New-York tribune., 1918-08-06
Federal Jury Return. R;n
Charging Rebatins
Conspiracy
Aimed to Control
Cattle Shipmept
Armour and Swift Alles.1
to Have Prohted $3oo,oO,
by the Deal

The Pennsylvania Railroad. An.
& Co.. Swift & Co. and the .Jers..~
Stock Yards Company were ind;.. ,qI
the Federal Grand Jury yesterdss
the charge of conspiring to violo..v
interstate Commerce law prohjh,s
rebates. The indictments wers
turned to Judge Julius NJ. Nav,
the United States District Court
The indictments charged that Al
mour & Co. caused to be incorro...
the Jersey City Stock Yards Comma
all the stock of which was to be own,
by the Armour and Swift pack;ns -.
Germs. Then the Pennsylvania R,s
road, the indictments state. leased 4.
Harslmus stock yards property in T..
sey City to the Jersey CITY s,..,|
Yards Company at an inadequat. ~,
tai, and as the results the nacl,.
plants thereafter made their c,.I'
shipments over that railroad.
Changed Routing of CattI.
The indictments charged ths. "A,
packing concerns shipped liyes,o,,
destined for New York consumn,,,
over other railroads prior to the ls,,
ing OF the Harsimus yards, but sfts,
ward the shipments were routed NV,
the Pennsylvania Railroad. This n,..
tlce extended from November s IaS
to December 81, 1917, the indictmss.,
charged. ''N'4s
The indictments also charged that s
effect the object of the alleged cor.
splracy George d. Dixon. vice presidsr
and traffic department manager Of II.
Pennsylvania, sent this letter to San.
uel Rea, president of the Pennsr.
vanla:
Following our talk with YOU NJ
Atterbury and | met in Mr.. Sheppsrt,
office relative to the Jersey City sto
yards matter, and it was determinedk
us that It was advisable to allow A.
mour d Co. to purchase. if they eouE
the Halstead property located at ST.
enteenth and Cole Streets, JERSEY Cih
IN dong this it naturally follows hl
the original investment which the lu
sey City Stock Yards COMPANY 4.
tended to make upon our jersey CnI
property, namely, $4,000, will be n
duced to about $4,000.
Asks Authority for Change
This changes very materially Il.
proposition as submitted to and T.
proved by our board. Therefor
recommend that authority be obtay
from our officers to proceed with IN
development of this Jersey City STOCK
yards property on the basis outlined
IN the original proposition with ths
exception that the amount to be eg.
pended by the Jersey City Stockyars!
Company be reduced from $4,000 b
$4,000.
"1n making this recommendation 4
is felt that our company will, 10
doubt, benefit to the extent that Vt
Will carry considerable more lvestoa
over our rails to jersey City. whtt
livestock will be slaughtred at ts
Jersey City Stockyards property sM
transferred to the Halsted property d
Armour E. Co. at which point il will
be dressed, cured and packed for ship
ment
at is further understood that tn.
Jersey City Stockyards Company a
we'll as Armour g. Co., agreed that sT
livestock which they can in any wsy
control shall be shipped over the rails
Of the Pennsylvania Railroad syster
to the Jersey City stockyards for a'
or slaughter.
"ln addition to The above we hsH
arranged to make an agreement Wit.
Armour & CO., who will be owners d
the Halstead property, that any and oil
of their traffic shipped in or out sf
this property will he routed and f''.
warded via the Pennsylvania systsn
except who're it IS impractcable .
do so. This. VIC feel, VIII tie to OF
lines the traffic to and from this plsr
and it is the purpose OF our operstlF
officers to take up with the lines WIZ
already reach this property the QUE
ton of running rights or else to g
INTO the property with our own rils
Under tne present management We a.
reach the property by the payment D
switching charge or a pro-rats O.
the freight rate"
BY means of the lease, the indie
ments charged, the two packing con-
panies obtained an advantage ow'
their competitors and could obtain !.
formation concerning shipments max
by the latter. The Indictments es1,
mated INC financial benefits to III
packers the last three years 10 hsH
been about 100000.