Los Angeles herald. [microfilm reel], November 08, 1907, Image 1

About Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911

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the News
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VOI,. XXXV.
NVMIIER 37
SANTA FE TO PAY $330,000 IN FINES FOR REBATING
BIG CROPS
WILL BRING
GOLD TO U.S.
PROTECTIVE MEASURES OF
EUROPE USELESS
CASH CONTINUES TO POUR INTO
NEW YORK
Banks of England, France and Bel
gium Advance Rates — America
Able to Command Move,
ment of Capital
By Associated Press.
NEW YORK, Nov. 7.— The contest of
the European money markets to retain
their gold resources was indicated by the
tiiiiulluiiuous action today of three of
the large central banks of Europe and a
call for a meeting for tomorrow of the
governing board of a fourth. The Bank
of England advanced its rate of dis
count from 6 to 7 pen cent, a rate which
has not heretofore been reached since
1873. The Bank of France advanced its
regular discount rate from 3V» per cent to
4 per cent an~ fixed the rate for loans
on securities at 4V4 per cent. The Nation
al Bank of Belgium advanced Its rate
of discount from sft per cent to 6 per
cent and Dr. Koch, governor of the Im
perial Bank of Germany, called a meet
ing of the law governing board for to
morrow, which it is expected will ad
vance the discount rate from 6 to 7 per
cent.
These movements in Europe are re
garded as an indication of the ability of
New York to command the gold and the
c .orts of the European banks to protect
themselves against this demand.
Even the high discount rates, however,
are regarded as insufficient to prevent the
further importation of gold into this
country, in view of the large credits
which are being created by the shipment
of wheat and cotton.-
New York already has engaged on the
move gold to the amount of $39,175,000,
and the scant crops in Europe and thu
rapid outward movement of American
products threaten to draw more gold
to this country in spite of the protective
measures of the European banks.
Confidence Keynote
The general feeling in financial circles
here today was one of serenity and con
fidence in spite of the advances in Euro
pean bank rates. The continuous arriv
als of gold, which were swelled by $1,600,
0 coming on tthe Teutonic, are rapidly
replenishing bank reserves and affording
tlio basis for protecting credit. It is not
anticipated that It will bo necessary to
issue small scrip here, as is being done
in other cities, although wages in many
cases will be paid in checks.
Goldman, Sachs & Co. have announced
the engagement of $1,650,000 for import
from London. Kuhn, Loeb & Co. also
announced that they had secured $500,000
in Europe. •
The high rate fixed by the English bank
is not expected to entirely arrest exports
from London to New York, but is counter
upon in London to equalize the distribu
tion of the yellow metal among European
money centers so as to offset losses to
America by importing gold from other
P The" fact that the Bank of France had
advanced its rate, although to only i per
cent, is considered a recognition of thi
severity of the pressure upon the bank's
great gold resources. This action Is of
special significance, because it Is the con
sistent policy of the Bank of France to
afford commerce the benefit of a low and
uniform rate of discount and even to
buy gold at a loss unless conditions in
the international money market make It
necessary to protect the reserve.
Declines Expected
The stock market reflected the pres
sure for money by considerable declines
today but these declines generally were
expected by bankers, who looked upon
the rapid advance In quotations of yes
terday as hardly Justified by the sltua-
The engagement of gold today brought
up the total Importations on the present
movement to $40,425,000, an amount which
would permit a loan expansion of more
than $150,000,000 If the legal reserves had
not been already Impaired. The situation
in regard to the trusts companies is grad
ually becoming normal. The committee
of trust company presidents is satisfied
that their assets are ample to meet all
of their obligations, and will give them
all the aid offered In case demands on
them should continue. Plans for regain
ing their old volume of business are un
der discussion but will require some time
for definite conclusions.
The temporary scarcity of currency is
being met very generally, according to
reports reaching New York, by the issue
of printed certified checks or temporary
Interest-bearing notes, and In some casas
by scrip issued by manufacturing and
other non-banking corporations. This
resource was very generally resorted to
in 1893 and practically no trouble arose
from any such issues. Most of the scrip
issued at that time was payable after a
specified period, as ninety days or six
months, but where issued by the banks
with the support of the clearing house,
usually specified that the paper would be
received on deposit at the clearing house
Some question arose at that time as to
whether this paper would be subject to
the tax of 10 per cent Imposed upon the
Issue of notes to circulate as money by
individuals or Institutions other than
national banks. The question was settled
by Attorney General Olney in an opinion
of November 21, 1893, that "the tax on
state banks imposed by the act of Feb
ruary 8, 1875, applies only to promissory
notes and not to other negotiable cr
ouasi-negotiable paper" _
' The attorney general Advised that three
of the instruments submitted to him were
plainly not notes, but checks, and might
be left out of consideration. The teat
case was on a certificate of the clearing
house of Albany. Georgia, which stated
there had been a deposit of securities ;o
double the amount of the obligation to
the bank which was responsible for the
note, and that these securities were de
posited for the payment to the bank or
bearer in lawful money of the United
States, at six months from date, or
earlier, at the option of said bank.
