Los Angeles herald., 1906-08-10
SANTA FE REBATE
CASES CLOSED
INTERSTATE COMMISSIONERS
APPLY WHlTEWASH
Find No Criminal Intent on Part Of
Paul Morton and Other Rail-
road officials In
volved
BY Associated Press.

BY Associated Press.
WASHINGTON, Aug. 9.-In a state
ment issued today by the interstate
commerce commission regarding the
conviction of the Atchison, Topeka &
Santa Fe Railway company for violat-
ing the law with regard to the giving of
rebates the commission says:
THE avowed purpose of the practice
tends to support the view that there
was no criminal intent on the part of
Paul Morton former secretary of the
navy and former head of the traffic de-
partment Of the Santa Fe and the
other railroad officials involved"
The statement calls attention to the
fact that with the imposition of the
1000 fine on the railroad "the history
of the famous Santa F'e rebate case is
practically closed" and praises Pres
dent Roosevelt and Attorney General
Moody for carrying out with success
the administrations declared purpose
to enforce the statute in all such cases.
Regarding the criticism which fol-
lowed the refusal of the administration
to prosecute Paul Morton, the state
ment says:
Despite Criticism
"Too much praise cannot be given to
Attorney General Moody in carrying
this case through to a successful ter
mination, and that, too, after the ad-
verse criticism in many journals be-
cause of the refusal of the administra-
ton to undertake the prosecution of
Paul Morton, then secretary of the
navy, formerly head of the traffic de-
partment of the Santa Fe system.
The attorney general, in disagreeing
xrrsHl IIo,~t T,t1C xry1a.
had been employed by the government
to make a preliminary investigation,
acted plainly with foreknowledge of
the legal difficulties that attended every
step in the attempted prosecution of
Mr.. Morton and other officials in this
particular case, which really grew out
of a long standing practice intended
primarily to develop the coal industry
in Colorado and New Mexico, which
really did have that effect, and which
only be came conspicuously unlawful
1908 and the courageous investigation
and report of the facts by the inter-
state commerce commission to the at
torney general
Technical Violation
There was a technical violation of
the law involved in the transaction, as
lletS etlWdyS DeeH pldlil, DuI ludl IUSIS
was criminal intent on the port of Mr..
Morton and other officials involved has
always been denied and the avowed
purpose of the practice tends to sup
port that view"
Further the statement says:
Court Decisions
TT will be remembered that the de-
partment of justice was sought to use
this case and others in the Kansas City
federal court to esta blish contempt on
the part of the Santa Fe, which was
then under injunction issue in omnibus
form and covering all traffic against
that carrier and numerous other car
riers engaged largely in carrying grain,
grain productsy live stock and live stock
products, on account of rebates shown
to have been granted generally on such
traffic in a former investigation by the
interstate commerce commission.
This attempt to establish contempt
by showing rebates in coal failed, the
court holding that a general injunction
would not lawfully issue.
Later on civil case brought
against the Santa Fe by coal mining
companies Disseminated against in
favor of the Colorado Fuel and Iron
company, was settled by the payment
of something like a half million dollars
and now has followed the convictions
as above stated of the railway COM
panies and thefuel and iron company .