Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1908-07-23

the case of the government against the
Standard Oil Co. of Indiana, in which
case Judge Lands in the district court
had imposed a fine of $29,240, 900, the
federal attorneys today announced
that the government had 30 days with
in which to file petition for a re-
hearing and that it would be filed
within the allotted period.
In the case that was reversed today,
the Standard Oil Co. of Indiana was
found guilty of accepting rebates on
shipments Of oil from its refinery at
Whiting, IND, to East st. Louis. III.
Judge Lands fined the company $4,000
on each of the 14G2 counts, each count
representing a carload shipment.
TOdays opinion of three Judges of
the higher court leaves little of the
contention that each carload counted
a seperatc offence. Even the various
shipments of which there We're about
500, could not be considered as separate
offences under the ruling of the court
of appeals. The fine should have been
based on settlements between the rail-
raod and the Oil Co. the opinion holds.
OF these there We're just Sc. The max
inum fine on this basis would amount
to $720, 900 and the minimum $4,000 1t
is said that s223,000 is the total aount
which the Standard Oil Co. is alleged
to have received as rebates on the
shipments in question.
In the event that a hearing is denied
the government may go to trial on the
original Indictment. containing 1462
counts Such an action, District Attor-
new Sims could be ready to take with
in two weeks There are also seven
other indictments, containing 4422
counts. AS a vast amount of work
has been done on the case already de
cided and reversed, it is unlikely that
an entirely new case will be instituted
The record Of the present case con-
tains over 1,5OO,0OO words and is esti-
mated to have cost the government
5000, 00U
Another move which may be made
by the federal attorneys is to transfer
the prosecution from this jurisdiction
either to tho western New York dis
trict or to the eastern Tennessee court
In these two districts. the government
Investigation led to indictments con-
tanning about 2000 counts against the
Standard Oil Co. The most striking
portion of the decision. epitomizing the
attitude of the court, follows:
Counsel FOR the government SAYS in
concluding their brief that the Elkins
net vas passed because the peace of
society and the welfare of the people
demanded it: that railroad inouuity
means business ruin to all eXcept those
powerful enough to make themselves
the beneHciaries of the discrimination:
means the wiping out of an industry
of town or city at the command of
an officer of private corporation;
that railroad inoquity is the basis of
monopoly and the wrongful concentra-
ti"n of wealth; that no law of more
vital Importance was ever passed by
Congress and that those guilty of vio-
lating are guilty of Il serious crime
against the principles of industrial
freedom and equality
Every sentence of this arraiSulnent is
true. That this count recognizes the i'm
portancc of the enforcement of that act
is shown in It's atfrmancc of penalties
that under other circumstances would be
regarded as very severe. But the inter-
state commerce act, important as that
law is, is not the only law under which
we live. We live under Il Guaranty that
reaches back to the beginning of our law.
and Is securely planted in every constitu-
tion of civilized government, that no one
shall be punished until he has been tried
md above this fundamental guaranty
there can he set no higher prerogat i've:
for let it once come to pass that under
the stress of enforced equality any power
in the government may override the fund
amental rights of being judged only after
having been duly tried-a right just us
essential in the associated relation of the
corporation as to men in the relationship
of co-partnership or to men individually
there will remain no commerce worth the
name to safeguard. The beginning of
commerce is constitutional government
and the foundation Of constitutional gov
errment is the faith that every guarant
of our institutions. no matter what the
provocation, will be sacredly observed"
The court room was crowded with law
Ners and newspaper men when Judges
Grosscup, Baker and Seaman took THEN
seats. Judge Grosscup did not read the
document. merely referring to it by num-
her and stating that the case had beer
reversed and rnmandcd. There was great
jubilation among the Standard Oil law.
yers. who declared that the decision had
been expected. while the government at
torneys went quietly to District Attorney
Sims office to study the document. The
whole proceedings occupied only few
moments, News of the verdict spread
rapidly and Standard Oil stock jumped Il
points, a rise of 6S points since Monday
morning. Wall street reported a large
demand among investors, and today's
price $6a is the highest the shares have
sold since Judge Lands decision.
District Attorney Sims tonight said
thai no definite program concerning
the future procedure in the case had
yet been mapped out by himself and
his associates
ut is possible that we may petition
for q re-hearing before the court of
appeals within the so days allowed us.
he said, "but l can make no positive
statement until after l have conferred
with Attorney General Bonaparte."
Chicago, July 22.-By unanimous
opinion of the United States court of
appeals for the~5ths district the famous
case of the government against the