The Topeka state journal., 1908-01-31

this failure are rendering but a poo
service to the cause which they believ
| they champion.
1 do not know whether it is possible
but If possible, it is certainly desirable
that in connection with measures to re
| strain stock watering and overcapital
tZat1on there should be measures takeI
to prevent at least the groSSer forms o.
| gambling in securities and commodities
| such as making large sales of wha
\ men do not possess and "cornering'' the
| market. Legitimate purchases of com
| moditieS and of stocks and securities
| for investment have no connection
| whatever with purchases of stocks OF
other securities or commodities on
| margin for speculative and gambling
| purposes There is no moral difference
| between gambling at cards or in lot
| terieS or on the race track and gam
| bling in the stock market. One method
| is just as pernicious to the body polite
| as the other in kind, and in degree the
| evil worked is far greater. But it Is a
| far more difficult subject with which to
deal. The great bulk of the business
transacted on the exchanges is not only
legitimate, but Is necessary to the
working of our modern industrial sys-
tenn, and extreme care would have to
be taken not to interfere with this bus
mess in doing away with the bucket
shop type of operation. We should
study both the successes and the fa1l-
ures of foreign legislators who, notably
in Germany, have worked along this
line, so as not to do anything harmful
Moreover, there is special Difficulty
in dealing with this matter by the fed
eral government in federal republic
like ours. But if 1t is possible to de-
wise a way to deal with it the effort
should be made, even If only In a eau
tious and tentative way 1t would seem
that the federal government could at
least act by forbidding the use of the
mails, telegraph and telephone wires
for mere gambling in stocks and fu-
lures just as it does in lottery transac-
tions.
inclose herewith a statement issued
bv the chief of the bureau of corpora
tions (appendix y in answer to certain
statements (Which I also 1nclose) made
by and on behalf Of the agents of the
Standard Oil Corporation (appendfx p
and a letter of the attorney general
(appendix 30 containing an answer to
certain statements, also inclosed, made
by the president of the Santa Fe Rail
way company (appendix A. The STAND
ard Oil Corporation and the railway
company have both been found guilty
by the courts of criminal misconduct:
both have been sentenced to pay heavy
fines; and each has issued and pub
Hshed broadcast these statements, as
serting their innocence and denouncing
as improper the action of the courts
and juries in convicting them Of guilt.
These statements are very elaborate,
are very ingenious, and are untruth-
full in important particulars. The fol-
lowing letter and inclosure from Mr..
Heney sufficiently illustrate the meth
DDS of the high officials Of the Santa
Fe and show the utter falsity of their
plea Of ignorance, the similar plea of
foundation:
Heney'S Letter.
Department of Justice, Office of the
United States Attorney, District of
Oregon, Portland, Jan. II, 1908.
The President. Washington. D. c.
Dear Mr.. President: I understand
that Mr.. Ripley, of the Atchison, To-
peka & Santa F'e Railway system. has
with some severity upon
your attitude toward the payment Of
rebates by certain transcontinental
railroads and that he has declared
that he personally never knew any
thing about any rebates being
granted by his. road. I in
close you herewith copy of a letter
from Edward Chambers, general
freight traffic manager of the Atchi-
son, Topeka & Santa Fe railway sysL
tenn, to Mr.. G. A. Davidson, auditor of
the same company, dated February
27, 1907.
This letter does not deal with in
LILO SOAlSLILu-
ton of the state Of California makes
the payment of rebates by railroads, a
felony, and Mr.. Ripley has apparently
not been above the commission of
crime to secure business You are at
liberty to use this inclosure in any
way that you think it can be of service
to yourself or the public.
Sincerely, yours,
FRANCIS J. HENEY. |
The Oil Agreement.
San Francisco. Feb. 27, 1907
Dear Sir: I hand you herewith a |
file of papers covering the movement |
Of fuel oil shipped by the Associated |
Oil company over our line from jan |
uary 1, 1906, up to and including No |
vember Is. 1905.
We agreed with the Associated Oil |
Co.'s negotiations with Mr.. Ripley, |
Mr.. Wells, and myself, that in con- |
sideration Of their making US a special |
price on oil for company use, which |
Is covered by a contract. and the |
further consideration that we would |
take a certain quantity, they would in |
turn ship from Bakersfield over our
line to San Francisco bay points |
certain. minimum number of barrels |
Of fuel oil at rate of 25 cents per bar
rel from Bakersfield, exclusive of the |
switching charge.
These statements cover the move
ment, except that they have included |
Stockton, which is not correct, as it |
8 not a bay point and could be |
reached as conveniently by water We |
have paid them on account of this |
$7,239 which should be |
deducted from the total of movement /
shown in the attached papers.
I wish you would arrange to make
Up a statement, check the same, and |
refund to the Associated Oil company
Down to the basis of 25 cents per bar
"el from Bakersfield where they are
he shippers, regardless of who is con-
signee, as all their fuel oil is sold de-
ivered. The reason for making this
1eal in addition to what have stated. |
8 that the Associated Oil company
have their own boats and carry oil |
from fields controlled by themselves
along the coast near San Luis Obispo