Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-02-18
RAILROAD
REBATES TO
BE PROBED
SOUTHERN PACIFIC TO FACE
FEDERAL INQUIRY
sAtTA FEE AND SALT LAKE UN-
DER STATES EYE
Commissioners Gain Access to Books
of Two Companies in Los AM
oeIes--Duncan Leaves
City

while the department of justice Is
nreuaring itself for the prosecution ol
the Southern Pacific for ITS repate On
lenses in California the Cah1ornla ran
road commission is prosecuting az I,o
animation of the books of the santa = Q
ana salt Lake routes to determine
whether those roads have been gullty
oe rebate offenses under the California
constitution. .. not
rrha california commissioners met
Yesterday morning at 1880 O'Clock a.
the Westminster hotel with Rayiltoilt
Benjamin of San tTancisco. ,1a ct
. attorney general Soon after the meet
ing began it adjourned and the com
mfssioners and Mr.. Benjamin calleo on
Genera1 Manager Wells of the SAT-
Iaixe route and requested the privilege
of having an examination OF the conil-
nany's books made by Mr.. BeilJall mn
Mr.. Wells promptly assured Ine On.
,,,issionars and MIR. Benjamin that
every facility for an investigation
would be furnished by the trafnc ue-
nartment. They next visited the SANTA
pc offices and received the same as
surance. Then they returned TO lne
Westminster, where Chairman A. -
Irwin is q guest, and talked Win MT
Benjamin. - Az.
irwin of Marysville, Col H. u. Love
land of San Francisco and TneooorS
Surnmerland of Los Angeles. 1t VIII
remain in the city for several days al
though Mr. Irwin announces mat II
had no other business than TO ACQUIRE
the examination of the companies
books. ,.
Mr.. Summerland says the commission
did not really expect a reIusat Oh ne IL
mart Of the companies, but thought IL
hest to be thoroughly formal ABOUT
the nroceeding. The Southern Paclnc
axan3ination was made by Mr.. BenJa-
min and his assistants at San fran
cisco last month. The commissioners
agreed at meeting at San franclsco
last Thursday to meet mere TO-DAY VIII
NJ BENJAMIN and begin the inquiry.
This inquiry will be made at the trat-
fic offices of the companies by an ex-
merit who assists Mr.. Benjamin, Dut the
details had not been arranged last
night. There is to be no delay, the com
rnissioners say, and the examination
will be thorough.
A. the same time there is something
doing in the Southern Pacific case. II.
n. Duncan, special agent of the de-
nartment of Justice, has been in con-
suItation with District Attorney Law
ler He left for San Francisco last
night but is to return, it is understood.
The attorneys will not talk OF the case,
but refer inquiry to the department OF
iustice. 1t is believed by those having
access to the channels of information
that there is little doubt that Attor-
new General Bonaparte, basing MS ac-
ton on the report of Commissioners r.
X Lane of the interstate commerce
commission concerning Southern "a
.cific offenses will institute a prosecu-
tion in the southern district of Califor-
MIA against the road and that this may
omen a comparatively new field for IN
vestigation by the department. Through
the federal grand jury the testimony OF
many Los Angeles shippers may be ac-
ouired and prosecution OF the road TOT
rebating instituted. While inquiry was
made here as to shipping faVoritism II
is believed the attorney general re-
cards the field as a fruitful source or
inquiry and that new steps are immi-
nent.
State Investigation
The investigation by the state rail-
road commission has no reference to
the federal activity, but is answering
the purpose of the commission TO lnVes-
tigate a report made by the attorney
general that rebating offenses had been
Committed by the roads. Under the
constitution the commission has the
power to enforce summons for books
and papers, and the commission was
here to exercise that power II neces-
sary. There was no opposition on the
part of the railroads, however ana the
examination will be under way within
forty-eight hours.
Oscar Lawler, United States dis
trict attorney, when asked for an eX-
preston regarding the matter, said:
II have nothing to say, for when
cases are pending in my office it would
not be advisable for me to talk about
them. | cannot for the same reason
tell you anything concerning the rea-
son of Mr.. Duncan's visiting here at
this time"
Attorney H. B. Duncan of Washing
ton. ID. c., who is connected with the