Evening star., 1938-01-23
160|L CONVICTIONS
FOR PRICE. FIXING
BOOM TRUST DRIVE
30 Officers Also Guilty as
U. S. Wins a "Landmark"
Sherman Act Case.
$1,000 FINES AND JAIL
FACING DEFENDANTS
Conviction Of Violations Over TO-
State Area May Be Appealed
to High Court.
BACKGROUND

IN pToOdoty the most important
since the Sugar trust case and the
biggest since the 1911 Standard Oil
dissolution, is major oil firms and
80 OF their officers hare been
charged ,pith conspiracy to fr gas
oline prices in the Midwest. TAX
ing OF testimony and arguments
have consumed is meeks. Case
reuolped around purchases of dis
tress gasoline from independent
refneries By major concerns dur
ing and after N. r. A. code in
1885 and 1886.
Encouraged by victory in the Roose-
velt administrations first major anti
trust case yesterday. with conviction
Of 16 oil companies and 30 Of the
Nations leading oil officials, the Jus
tice Department is going ahead with
investigations of scores of complaints
charging monopolistic practices in
other industries.
Whether concerted action against
other alleged monopolies is planned
The verdict of a jury of middle e-aged
farmers and small-town business men
in the Federal Court at Madison. Wis.
that the oil companies and officials
were guilty of conspiring to raise and
fix gasoline prices in 10 Midwestern
States during 1885 and 1886 after a
16-week trial was hailed by Attorney
q
tory in the enforcement of the anti
trust laws"
Other Justice Department officials
described the case as probably the
most important antitrust action since
the sugar trust case and the biggest
eince dissolution of the Standard Oil
Co. in 1911"
"A Landmark"
Assistant Attorney General Robert
II. jackson, spearhead Of the admin
astration's attack on monopolies, said
yesterday: THE verdict is a landmark
In the history Of antitrust enforce
ment."
The sugar trust case was launched
during the closing days of the
Hoover administration, the Govern
ment charging the Sugar Institute,
Inc, and Al other individual and cor
porate defendants with conspiring to
restrain interstate and foreign COM
merce by fixing the price of refined
cane sugar and controlling major
channels Of distribution. In February,
1886, the Supreme Court affirmed a
court decision in the Southern Fed
eral district Of New York and upheld
the Government.
Several antitrust suits involving
great industries are now in litigation.
The aluminium Co. of America must
reply soon in New York Federal
Court to Government charges that it
exercises a virtual monopoly over the
aluminium market. Another suit
charges the Western Union and Postal
Telegraph companies with monopoliz-
ing the telegraph communications
held by contracts which the Govern
ment asserts guarantees to each ex-
elusive railroad and hotel property
rights.
Bids submitted by IA Midwestern
rubber companies for Treasury De-
partment tire contract are being
scrutini7ed. Domestic brush manu-
facturers are being investigated, and
IN Pennsylvania the Justice Depart
ment is measuring the extent Of coal
carrying railroads control over the
anthracite coal industry. Mr.. Cum
n1ings ordered the coal investigation
January II following a conference
with President Roosevelt and Gov.
George H. Earle Of Pennsylvania.
20 FACE PRISON TERMS