for the wjlful and re-
peated violations of said temporary re-
straining order" and asks the federal
| court to cite the companys officials to
appear in court and make answer for
such acts.
Judge Philips did not indicate today
| what action he might take in the mat
| ter.
1t has been reported in Topeka that
| the recent resignation of A. A. Aurd,
general attorney of the Santa Fe rail-
road in Kansas, to become special
counsel of the Santa Fe, has a far
greater significance than for the pur-
| pose of allowing Mr.. Hurd a year in
| which to rest and recuperate from his
recent illness.
/ It is unofficially stated that Mr..
Hurd has been appointed by the Santa
Fe as special counsel to handle the
defense of the Santa Fe railroad in the
| case which has been filed at Kansas
City by M. D. Purdy. assistant to the
attorney general of the United States,
for the prosecution of that corporation
for violating an injunction of the fed
eral court in the matter of the alleged
/ rebates paid tf , the Colorado Fuel &
Iron company, and to also look after
the interests of President E. P. Ripley
and Paul Morton in the trial of the
cases.
Mr.. Hurd emphatically denies that
| there is any truth in the reports. To
reporter for the State journal NE
| Hurd said:
sThe report is without any founda-
ton whatever. AS a matter of fact, I
have not seen or had any coInmunica-
pointment as secretary of the navy
1t will be remembered by those who
followed the hearings of the alleged
| Colorado Fuel and Iron rebate cases
before the members of the Interstate
Commerce commission at Chicago last
winter, that W. B. Biddle, who was
formerly freight traffic manager of the
Santa Fe, but who has since then be-
come third vice-president of the Rock
Island railroad. went on the stand and
/ testified fully in regard to til mat
terS.
The hearing brought out that the
secret tariff sheet which authorized
the payments to the Colorado Fuel and
Iron company, bore the following siii-
struction: This publication is for the
/ information of employees only, and
copies of it must net be given to the
public.''
The tariff was signed by Mr.. Biddle.
as freight traffic manager, and j. E.
German, general freight agent, and
was issued by F. c. Maegley. who was
at that time assistant general freight
agent of the Santa Fe at Topeka.
i In the. lower left hand corner of
the tariff appeared the following IN
parenthesis: Authority No. 5401.''
During the hearing of the testimony
before the Interstate Commerce com
mission at Chicago there was con-.
siderable discussion whether to at
tempt to force the subordinate Off
Ecers whose names were attached to
4 the tariff to produce the Authority
4 No. 5401," authorizing the issuance of
the tariff. 1t was decided at that time
not to try to force the introduction OF
4 the authority in evidence for the rea-
Mr.. Morton's ma me and it was decided
that would be embarrassing in view of
the fact that he was at that time in
President Roosevelt's cabinet as secre-
tary CT the navy.
| Whether Mr. Purdy, in prosecuting
the case against the Santa Fe railroad