The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-05-05
LAWS LONG DEF f ]
IN SUGAR TRAFFIC
B 80,
fragrant Violations of Ellxins Law!
Charged by Federal Jury
= Which Indicts. sss..s.3ss

New York.. May 5.-The April federal
grand jury has handed down seven
sealed indictments in the sugar repat.
The New York Central railroad. the
Sugar Refining company, the :NsMgs Y ofk I
Central & Hudson River railroad and
Nathan Guilford, viee-president Of the /
company. 49, . S:;: :. No > ::=:.
pany of New York, and G. Goodlee Ed
gar and Edwin Earle, the latter two be-
M Mi H"''''"'' ''S"' ''"''' 80
The New York Central & Hudson River
Railroad company. and Nathan Gull
ford, vice president and r. b. Pomeroy,
general traffic manager. U@
The American Sugar Refining COM
pany and the American Sugar Refining
company of New, York and O. Goodlee
Edgar and Edwin Earle. ~: 2%z.=%: $3.50 n
Nathan Guilford Of T.: Pomerey, O. 1
Goodlee Edgar and Edwin Earle.
Relating Charged.
The first six indictments We're Found
under the "Elkins anti trust law,
which provides penalties of fine not
exceeding $4,000, or imprisonment not
exceeding two years, for giving, grant
ing, applying for. or accepting any re-
bate or concession from the regular
freight rates. as published by railway
company as a common carrier. .Jt|
The seventh Indictment found against
charges them with having collectively
conspired to violate the provision of the
Elkins ANTITRUST law. ~ ~. ~
It is not probable, it is stated, that
any Of the defendants; will be arrested
on warrant, but all will be notified by
Tho fodopol ioc. 4bot Al
ments have been found and be request
ed voluntarily to appear and give ball
for an appearance at the next term Of
the federal court In June. - 4
Urges Further Probe.
Sixteen sessions of the April grand
jury were. devoted exclusively to the
evident from the presentment which
the jury handed in with the indictments
that it deems the situation but hur-
riedly canvassed: It recommends that
the investigation be continued by it's
| successor, indicating the possibility that
other common carriers may be equally
eulpable with the indicated roads. .,>
| The presentment, addressed to Circuit
Judge Holt announced that the grand,
| jury concluding it's labor deemed it
proper to call attention to- the gravity
Of the evils incident to the violation Of
| the Interstate commerce laws which
| have been practiced in respect to mer-
chandise transported from New York
city to various points in the west.
| During this term this grand jury
has considered,' reads the presentment,
"a very large amount of evidence bear
ing on this subject. The investigation
of any charge relative to railroad re-
bates is most difficult. It involves not
only consideration Of the voluminous
records and complex instruments relat-
ing to the thru-freight business Of a
j modern roads but it also .becomesEnec-
essary to penetrate various skilful dis
| gu1sese thrown about~thez transaction by
the parties concerned.
Sees Other Violations.
"But the evidence investigated by
us bearing upon the Indictments which
we have found has incidentally = re-
vealed to you the existence of so many
| other instances ofasimilar offenses as to
indicate a general and systematic pol
icy, pursued by certain large shippers,
OF extorting from the different railroad
companies favors the legality Of which
is at least questionable. The evidence
before us has related mainly to ship
ments of sugar from various refneries
in this locality to western markets.
-. -. IN, edition to easessyin which In;
-fcS@tS e11E1iLS @uStY6 SUGeA .udHueQ down, the
evidence has indicated that rebates
have been regularly given to sugar re-
tiners and their customers by several
other interstate lines; that regular al
, lowance of 2 cents hundred pounds
, has been made by various railroad
companies to sugar re6ners to cover al
leged, carriage, an allowance which, tho
usually published in the tariff, otter
represents no labor actually performed
q 11h h h -
| OF similar commodities, and that othe]
special favors Of various kinds have
been regularly made in regard to sugar
shipments either to the refners them
eelves Or to their officers or agents en-
gagged in subsidiary business, like light
erage.
49, Elkins Law Long Defed. = i,
"The evidence before us has shown
clearly in several instances, and has in
: Dictated it to be a fact quite generally
: : that the Elkins law as to the giving q.
. rebates has been disregarded since tn,
y day Of its enactment.
1--WE fully appreciate that the diff
culties of investigation heretofore men
> toned and the skilful devices unde
which discrimination is often yelled
may render detection and proof of thi
class OF crime difficult and well-nig]
impossible, in spite of the most con
scientious and untiring effort on tn
! part OF prosecuting officers and fedora
! grant JurleS - y
Nevertheless, we deem it our dut,
to call the attention Of this HONORABLE
e court and the succeeding grand iurie
S to the great public Importance of
: continued investigation into the stat
: OF facts upon which the Indictment
:. herewith submitted are based, to til
end that further indictments Of a Xix
), taken to mitigate the evils which W
believe to be generally prevalent an
= which cause great injury and oppres
sion to small shippers thus denied eoua
access to markets in. interstate con
. merce." " ~ ~. @saz,-}''. ! ~