The Topeka state journal., 1909-01-09
TRUST MUST PAY.
Fine of international Harvester
Company Upheld.
Twelve Thousand Six Hundred
Dollars Assessed by Court.
WAS NOT MAXIMUM.
Convicted ON AZ Counts of Vio-
lating Anti Trust Laws.
Cudahy Company Must Pay
Charter Fee.

The Kansas supreme court in a de-
cision handed down today affirmed the
verdict and fine of the district court
for Shawnee county against the Inter
national Harvester company. The
company must pay fine of $4,000
on AZ counts, each count being a vio-
| lation of the criminal sections of the
Kansas antitrust laws
In the fall of 1906, G. C. Coleman,
then attorney general of Kansas be-
gan the criminal action against this
company. He brought rs separate
counts against it,. Each count was
seIfbinder. The sales were actually
made by Topekagsim mplement dealers,
acting as agents Of the international
Harvester company. When the case
quashed on account of technicalities
Judge A. w. Dana, of the district
court sustained each of the other
counts and when the jury brought in
q verdict of guilty against the COM
pany he fined it three hundred dollars
on each count, making a total of
$12, The company might have
been fined forty-tWo thousand dollars
if the maximum penalty had been as
sessed.
The chief evidence that the Interna-
tional Harvester company was a trust
and had a monopoly of the harvesting
machinery business-of the country was
secured by the attorney general from
2. w Griggs, an Implement dealer of
Topeka This evidence was the state
ments of Cyrus K.kMcCormick, presi-
dent of the International Mr.. Griggs
went to Kansas City, to attend a meet
| ing of the Southwestern Implement
| Dealers aSso ciation. That was in jan
uary, 1908. The International had
| just been organized and the imple-
ment men wanted to know more about
NJ. ifslr iy,x- tod of
tend and tell them about the big mer-
Eger of harvesting machinery makers.
He said that the company. then con-
trolled 95 per cent of the harvesting
machinery plants in the country and
hoped to get all. He ann Eounced that
the Intention OF the company. was to
make prices unifor1a and to so handle
the business that thespo1apany and it's
agents would make MORE money than
heretofore made by any, of the inde-
| pendent manufacturers.
| There are two International Har-
vester companies rome of these is the
International Harvester company of
New jersey, the holding corporation,
which owns all of the harvesting ma
| chinery companies and the plants. The
| other IS the international Harvester
company of America, which is the
selling agent of thelJ other company.
| The fine is assessed against the Inter
national Harvester company of Amer
| lea as this is the company which
makes all OF the agency contracts Inc
| International Harvester company of
New Jersey does not sell any of the
products of it's numerous plants to any
| local dealer, the entire product being
handled by the International of Amer
| lea.
| 1t is certain that the case will be
appealed to the supreme court of the
United States. Before the case was
tried c. c. Coleman's term as attor-
| ney general expired and the prosecu-
ton of the case through the district
and supreme courts was handled by
Fred S. Jackson, attorney general. Mr..
Coleman and Mai. A. M. Harvey of
| Topeka
| The attorney for the company made
strenuous objections to the admission
of this evidence, which was most dam
aging to the company, as hearsay
Judge Dana admitted this evidence and
the supreme court sustained him. The
opinion of the court was written by
Justice Graves
| Further evidence that the company
Icontrolled prices and limited competf-
ton was obtained by the state from the
contracts with the different agents.
These contracts read that the ageni
would not handle any other brand OF
harvesting machinery except that spec1-
fed in the contract. The contracts also
specifically prevented any agent from
handling any goods.
Cudahy Writ Denied.
The Kansas supreme court has again
denied the application for writ of
Imandamus against G. E. Denton, Secre-
| tary of state, asked for by the Cudahy
Packing company. Two years ago the
Kansas legislature passed a law 1ncreaS-
| ing the fees to be paid to the secretary
of state by foreign corporations. Short
| ly before this law was passed the COM
pany increased it's capital stock to z
million dollars. Several months after
| the law was passed the company made
an application to the secretary of state
for new charter. embracing its in
lcreased capital. Under the old law the
tcompany's charter fee would have been
| 81 $50. Under the new law the fee was
| ST. ESQ 1t offered to pay the $1,100 for
Its charter on the ground that as It's
Icapita1 had been increased before the
law was passed it should be allowed the
smaller fee The secretary of state re-
fused to accept any but the larger lee
land the company tried to compel him to
take the 81, 100 by writ of mandamus.
The supreme court denied the writ three
months ago and then granted a re-
hearing The writ was again denied to-
day This case probably will go to the
supreme court of the United States.
| County Must Pay for Contagious.
When the board of county commits
| county health officer finds a destitute
family afflicted with smallpox it is
the duty of this health officer to quar-
antine the family to prevent the
| spread of the disease and to care for
| the patient and the county must foot
the bills. This is the decision of the
supreme court in the suit of E. F.
Hawthorne against the board of coun-
| ty commissioners of Cherokee county.
| Mrs Hawthorne was employed to
| sick with smallpox. The county COM
missioners were not in session when
Continued from Page Six.)