The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1905-07-02
BEEF PACKERS
ARE INDICTED
CONTINUED from Pace 1.

pay an ANTE" of so much per hundred
weight. according TO the territory in
/ Wnsch the matter occurred. into a pool
| to cover the excess OF sales. and this
I fund was divided among the packers
who fell short on their sales.
Sixth, certain corporations, namely,
the aetna Trading company and the
Oppenhe1mer Manufacturing company
were to be appointed exclusive agents
or the defendants to handle the sausage
castings and containers and these COM
panles were to make arrangements
with the several concerns which had
/ been handling such merchandise in the
markets of the world for working in
/ harmony and controlling the output
and price of the merchandise. This
scheme involved the destruction or
whenever the supply was too great.
Small Packers Taken Care Of.
The Kenwood company. another cor
pOration. was to handle cleo oils and
products on substantially the same
lines excepting that there was to be no
destruction of these commodities
These agents Of the packers were also
TO make contracts with small packing
concerns throughout the country for
taking their output of castings, and
these castings were either 10 be
destroyed or handled in connection
with the goods of the packers.
The fourth count charges that the
same matters mentioned IN the tnlIu
count as being in restraint OF trade
and commerce constituted an offense
on the part of packers to monOpOlize
such trade and commerce.
The fifth count specifically covers
the handling of the by products cas-
ings and containers. OleO stocks.
stearine. and oils and describes a con-
spiracy in restraint of trade TO be eff
fective in the same way as set forth i'm
the third count with reference to all of
the product mentioned.
The sixth count charges the casing
conspiracy TO be an attempt to mOnOpO-
lie trade and commerce in that COM
in the United States and in
foreign countries.
Competition Destroyed.
The seventh count sets forth the par
ucuiarS concerning the organization OF
the National Packing company. and
charges that the object and effect of
that organization was TO destroy COM
petition not only between the packers
who were interested in the National
Packing company, but between the ten
small other packing companies which
were consolidated by the device of or
ganizing the National Packing COM
pany. and this is described as con-
spiracy i'm restraint of trade and COM
merce.
The eighth count makes out the or
ganization of the National Packing
company to be an attempt TO mOnOpO-
lie the same trade and commerce. The
tenth count relates to similar actions
i'm connection with meats and by-prod-
Ucts.
Accepted Rebates.
The Indictment against Messrs. We'll.
Cusey. Todd and Skipworth of the
Schwarzchild & Sulzberger company
charges that on the third day of Feb
ruary. 1903. the four men cOnspiTed with
oth 70 10 70
an Offense against the United States by
soliciting and accepting for the
Schwarzchild & Sulzberger company
from certain railroads large sums of
money as rebates of the money paid
and to be paid by SchWaTZchild & SulZ-
berger for the transportation of goods.
A specific case was mentioned against
CuSey as having occurred on jan p.
1904 when ii is said he presented to the
Michigan Central a claim for rebates
in favor of SchWarZchild & SuIZberger,
which claim was numbered 1858 by the
packing company, and 1877, 259 by the
Michigan Central, amounting to 81,
1850. A number of other cases similar
in character were mentioned against
Cusey and the other three men, APP
pended to the indictment was a copy
of a letter alleged to have been writ
ten May 10, 1904, by CuSey to Assistant
General Freight Agent Birchett of the
Mobile & Ohio. in which he declared
lIlaL SuCn business as ScnWaEZCnllQ q
SulZberger had been giving the railroad
had been diverted until the company
received more consideration from the
railroad.
Assistant Attorney General o. H.
Pagin said in explanation of the fndict-
ment:
Based on Sherman Law.
1.-THE indictments are based upon the
act of congress approved July ? 1890,
popularity known as the Sherman anti
trust law The first section of this act
makes il an Offense for any person or
corporation to engage in any cOmbina-
ton in the form of trusts or otherwise.
or conspiracy in restraint of trade or
among the several states, or
with foreign nations. Section makes
it an offense to mOnOpOlze or attempt
to mOnOpOliZe any part of such trade or
commerce. The penalty under each
section in case of conviction is a fine
not exceeding $4,000 or Imprisonment
not exceeding one year, or both, i'm the
discretion of the court. Of course. "A
corporation could not be imprisoned.
and in this direction the punishment
by fine is all that can apply. In all
other respects corporations which are
artificial persons stand in the same at
titude as individuals under the law
A Question Not Settled.
THE question as to what constitutes
include in the definition of a
trust the idea of placing stocks of diff
ferent corpora tone in the hands of an
other corporation to be held in trust
and managed without the interference
of the separate corporations which are
thus put i'm combination. II this is the
correct definition of trust the indict-
ment i'm this case does not charge the
defendants with having formed trust,
there being no allegation that the
stocks of the large packing companies
are held in trust for the purposes of
1t is true that the stock
of ten smaller packing concerns previ-
OuSly running in opposition to the big
packers was bought up by individuals
connected with the big packing corpo-
rations and placed with another corpo-
ration organized for the purpose of
holding these stOcks-the National
company; but this indictment
makes no direct charge against the Ma
tiOnal Packing company or any of its
officers, except such as were officers of
the big packing companies
Bail for defendants was fixed at $1,000,
which they will furnish. The cases
probably will not be tried until autumn.