The Leon reporter. (Leon, Iowa) 1887-1930, 1907-08-08
GOT $29,24o,OOO fine
Judge Lands Imposed this Small
Fine on the Standard Oil Co. at
Chicago on Last Saturday.

Judge Landis, in the United States
district court, at Chicago last Saturday
imposed fine upon the Standard Oil
Company of Indiana of S29,240,000, the
maximum amount upon each one of the
1852 counts of the indictment on which
that company was recently convicted
of rebating.
The Judge also recommended that a
call be issued for special grand jury
which is to consider the other party to
the rebating operations of which the
Standard Oil Company was found guilty,
and it is therefore probable that with
in a short time proceedings will be
commenced against the Chicago & Alton
Railroad Company for the alleged COM
mission Of similar offenses.
Judge Landis, in his decision, said:
"This is the prosecution of the Stand
ard Oil Company for alleged violations
of the act approved February 10, 1908,
known as the Elkins law. The charge
is that the defendants property was
transported by the Chicago & Alton
those named in the carriers tariff
schedules published and filed with the
interstate commerce commission, as re-
ny law hO oAChoCo IlC dllOSCu
to have been committed during the
l, 1905. The Indictment contains 1,903
counts, each charging the movement of
a car of oil. Certain of the transporta :.
tion is alleged to have been from Whit
ing, Ind, to East ST. Louis, ILL.,, the re-
naming counts covering transportation
from Chappell, ILL.,, to st. Louis, Mo.
The plea was not guilty On the trial
AL counts were withdrawn from the
consideration of the jury on grounds
not going to the ultimate questions in
volved in the case. On 1,462 counts the
verdict was guilty" Motions for a
new trial and in arrest of judgment
having been overruled, the matter is
now before the court for the imposition
of the penalty authorized by law"
In full court they quoted the statue,
making it unlawful for any person, pei
sons or corporation to offer, grant or
give, or solicit, accept or receive any
rebate, concession or discrimination in
respect to the transportation of any
property in interstate or foreign COM
merce by any common carrier.
Court also noted in full the provisions
requiring the publication and filing of
tariff schedules.
The court discussed at length the va
rious defenses offered by the counsel,
and says, "The nominal defendant is the
Standard Oil Compony Of Indiana, a
million dollar corporation. The Stand
ard Oil Company of New Jersey, whose
capital is one hundred million dollars,
is the real defendant. This is so for
the reason that if body of men organ
ize large corporation under the laws
of one state for the purpose of carrying
on business throughout the United
States, and for the accomplishment of
that purpose absorb the stock of other
corporations, such corporations SO alb
sorbed have thenceforward but NOM
inal existence. They cannot initiate
or execute any independent business
policy"
! The court then passed Judgment as
follows:
at is the judgment and sentence Of
the court that the defendant Standard
Oil Company pay fine of S24,240,000.
zone thing remains. 1t must not be
assumed that in this jurisdiction these
laws may be ignored. Ii they are not
obeyed they will be enforced. The
plain demands of justice require that
the facts disclosed in this proceeding
be admitted to grand jury with view
to the consideration of the conduct of
the other party to these transactions.
Let an order be entered for a panel of
sixty men, returnable at 10 o'clock on
the morning of August ID. The United
States district attorney is directed to
proceed accordingly"