The sun., 1905-12-13
MOODY'SNEW WAR ON REBATES
ORDERS FEDERAL ATTORNEYS
TO PROSECUTE OFFENDERS.
Urges Them to Try to Secure imprisonment
Instead OF Fines and Would Indlct
Both Shipper and Carrier .-- Advises
Them to OHer Immunity to Witnesses.

WASHINGTON, Dec. IA sweeping order
to the Federal District Attorneys in the
United States has been sent out by Attorney
General Moody with a view Of breaking
up the practice Of railroad rebates.
The attorneys are directed to act upon
their own initiative without waiting for
specific directions from the Attorney
General. They are also instructed to prose-
cute for conspiracy and for punishment
by imprisonment instead Of punishment by
fine wherever possible.
The letter Of the Attorney General, which
bears the date of December 8, follows
AN act entitled To further regulate
commerce among foreign nations and among
the States approved February 10, 1903
(32 Stats, SAD, commonly known as the
Elkins act, is directed against rebates and
other discriminatory practices by common
carriers. 1t makes such practices misde-
meanors and provides for their punishment
by fines. 1t further provides for their pro-
hbiton by the njunctive process OF the
courts. There is no provision thai criminal
prosecution shall be by the special direction
of the Attorney General, but in Section
it is provided that proceedings for injunc-
tion shall be begun whenever the Attorney
General shall direct
You are directed diligently to invest
gate all complaints which may come to
you from any source of violations of this
law, and upon your own initiative to make
Investigations if there appears to you
to be any reasonable ground for suspecting
violations of this law In every case in
which you can secure sufficient evidence
yuil lali eyif Ian n
Jury with a view to securing an indict-
ment. Whenever ii is practicable. 1t Is
desirable that indictments should be re-
turned both against the shipper and the
carrier. In some cases, however, it may
be impossible to obtain sufficient evidence
without the aid of the testimony of one
of the guilty parties to the transaction
In such d case it would be wise to use such
testimony, of course affording to the wit
ness or witnesses immunity from prosecu-
ton.
Under the Elkins law the only penalty
for its violation is a fine. | suggest to you,
in all cases where the evidence would war
rant it, that an indictment for conspiracy
to commit an offence against the United
States, based upon Section $40 of the re-
vised statutes, be obtained. The Supreme
Court has held, in Clune VS.. United States
Q59 U. s., 590-505) that a conspiracy to COM
nit crime, itself punishable only by fine,
may be punished by imprisonment. In
the event of obtaining conviction upon
charge OF conspiracy of this kind, you are
directed to present to the court the desira-
bility of inficting the penalty of imprison-
ment, to the end that these unlawful prac-
tees, which have received almost universal
condemnation, may be discouraged and
prevented as far as existing laws will ao-
complish that result.
Your attention is especially directed
to that part of the act which renders un-
lawful any rebate concession or dscrim-
ination in respect Of the transportation Of
any property in interstate or foreign COM
merce whereby any such property shall
by any device whatever be transported
at less rate than that named in the tariffs
published and fled
Il desire to impress upon you the impor-
tance of using every effort to execute these
directions. You will report to the Depart
ment from time to time any action which
you may take upon this subiection."