The attorney general not only laid down
a rule that such* paper was not subject lo
(Continued on Page Two.)
Los Angeles Herald.
AMERICAN CITIZEN SEIZED
ON SHIP BY NICARAGUA
By Associated Prew.
SAN FRANCISCO, Nov. 7.— -Seized by
a detachment of Nlcaraguans after
being driven out of his hiding place on
board the Pacific Mall liner San Juan at
Corlnto, Elisarclo Maceo, an American
citizen, the aon of the famous Cuban
general, was captured during the out
ward trip of the San Juan from this
port and thrown into prison at Managua
in Nicaragua, despite the protests of
the Brazilian minister to the peace con
ference and the 200 American paasen
gerß of the steamer.
This word was brought here today
when the San Juan arrived from her
voyage down the southern coast. Ma
ceo, who several years ago led a revo
lution against Nicaragua, traveled
under the name of Morris and claimed
to be an American citizen. He was
found after a search by an armed force
of Nlcaraguans in his cabin with a re
volver pressed to his temple.
FORGOTTEN ORDERS
CAUSE TWO DEATHS
Jolted from Cab When Engine Strikes
Dead Rail and Both the
Men Are Instantly
Killed
By Associated Press.
SAN BERNARDINO, Nov. 7.—Conduc
tor J. C. McGregor anu Brakeman J. J.
Stauffer of Santa Fe's Colton switching
crew lost their lives tonight a mile north
of Colton. ,
They were jolted from the running
board on the head end of their onglne,
which had plunged onto a dead end of
an :ce house tradk used during the past
few days while the main line was under
going repairs.
The repairs were completed late this
afternoon and orders were given the Col
ton switching crew to use the main line.
These orders were overlooked and the
crew took the, ice house track, which
at the junction with the main line had
been cut out.
The men had no warning, the engine
plunging Into the dltcu, Jolting McGregor
and Stauffer from their positions. Both
fell to the roadbed and were Instantly
killed beneath the engine tender.
McGregor leaves a wife and family.
Stauffer had been employed on this sec
tion about six weeks, coming here from
Wlnnemucca, Nev.
Summary of the News
FORECAST
For Los Angeles and vicinity:
Cloudy Friday; light west wind.
Maximum temperature yesterday,
76 degrees; minimum, 56 degrees.
LOCAL,
United States District Judge Olin
Wellborn assesses fine of $330,000 on Santa
Fe railroad for rebating.
Unidentified man killed by street car.
Flower show opens in Blanchard hall.
Man killed at Downey Wednesday
Identified as William Polk McDonall.
Decision in superior co t clears hotel
company from all blame for death of
workmen when building collapsed at Long
Beach a year ago.
Municipal legal department calls atten
tion to strict laws requiring public con
tractors to pay wages and bills promptly.
Baby touches live wire in electric sub
station and is instantly killed.
Deputy District Attorney Shaw renders
decision for guidance of secessionists of
Pomona, who seek to form a new county.
Supervisors appropriate $5000 for pur
chase of automobile for use of county
sheriff.
Little baby is killed by thousands of
volts of electricity passing through its
body.
Legal flaw is found in plan to build
Downey-Elysiar. bridge.
District attorney tells measures neces
sary for Pomona to divide county.
COAST ¦
Sanitary campaign at San Francisco to
be subject of conference at which the
governor will be present. Funds insuf
ficient.
A. J. Grill hanged for murdering man
with whose daughter he was Infatuated.
Body found in San Diego bay Identified
an that of F. J. Barley.
Father Quinn given property left him
by woman, by court decision.
Napa man killed by saw. Leg crushed.
Injuries prove fatal.
Japanese at San Diego refused license
to wed white woman. Is Mongolian, basis
for action.
Women undergraduates decreasing at
Berkeley, says report of recorder.
FOREIGN
Elisardo Maceo, son of Cuban general,
passenger on steamer, taken by force by
Nlcaragjuans. Is American citizen.
Argentine republic and Uruguay in
volved In dispute over seizure of gunboat
by former.
Elections please Taft. Secretary sails
for Vladivostok Saturday.
Spanish province torn by earthquake.
