The Birmingham age-herald., 1911-04-27
Pennsylvania, Lake Shore, Bessemer and Lake Erie
 and Nickel Plate
OFFICIALS HAVE
 BEEN INDICTED
Dan R. Hanna of M. A. Hanna Con- pany, One of Biggest Ore Con-
 cerns in County, and McCabe
 and Ireland Are Indicted

Cleveland, April 26.-Thirteen in-
 dietments on total of 110 counts
 charging railroads entering Cleveland
 with rebating and alleging that two
 of the railroads and three individuals
 are guilty of conspiracy to violate the
 Elkins law were returned by the fed 1 eral grand jury here late today. The
 railroads are the Pennsylvania com
 pany, the Lake Shore and Michigan
 Southern, the Bessemer and Lake Erie
 and the New York, Chicago and st.
 Louis (Nickel Plate). l Dan R. Hanna, president, and R. l..
 Ireland. second vice president of the
 M. A. Hanna company, and D. T. Me-
 Cabe of Pittsburg. fourth vice presi- dent of the Pennsylvania company.
 were each indicted on one count which charges that the Hanna company has
 an alleged contract with the Pennsyl- vania company whereby the Hanna company is said to have rebated to shippers, profits of the Ohio and Vest
 ern Pennsylvania Dock company, a sub sldiary concern of the Hanna company.
 The dock company, which is included | in the indictment, leases and operates docks owned by the Pennsylvania com pany at several Lake Erie ports. Tho M. A. Hanna company is one of the
 largest iron ore. pig iron, coal and coke 1 concerns In the country. One of the ex-
 hibits before the grand jury shows the alleged payment to the Carnegie Steel
 company of $50.111.93 as a part of the
 earnings of the dock company The check reads:
 ITO the Carnegie Steel company.
 debtors, for your proportion of remain-
 ing surplus earnings of ore shipped
 from Pennsylvania company dock. year
 ending March 31, 1909, as per state-
 ment below, s50,111.93"
 The indictments were returned as fol-
 lows
 Lake Shore and Michigan Southern
 Railroad company and the Angeline Dock
 company of Ashtabula, O., conspiracy to
 violate the Elkins act, one count
 Lake Shore and Michigan Southern
 Railroad company and the Mohonins and Shenanga Does compaas q strAttbuia, O., same charge one count
 Lake Shore and Michigan Southern
 Railroad company and the Ashtabula | Deck company same charge, one count. | Lake Short and Michigan Southern
 Railroad company and the Pittsburg and
 Conneaut Dock company. same charge.
 one count.
 | The Bessemer and Lake Erie Railroad
 company and the Pittsburg and Conneaut | Dock company same charge, one count. | The Pennsylvania Railroad company, l charged with rebatng, B counts. | The Lake Shore and Michigan Southern 1 Railroad company. charged with relating. | 32 counts.
 I'M. company, charged with rebating 2S counts
 The New York. Chicago and St. Louis
 Railroad company, charged with rebating, 6 counts
 Will Begin Suits District Attorney W. L. Day announced immediately following the filing of the re- port that large and important suits would be begun immediately. The cases are interstate commerce. commission cases brought to insure that published ore shipping rates are effec- tive. The government will seek to show that the indicted railroads owned dock ing facilities in Ashtabula, Ohio, and
 Conneaut, Ohio, harbors. that these
 were operated by companies which were in effect hired" by the railroads; that the railroads paid excessive rates to the docking company for landing und unloading iron ore; that the docking
 
 money thus received to the shippers
 and that the whole constitutes con- spiracy In violation of the Elkins law. The penalty for rebating Is a fine of not less than 5000 nor more than $20,000 with Imprisonment not to ex-
 ceed two years. The penalty for con- spiracy Is not to exceed fine of $10,- 900 and imprisonment not to exceed two years. In addition, under the El-
 kins law, the government has the right
 to bring civil suit for three times the amount of money rebated. It would be possible in case of conviction for tho
 government to collect many millions of dollars.
 The investigation leading up to to- days action of the grand jury was
 started several months ago and is the first government Inquiry into ore transportation methods in the lower lake regions.
 Forty Witnesses Examined About 40 witnesses were examined
 before the grand jury, including off, cials representing the railroad and ore companies from the lakes to Kentucky. Among these were representatives of the Jones and Laughlin Steel company. Pittsburg; the Carnegie Steel company, Pittsburg; the M. A. Hanna company, | Cleveland; the Wheeling Steel and Iron | company, the Ashland Iron and Mining | company, the American Steel and Wire l company and the National Tube com pany.
 It Is District Attorney Days intention | to expedite matters as much as possi- | ble as he Is soon to assume the office | of United States federal judge of the | Cleveland district
 The real sensation of the case, Attor-
 ney Day said, would come with the
 divulging of the names of individuals
 indicted.