Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-06-12
WESTERN PACKERS
ARE FOUND GUILTY
Of Accepting Concessions From
the c., B. and @. Road
ON EXPORT SHIPMENTS
Of Their Big Packing House
Products.
IN COURT AT KANSAS CITY
The Sentence, by Judge Mcpherson,
is Deferred Until Another Case
is Concluded.
COURT AT KANSAS CITY

Armour q Co., swift q co,
Cudahy & Co. and the Nelson Nor
ris Packing Company were found
guilty in the United States district
court at Kansas City this morning
of accepting concessions from the
Chicago, Burlington and Quincy
railroad on export shipments on
packing house products.
The case was given to the jury at
1910. The verdict was returned at
II:4o.
Judge Smith Mcpherson of Red
Oak, Iowa, the presiding judge,
stated that sentence would not be as
sessed until the case against the
Burlington railway, which is charged
with granting the concession to the
packers, is concluded. The Burling-
tons trial will begin this afternoon.
The law in the present case provides
for a fine only and not a jail SELL
tence.
The government and the attor-
neys for the defendant have prac-
tically agreed upon statement of
facts in the case of the Chicago,
Burlington and Quincy railway.
This case viii go to the jury with
out hearing of witnesses.
KANSAS CITY. June 12-The cases of
the four meat packing companies, charged
with accepting rebates were today given to
the jury in the United States district court
here. A verdict is expected today.
The cases are those of Armour & Com
pany Swift & Company, Cudahy & Com
pany and the Nelson Morris Packing Com
pany They were charged in indictments
returned here last December with accept
Ing from the Burlington railway conces-
sions on shipments from the Kansas City
plants 10 New York for export. The cases
were consolidated for trial purposes The
specific case considered which is practically
identical with the others. is that charging
Cudahy & Company with accepting a rate
OF % cents hundred pounds on a ship
ment of lard to New York for export to
Germany. when the legal tariff then on file
with the interstate commerce commission
was 81 cents. The trial began last week
and after lengthy argument was contin-
ued until this morning, when Judge Smith
Mcpherson of Red Oak. Iowa, the presiding
Judge. instructed the Jury
The present case bears unusual impor-
tance in the list of rebate trials to come up
in this court, for # is the first time that any
concern has been brought to trial before
jury on a charge affecting export rates
applied to the interstate commerce act.
Counsel for the defendants in this trial con-
tended that the court lacked Jurisdiction,
which was overruled by Judge Mcpherson,
and then that when they signed contract
covering the 2S-cent rate II legal. and
that the Burlington later raised its tariff TO
80 cents. Judge McPherson's instructions
to the jury covered the points fully.
Statement by the Court
Judge Mcpherson. In stating the case,
said that, according to the indictment
returned against the defendant, the pack
ing companies signed contract to run
until December 81. 1905. In which the
Burlington railway agreed, with other
connecting railways. to carry packing
house products from the Missouri river
to Germany. billed via New York; that
the rate agreed upon included n rate of
% cents hundred pounds between the
Mississippi river and New York; that
while this contract was in existence the
Burlington railway filed with the inter-
state commerce commission amended
tariff OF 35 cents on these products from
the Mississippi river TO New York and
that the defendant continued to accept
the 23-cent rate after August g. 1905,
when the alleged offense was committed.
Judge Mcpherson says
"'The Constitution OF the United States
gives Congress the power to regulate
commerce between the states and foreign
nations And in the exercise of this
power Congress did enact the two stat
utes of February 4, 1887. and of Febru-
airy 10. 1903, the last being amendatory
of the former.
And the court charges you that In
carrying the products from Kansas City.
trict TO the Atlantic seaboard ports. to be
loaded there on vessels and carried to
European ports, such commerce was with
foreign nations and was such commerce
as is referred to and covered by the two
enactments of Congress mentioned. In this
case the defendant packing company was
both the shipper and the consignee And
In making such shipment from Kansas City.
Kan to, within, through and beyond this
division and judicial district to an At
lantic seaboard port. to be there placed
European port, both the defendant packing
company, the Burlington company and the
connecting lines of railroad, each and ALL
amenable to the two statutes In ques-
ton And II the law has been violated
In the facts in evidence under the inoict-
ment herein then this court has Jurisdiction
to hear and determine the case and render
such Judgment as your verdict and Justice
requires.
md IL such shipment of such packing
house products were made from Kansas
City. Kan, to the European ports as a
through shipment. consigned by the defend
ant packing company at Kansas City. Kan,
TO itself at the European port. and this fact
was so known by the defendant when II
made the shipment, and II this fact was
90 known ut the time by the Burlington