The Chanute times. [volume] (Chanute, Kan.) 1897-1913, 1906-07-27
NO INDICTMENTS.
Federal Grand Jury at Cleveland
Found 1t Had No Jurisdiction
7 Over Alleged Offenses.
GOT IMPORTANT EVIDENCE.
Prosecutions Based on the Facts Es-
tnbIisked VIII BE Commenced
Probably in ChicnEO-District
Attorneys Statement.

Cleveland, O., July 19.-The federal
grand jury which has been in session
here investigating alleged violations
of the interstate commerce laws and
anti-railroad rebate laws. adjourned
Tuesday Afternoon without bringing
any indictments. The investigation
was directed particularly against the
Standard Oil company and the Lake
Shore railroad company and was the
result of testimony of witnesses before
the interstate commerce commission
here recently in which evidence OF al
legged rebating by the Lake Shore in
favor of the Standard Oil company
was given The failure to return in
dictments, it is officially stated, was
due to the fact that the investigation
developed the fact that the court here
was without jurisdiction of the alleged
offenses upon which testimony was
given, and all of the evidence secured
here is to be transferred to the federal
officials at Chicago, where the cases
are to be prosecuted. Following the
discharge of the grand jury Tuesday
which, made no report District Attor-
ney Sullivan gave out the following
statement:
ION Monday, Attorney General
Moody and myself met in the United
States attorneys office in New York
city and reviewed the evidence
brought before the present grand
Jury relative to alleged violations
of the federal law by the Standard
Oil company in connection with the
transportation and storage of its pro-
duct by the Lake Shore 4 Michigan
Southern railway company We came
to the conclusion that the aforesaid
testimony fixed the legal jurisdiction
of the Northern District OF Ohio, and
Special Counsel Oliver E. Pagin con-
firms our Joint opinion in this re-
spect. and thus confined the inquiry
before the present grand jury to an
Investigation of all alleged violations
of law, as they might be the subject
prosecution in other jurisdictions.
Evidence valuable to the govern
ment in any prosecution which may
be commenced elsewhere has been
adduced before the grand jury, and
will probably at once be put into
force and effect in the proper juris-
diction probably Chicago, by the at
torney general.
"The attorney general has directed
that the summing up of the evidence
taken before the present grand jury,
the preparation of the case and the
conduct of the trial in Chicago, be
assumed by myself, with the help OF
a specially appointed assistant attor-
ney general and the United States at
torney in Chicago.
at appearing from this statement
that under the facts as they now APP
pear there is no lawful jurisdiction
In this particular judicial district,
1he grand jury did not vote upon the
question of indictments at all but
the sitting of that body at the pres
ent time was very important in not
only developing where the prosecution
of the alleged offenses should be had
but also brought out important testi-
mony that can be effectively used all
gram adopted by the attorney general
in his earnest and vigorous campaign
against corporate and individual vio-
lators of the 'Elkins Law and The
Act to Regulate Commerce Among
the States. "
Chicago, July 19.-Assistant At
torney General Pagin, arrived in Chi
cago Wednesday with a transcript of
evidence taken in Cleveland in the
INQUIRY into the relations of the
Standard Oil company and various
railroads, and submitted it to Former
District Attorney Morrison, special
counsel for the government. 1t was
the intention of the local federal
officials not to begin the investiga-
ton here until September l, or later
but it is now probable that some
steps will be taken in the near fu-
'Nfure.
y The four propositions which At
torneys Morrison and Pagin will study
in connection with the investigation
are:
1. Charge against the Standard Oil
company of accepting illegal rebates
under the Elkins law.
2. Charge against the railroads OF
granting the illegal rebate to the oil
company.
5. Combination in restraint of
trade and commerce with other oil
companies.
4. Monopoly Of trade, not COM
bination; or a conspiracy to monop-
ollie.