The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-03-27
G. N. IS ON TRIAL
IN REBATE CASE
First Prosecution Ever Begun
Under the Elkins Law
Affects Northwest.

Philadelphia, March 27.-The first re-
bate case to come to trial In this couh-
try in which the defendants are charged
with giving and accepting rebates In
violation of the Elkins law, began; to-
day in the United States court here
before Judge Holland. The indictments
to be presented to the jury are those
against the Great Northern Railway
company, which is charged with offering
rebates to R. w. Wood & Co.. of this
city; c.. f. Campbell, it's local agent;
I, W. Lake, New York agent for the
Mutual Transit company; Walter V.
Stuart, George and Richard Wood, mem
bers of the firm of R. D. Wood & Co.,
and Paul J. Diver, local agent for the
Mutual Transit company, who IS
charged with offering a rebate to the
National Essence for Coffee company.
Shipment to Winnipeg.
The rebate in the Wood case. it is
charged, was given on shipment OF
1906 tons of iron pi pc from Florence,
N. j., and Camden, n. j., to Winnipeg,
in October, 1904, and 200 tons from
Emaus, Pa, to the same point. The
published rate was 1912 cents hun
/, dred pounds, but it is charged the firm
obtained a rate of 4411a cents.
The 1900 tons were shipped over the
Baltimore & Ohio railroad to Fairport,
Ohio, thence by the Mutual Transit
company across the Great Lakes to
Duluth, and thence by the Great North
! ern to Winnipeg. The 200 tons from
I Emaus were sent to Buffalo over the
8 Reading railroad and shipped on the
I vessels of the Mutual Transit company
] to Duluth. The full freight rate was
/ Go. afterwards received rebate OF
:. al o3O 20
The National Essence for Coffee com
pany, it is alleged, received rebates on
two shipments of essence from this city
I to Winnipeg. The first consi gnment
was shipped over the Reading road to
Buffalo, thence by the Mutual Transit
i company line to Duluth, and from Du
luth via the Great Northern to Win
signed to Minneapolis. It was shipped
over the same route to Duluth, but from
the latter point it was sent to Mime
apolis over the Northern Pacific.
The rebate received by the company
was given, it is said in the form Of 8
reduction for carriage from the compa
ny's warehouse in this city to the Read
ing freight station, and amounted il
the aggregate to less than 500.
The Wood case was the first to be
taken up, and on motion Of District
s Attorney Thompson the indictmen
/ against George Wood was quashed. Be
fore, the selection of jury was be
gun, a number Of motions in the case:
were heard by the court.
II Demurrer Entered.
Counsel for Wood & Co. entered {
demurrer to the indictment against tina
! company and moved that the case b,
e nolle pressed. A long argument fol
lowed. Cousel stated that no thru con
i tinuous tariff rate had been filed will
Z the Interstate commerce commission an,
that it. is lawful under the Elkins &C
4 to have a thru rate which is less tina,
the total Of local rates. Counsel elaine,
Z that Wood & Co. had the right to accep
+ the Az cent rate because nothing con
flctlng with such rate had been file
s at Washington and that the compan,
Is had further right to accept the tarii
on the supposition that the railroad in
i tended TO file the rate at Washin oton