The Billings gazette. [volume] (Billings, Mont.) 1896-1919, 1907-01-04

Chicago, Jan. 3.-Judge Lands in
the United States district court today
overruled the demurrer of the Stand
ard Oil company to eight indictments
pending against that corporation, but
sustained the demurrer as to two other
indictments because of technical de-
fects.
"These prosecutions, said the court.
ARE for alleged violation OF section
one of the act approved February 10,
1903, known as the Elkins law. The
charge is that the defendant obtained
the transportation of it's property by
various railway companies at rates
less than those named in the carriers
published schedules
He ruled against the defendants
contention that the Elkins law was en-
acted really to prohibit the employ
ment of indirect methods to obtain
preferential rates, it being the defend
ants contention that it was not vio-
lation Of the law if railway company
dealing directly with shipper gave
that shipper cut rate.
The court also ruled against the de-
fendant's claim that the provisions Of
the Elkins law which required ship
pers to adhere to published rate was
void, as being against that provision
of the interstate commerce law, which
requires carriers to transport property
for a reasonable rate. The court held
that carriers and shippers were both
required to adhere to the published
rate until such rate was publicly
changed in the manner provided by
law.
The court ruled against the defend
ants contention that the indictments
were bad because the Interstate COM
merce law did not require railway
companies to publish rates between
points beyond the carriers own line
of road, holding that if carrier, hav-
ing made an arrangement with con-
Meeting lines for the transportation of
property beyond Its own line, should
thereupon publish rates Cor the trans
portation Of property between such
points. the carrier. muatfR Rtherefor be
held as regards the Wit ihsss public, to
have facilities foR zion
OF property to SUCH iais seyond It's
own line. and that theSreqn nirement OF
the law applied to such q case with
the same force that 1t applied to
point on the carriers own line.
The court ruled against the defend
ants contention that the provision OF
the interstate commerce law requir-
ing carriers to publish terminal
charges was not operative upon con-
sagnees, holding that in respect to such
terminal charges, inasmuch as the con-
Slgnor would have but little IL any in
terest in the question. The terminal
charges in question consisted OF large
amounts Of storage charges that had
accrued on petroleum consigned to the
Standard Oil company at Chicago. and
which the indictment charges the
Lake Shore & Michigan Southern rail
road cancelled and returned to the
Standard Oil company, thus giving the
Standard Oil company rebate in res
pect to the transportation of the Pc
trolsum.
"It is contended in behalf Of the
United States" said the court, "that
the act Of June 20, 1906, did not 60 in
to effect until after these indictments
were returned. It is urged that the
postponement was effected by the
adoption of the joint resolution Of con-
gress approved June 80, 1906. That
resolution provides that the rate law
shall take effect and be in force 60
days after its approval by the presi-
dent Of the United States
"Of course, the purpose OF this res
olution Is obvious. But It was wholly
ineffective until approved by the pres
ident. This occurred June 80, and, by
It's own terms, the act became effect
i've ON its approval by the president
one day before. Plainly, therefore,
ON June so the resolution was power
less to postpone that which had al
ready occurred oa June 20. While
possibly on June 80 the resolution