Many reported dead.
EASTERN
Financiers expect big crops of America
will bring gold to United States despite
European protective policy.
Lusitania beata own record by forty
minutes, bringing J10.0u0.000 in gold.
Rare Egyptian re'.ics added to exhibition
at Metropolitan museum, New York.
President Roosevelt congraulates F. J.
Heney on result of San Francisco election.
Y. M. C. A. at Panama paying propo
e.'tion, says secretary. Saloon business
cut 60 per cent.
Investigation of Mutual Reserve Life
Insurance company demanded by organ
ized policy holders.
Victims of railroads during year num
ber 80,000, according to commission.
Killed, 5000.
Dead letter post cards to be given to
Washington orphan asylums, orders post
master general.
Woman fires Illinois insane asylum and
escapes.
Ten killed by explosion of two cars of
dynamite In Arizona.
Senator Heyburn of Idaho summoned as
witness in trial of Bteve Adams.
FRIDAY MORNING, NOVEMBER 8, 1907.
IMMIGRATION
ONLY PROBLEM
SAYS HAYASHI
JAPANESE FOREIGN MINISTER
SPEAKS
DEPRECATES TALK OF FRICTION
WITH U. 8.
"Cause of Civilization and Community
Interest Demand Lasting Peace"
Hit Assertion — Ambassador
O'Brien In Favor
By Associated Frets.
TOKIO, Nov. 7. — The official silence
so long consistently maintained by
Japan on the subject of the relations
of the United States and Japan In con
nection with ttye persistent reports of
friction was broken today by Minister
of Foreign Affairs Hayashi. He pre
faced his statement by expressing the
hope that a sincere pronouncement by
the foreign mlnlsetr of Japan would
prevent further misrepresentation and
finally result in disrceditlng those who
are constantly circulating false and
harmful reports. He spoke not only as
foreign minister but as representing
the sentiment of the entire cabinet and
the public.
Minister Hayashi said that the rela
tions between Japan and America were
as smooth and cordial as ever, and the
cause of civilization as well bm com
munity of interests demanded their
lasting peace aitd friendship. His pro
nouncement confirms the views ex
pressed on every hand by politicians,
newspapers and others.
Minister Hayashi admitted that the
immigration question was the most
serioua matter and was uppermost In
the public mind, but he was positive
that it would be settled without fric
tion. Already It practically has been
decided, ho declares. The Japanese
government proposes to control emi
gration in such manner as to benefit
Japan and at the same time conform
to the wishes of America and ia taking
the most active steps In this direction.
He believes that Japan will be able to
solve the question In this matter, it
requiring only the patience of the peo
ples of both countries.
One thing certain is that the Japan
ese government is not solicitous for the
immigration if its people Into any
country.
Minister Hayashi said:
"The only thing causing anxiety in
the mind of the public here Is the im
migration question, but far from being
unduly excited, the people of Japan are
satisfied to rest the case, In full con
fidence that it will be adjusted in a
manner worthy of both nations, by the
fair-minded people of America who
have earned that name by a pre
eminently just and liberal policy in the
extreme east during the last half cen
tury.
"According to reports from various
sources dealing with what Is called the
Japanese situation, it appears certain
that a portion of the press of the United
States is bent on representing an ulti
mate conflict with Japan as Inevitable,
and in order apparently to subserve this
special purpose events of trifling' im
portance are magnified into matters
portending 1 grave consequences. Facts
that can be explained easily and natu
rally by the commonest kind of com
mon sense are commented on and called
into question on far-fetched hypo
theses, and the uninitiated public grad
ually is led into the vague belief that
the relations of Japan and the United
States . are anything but smooth and
cordial. These misrepresentations are
incomprehensible and we are unable to
explain them except on the ground of a
political or financial nature.
"The repeated publication abroad of
intimations of strained relations is de
plorable, chiefly on account of the bane
ful effect it cannot fail to produce up
on commerce, a delicate plant which
thrives only in the genial atmosphere
of mutual confidence and cordial inter
dependence.
"A relieving feature is found in the
happy fact that these ominous state
ments find no echo on this side of the
Pacific. Notwithstanding reports to the
contrary, the people of Japan regard
the situation with a sense of complete
complacency and absolute confidence.
It is true that at the time of the San
Francisco troubles popular feelings of
mortification and resentment were
aroused, but our people knew that the
hostile feeling in America was only
local and temporary, and their con
fidence In the fairness and Justice of
the Americans never deserted them,
even in those trying days.
"At present the situation in Japan is
calmer than ever. It is impossible to
find a single newspaper out of a vast
number of Journals of all shades of
opinion with an unfriendly sentiment
toward America. I allude to news
papers having any standing- in Japan.
