Vilas County news. [volume] (Eagle River, Vilas County, Wis.) 1896-1927, 1905-07-17
AGAIN ATTACKS
HARVESTER TRUST
FORMER MCCORMICK OFFICIAL
BRINGS SUIT.
MILLIONS IN REBATES
Railroads Held Up for Vast Sums by
Machinery Combination - Exorbi-
tant Price Charged for Binders
Four Men Voted understanding
and Return of Money Demanded.

Chicago, July 12.-Another attack
was made yesterday afternoon upon
the International Harvester Co. by
Rodney B. Swift, formerly head of the
experimental department of the Nc
ormick branch of the harvester COM
pany. Swift's connection with the
company was severed some months
ago, and a suit was commenced against
him by the company officials, who al
legged that he hal defrauded them in
the sale of a patent. In his bill, Swift
as a stockholder, demands an account
ing from the company ana demands
that the court force the company to
cease taking rebates from railroad
companies and compel the company to
return to the railroads moneys said
by Swift to have been illegally exact
ed in the past The following roads
are ma lie parties to the suit: Chicago,
West Pullman & Southern; Illinois
Northern; Milwaukee; Northwestern;
Illinois Central; Burlington; Santa
Fe, Rock Island, Chicago & Alton;
Great Western, wisconsin Central.
Two of these roads, the Chicago,
West Pullman & Southern, and the
Illinois Northern, are described in
Swift's bill as being the concerns by
which tribute was exacted from the
larger roads in favor of the harvester
company. The two roads. Swift as
s1,ts, consist principally Of switch
tracks. Swift declares that UP to Sep
tember 80, 1902, the Mccormick
branch Of the harvester company alone
forced the railroads to pay it, through
rebates and the operation of the ILL
nois Northern road, over $4,000, 600.
Up to the same late the money re-
ceived in rebates by the Plano branch
of the harvester company, through the
agency of the Chicago, West Pullman
G. Southern roalroad, amounted to
100000.
Since September 80, 1902, it is de-
clared all the other railway companies
have been paying rebates to the har-
vester company under the guise OF al
legged division of freight rates with
the Illinois Northern. Swift asserts
that alleged illegal rebates made to
the International company since 1902
exceed $1,O0O,OOO. He goes into the
details of the organization Of the Inter-
national Harvester Co., declaring that
shortly after it's formation an arrange
nlent was male by Charles Deering,
CYRUS H. Mccormick, George w. Per-
kins and William G.. Lane, that all the
stock of the International company be
put in charge Of the first named three
men as trustees for voting purposes
until 1912. Swift demands that the
agreement be terminated by the court.
It is further declared that the bust
ness of the harvester company is OF
an extremely profitable character. He
asserts that harvesting machines can
be made and delivered by the COM
pany for $57, but the company receives
s95 for them from agents. who in turn
sell them for $125. 1t is stated that
the company officers have taken the
position that the only persons having
the right to examine the books of the
company are the trustees Of the stock
Perkins, Mccormick, Lane and
Deering. Swift says that all his de-
mands for examination Of the COM
pany's books have been refused. 1t is
further declared that the unlawful
course of the directors for the corpor--
alton has damaged the harvester COM
pany to the extent of $5,OOO,OOO, which
amount Swift demands that the direct
ors repay to the company,
The injunction demanded by swift
asks the court to prevent the purchase
by the company of any manufacturing
plants when the purpose OF the pur-
chase is the suppression OF competl-
ton: the use of any money or proper
Nv by the harvester company Tor the
defeat of the enactment of any law by
~ legislative body in tho United
States or elsewhere, or for corruptly
infuencing elections of the work or
taxing bodies, or connection with the
Plymouth Cordage company for mo-
noDolv for binder Irvine Of the trade OF
the United States.