New-York tribune., 1908-07-23
COURT SETS ASIDE
STANDARD OIL FINE
JUDGE L4NDIS REVERSED
IN s29, ,4OO, 900 PENALTY.
Federal Court of appeals Unani-
NOUS an Decision-Case Re
manded for Ne1c Trial.

r-bicseo July 22-Judges Grosscup. seaman
and Baker. composing the United States Court
of AnneaIs for the Seventh Circuit, to-day re-
| versed unanimously the decision OF Judge Lam
! dis in the District Court. fning the STANDARD
or Germany OF Indiana s29. 100000 in the gov
ernunents suit against il. and renamed tns
case for retriaI Following the decision the fed
eraI attorneys announced that the government
had thirty days within which 20 file petition
for a rehearing. and that this step would be
taken within the allotted time
In the case that was reversed to-day the
Standard Oil Company OF Indiana was found
guilty of accepting rebates on shipments of oil
from it's refinery at Whiting. Ind. to East ST.
Louis. Ill Judge Landis fined the company
$4,000 on each of 1 1852 counts, each count rep
resenting carload shipment
To-dav's opinion of three judges OF the higher
court leaves little of the contention that each
carload constituted separate offence Even
the various shipments. OF which there were
about five hundred. could not be considered
saparate offences under the ruling of the Court
of Appeals The fine should have been based on
settlements between the railroad and the oil
company the opinion holds. OF these there
were thirty-six- The maximum fine this
basis would amount to $4,000 and the mini
mum $4,000. 1t is declared that $4,000 is
the total amount which the Standard OIL Com
pany is alleged to have received as rebates on
the shipments in question.
In the event that a rehearing is denied the
government may go 10 trial the original in
dictment, containing 1852 counts. Such an ac-
ton District Attorney Sims could be ready to
take within two weeks. There are also seven
other indictments. containing 4.422 counts AS
a vast amount of work has been done on the
case already decided and reversed it is con-
sidered unlikely that an entirely new case will
be instituted The record of the present case
contains over a million and a half vrOr5S
estimated 10 have cost the government SoOOOs0
Another move which may be made by the fed
eral attorneys is to transfer the prosecution
from this Jurisdiction either to the Western New
York district or to the Eastern Tennessee court
In these two districts the government irvestf-
CATION led to indictments containing about two
thousand counts against the Standard Oil Com.
pany.
ELKINs ACT NOT THE ONLY LAW"
The most striking portion of the decision. eDt-
Omizing the attitude OF the court. follows:
Counsel for the government say In concluding
their brief that the Elkins act was passed he
cause the peace OF society and the welfare OF
the people demanded tt; that railroad inequality
means business ruin to all except those power
ful enough 10 make themselves the benefciaries
OF the Determinations means the wiping out of
an industry, of a town, OF a city, at the COM
mand of an officer of a private corporation: that
railroad inequality Is the basis of monopoly and
law Of more vital Importance was ever passed
by Congress; and that those guilty of violating
IL are guilty OF serious crime against the
principles of industrial freedom and equality
Every sentence of this arTaignment is true
That this court recognizes the Importance OF
the enforcement of that act is shown In Irs
aIfrrnance of penalties that under other cir
ct1ustsnces would be regarded as very severe
But the Interstate Commerce act, important as
that law is. is not the only law under which
we live We live under guarantee that reaches
back 10 the beginning of our law and is securely
planted In every constitution Of civilized govern
ment that no one shall be punished until he has
been heard. and above this fundamental guar
antee there be set no higher prerOSatiye. for
let IL once TO pass that under the stress
OF enforcing equality. any power in the govern
ment may override the fundamental rights Of
being judged only after having been duly tried
"a right just as essential In the associated re-
lation Of the corporation 10 men IN the rela-
tionship of cOpartners OF 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 government is the faith that
every guarantee Of our Institutions. no matter
what the rrovOcation will be sacredly observed
STANDARDS LAWYERS REJOICE
The courtroom crowded With lawyers and
newspaper men when Judges Grosseup. BaAse