The correct attitude of these few
moulders of public opinion is the most
eloquent and irrefutable testimony of
the absolute pacific nature of the popu
lar mood In Japan. Notwithstanding
that some newspapers assert that the
Japanese attitude is bellicose, I say
again that that Is Inconceivable."
In conclusion Minister' Hayashi said
emphatically:
"The attitude assumed by the Jap
anese government, which after all is
only a reflection of public sentiment, is
that it is convinced that the cause of
civilization as well as community In
terest demands lasting peace and
friendship between the two nations
bordering the Pacific."
Relations between United States Am
bassador O'Brien and Foreign Minister
Hayashi are Increasing In friendship
and cordiality. The Japanese govern
ment has confidence in O'Brien and it
may be presumed that the questions
affecting the future relations of the two
countries and amicable settlement of all
questions have been fully discussed. In
Japanese official circles much attention
is being paid to Ambassador O'Brien
and admiration of his methods is ex
pressed. He was given an official re
ception tonight, which was attended by
over 200 Japanese and members of all
the foreign embassies and legations. It
was a brilliant affair. Minister Hayashi
was among those present.
Principal Figures in Santa Fe Rebate Cases
JUDGE OLIN WELLBORN.
Who Fined Santa Fe
NO CHANGES
SAYS TAYLOR
HENEY IS CONGRATULATED BY
ROOSEVELT
Taylor's Majority Is 411, According to
Official Returns — Good Govern
ment Force's Victory
Sweeping
By Associated Press.
SAN FRANCISCO, Nov. 7.— Mayor
Taylor declared today that he would make
no changes in the various commiasions of
the municipal government.
"There is no particular reason for any
changes now just because an election has
been held," said he. "I have said before
that commissioners should not be dis
turbed In holding or exercising office for
whim or any cause except incompetency
or dishonesty, and such wiil continue to
be my attitude."
WASHINGTON, Nov. 7. — President
Roosevelt today issued the following
statement regarding election held Tuesday
last:
"The president regards the result of the
election as extremely gratifying. He has
sent a letter of hearty congratulation to
Mr. Heney to San Francisco.
"The victory in New Jersey was pre
cisely what happened nine years ago in
the middle of President McKlnley's ad
ministration. He had carried New Jersey
by 88,000. As compared with the elections
next preceding' the last presidential elec
tion we have done decidedly better than
we did in 1903. Then, as on Tuesday,
Rhode Island and Maryland went against
us, but thle year we have won a sweeping
victory in Kentucky for the first time
since McKlnley's first election, and the
victory in Massachusetts was also re
markable.
"The showing in Pennsylvania Is equally
good. The showing in New York etate, as
a whole, was excellent, far better than
was the case prior to the last presidential
election. That the result In Manhattan
was due to purely local causes Is shown
by comparing it with the decisive tri
umphs in Brooklyn, Buffalo, Albany and
Ir the state generally. The president's
homo county of Nassau- made a better
showing than It ever has in an off year.
As a whole, the ehowing has been an im
provement over what it was four and
eight years ago."
SAN FRANCISCO, Nov. 7.— The count
of the, votes cast In the city and county
election was completed at 1:30 p. m. today.
It shows that of the 57,201 ballots cast
for mayor Dr. Edward •, R. J Taylor, the
Good Government : incumbent, received
28,806; P. H. McCarthy, , Union Labor,
17,617; D. A. Ryan, . Republican, 9277; E.
L. Reguin, : Socialist, 1503.
Taylor's plurality over McCarthy is
1,189 and hln majority over \ his >. three
opponents is 411. Of the 66,0! d votes cast
for district attorney William H. Langdon,
Good Goveritment incumbent, ' received
34,7%; Frank McGowan, ¦ Union : Labor,
19,973; Ernest E. Kirk, Socialist. 1289. ;;
. Langdon's - plurality over McGowan is
14,817, and his majority over • his two
opponents is 13,608.- .':.
