The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1908-06-02
REbATING THE
CAUSE OF THREE
INDICTMENTS
Southern Pacific Is Accused OF
Refunding Charges to
Customers
Favors Are Alleged TO Fruit
Company and San Fran
cisco Chinese
Bills Are Also Returned Against
Seven Persons for Imperial
Land Frauds

LOS ANGELES, June 1.-The fed
eral grand jury this afternoon re-
turned large number of indictments,
including three against the Southern
Pacific company for alleged rebating
in violation of the Sherman antitrust
law. Twenty-nine counts were con-
tanned in the three indictments, and
specific instances were cited of alleged
unlawful refunding of charges to Gus
toners. The officials of the company
were cited to appear in court June IS
and make answer to the charges.
The company is charged with rebat-
ing on shipments of oranges and lem
ons from Riverside, Cal, to various
eastern cities, and also on shipments of
rice from San Francisco to local Chi
nese merchants and on shipments of
hides from Texas and Arizona points
to this city.
RECEIVERS OF REBATES
The recipients named as receiving the
alleged rebates are the Penn fruit
company of Riverside. Tung Hob &
Hong Hob of Los Angeles and the Har-
s-Newmarkycom of Los Angeles.
In the first Indictment it is alleged
that between January and May, 1906,
the fruit company shipped 1881 boxes
of fruit to various points on which 1t
received a refund OF s25s.21 on August
20, 1906.
The second Indictment alleges rebat-
ing in 1907 on shipments of rice be-
tween San Francisco and Los Angeles
given to Tung Hob and Hong Hob.
These shipments came from Hongkong,
The third indictment charges that
the Harris -Newmark company was
given rebates on hide shipments from
points in Arizona and Texas on June
q, 1906.
PENN COMPANY FAVORED
United States District Attorney Law.
lor said this afternoon that the i'm
dictments against the Southern Pacific
were based upon transactions brought
out at the hearing before Franklin X.
Lane. interstate commerce commits
sioner, at San Francisco last October.
The Penn fruit company has a packing
house at Riverside accessible to both
the Southern Pacific and Santa Fe lines
During the year 1906 it is claimed that
the fruit company purchased a large.
amount of fruit at Arlington, on the
line of the Santa Fe. and shipped it
ha 10 n ha line of
the Southern Pacific, for which service
it paid local freight to the Santa Fe.
AT the end of the season it is alleged
the Southern Pacific paid back to the
Penn fruit company SO per cent of the
cost of hauling the oranges referred to
from Arlington. For making. this pay
ment the railroad company is charged
with rebating.
1t is claimed by the district attor-
ney's office that no other fruit ship
ping firms were shown such considera-
tion, thus constituting dfscrimina-
provision for such paymen. was made
in the published tariffs of the railroad
company it is charged with departure
from the tariff rates.
INDICTED FOR LAND FRAUDS
Seven indictments were also returned
against different parties in connection
with alleged land frauds in the Inn
perial valley Three of these were
against H. w. Blaisdel .of the Blaisdel
company of this city, H. C. and J. w.
Oakley of the Imperial Investment
company Of Los Angeles. - I
of the remaining four indictments
two are said to be against residents
of the Imperial valley, one against a
man in Chicago and the fourth one
against a resident of northern CALI
fornia. Names of.these parties will not
be disclosed until the arrests are made.
THE Los Angeles persons indicted APP
peared. at the United States marshal's
office and the warrants were served.
upon them. 1t is alleged that dummy
entrymen we're used in making filings
in the Imperial valley in 1ee2 under
the desert land act
PLAN "LIDr FOR RENO