The completed . ' semi-official returns
show that not a single Republican can
didate was elected and ¦'¦ only .¦:. ¦ : the . city
treasurer, John P. McDougald, : and the
county clerk, Harry ;I. • Mulcrevy, ', were
elected on the Union Labor ticket, each
by an : insignificant \ plurality. . ; The . Good
Government forces elected the mayor, tho
district attorney, a solid board of super
visors, the auditor, ; assessor, '¦ tax collec
tor, recorder, city attorney, public v ad
ministrator, sheriff, coroner and two po
lice Judges. - '¦¦' '.-'¦¦'¦ -..•'„ "¦ ¦'."•..•¦¦¦•'•.-.-¦.¦ "'¦
Twenty-one charter ¦ ¦ amendments '. and
one ordinance were . voted i upon, ft chief
among them in popular interest being an
amendment t. empowering the people / , to
recall I faithless public officials and ! elect
successors to . them. |By j a vote of , 22,961
against 5565 the people | adopted , this rad
ical principle of municipal reform. ¦ .Nine
teen of the twenty . other .C amendments
were adopted and the proposed ordinance
reducing by $100 a year the retail liquor
license was defeated. .:¦¦,. I' ;¦-;¦
• » »
Car Kills Last Indian
BURLINGAME, Cal., Nov. 7.— lndian
Joe, the last full-blooded Indian in San
Mateo county, was killed by an electric
car last night two miles north of this
place.
E. C. RIPLEY,
President of Santa Fe.
HEYBURN IS
A WITNESS
IDAHO SENATOR CALLED IN
ADAMS CASE
Government Witness Disappears,
Charging Bad Faith in Failure
to Receive Appointment on
Indian Reservation
By Associated Press.
SPOKANE, Wash., Nov. 7. — United
States Senator Heyburn of Idaho was
brought into the trial of Steve Adams
today for the alleged murder of Fred
Tyler ten years ago in the Marble
creek district of Shoshono county.
Archie Phillips, who testified for the
state at the first trial of Adams, dis
appeared recently from his home in
Spokane, but left a letter to Henry P.
Knight, attorney for the state, assert
ing that his life was In danger; that he
has received threatening letters several
times. "A week ago last Sunday I
found a sack with ten pounds of dyna
mite, a box of caps and a roll of fuse
hidden behind my house," he says.
Phillips, in this letter, expresses dis
gust at the treatment he has received
from the state and government, says his
wife Is a nervous wreck from terror,
and he severely censures Senator Hey
burn for his failure to secure his ap
pointment as an < stimator on the Coeur
d'Alene Indian reservation. Phillips
encloses a letter from Senator Heyburn
to Chairman Shoemaker of the Koote
nal county Republican committee, in
which the senator says:
"I note what you ssiy with reference
to Archie Phillips. There is a Judg
ment in the court here that he Jumped
the claim over which the killing of
Boule took place on the Marble creek.
It would not do to appoint him, as It
would cause a row. I have instructed
that his application bo withdrawn."
The letter was read by Mr. Knight
on the witness stand and followed the
filing of an affidavit that the state
wished to put Into the present record
the testimony of Mr. and Mrs. Phillips
given at a former trial at Wallace. The
defense objected. The court took the
matter under advisement. The fate of
the case may hang on this point.
It is expected that Adams' confession
will be put up some time this week.
George 11. Rodt, clerk in a Wallace
store, gave sensational testimony this
afternoon. He told of a meeting ho
had with Steve Adams under the name
of Dickson near Jack Simpkins' cabin
in the Marble creek country in July,
1894. Root said he was with a fishing
party and happened onto a meeting of
settlers where Simpkins Introduced him
to Adams and vouched for him as being
"all right." Root looked straight at
Adams while he was testifying, and
Adams hung his head.
Witness said the talk of the men was
as to how to rid themselves of the
jumpers.
Catinet at San Diego
By Associated Press.
SAN DIEGO, Nov. 7.— The French cruis
er Catinet, flagship of the French Pacific
squadron, arrived early this morning,
eight days from Honolulu. She will re
main here about three weeks and leave
for San Francisco.
DTVnT /VYPriT'G. DAILY. 2ci SUNDAY
oJLJM LirlJii UUJrUtliO. on trains. 5 cents ;
OSCAR LAWLER,
United States district attorney,
who prosecuted case.
ATLANTIC
RECORDS GO
LUSITANIA BRINGS $1,000,000
GOLD
Giant Cunarder 3eats Own Time by
Forty Minutes — Fights Last
Lap in Teeth of
Gale
3y Associated PrPS«.
NEW YORK, Nov. B.— With $10,000,000 in
gold in her strong box and a new trans
atlantic record written in her log, the
Cunard turbiner Lusitania passed Sandy
Hook lightship at 1:40 o'clock this morn
ing-.
In one grand performance the great
vessel broke her own world's record and
brought to the relief of the money mar
ket her $10,000,000 in gold in unprecedented
time.
The westbound trip was made approxi
mately In 4 days 19 hours and 10 minutes.
The exact time can only be known from
tho official recording. Her hourly average
was a little better than twenty-four knots
and she has probably fceaten the record
about forty minutes.
The former western record of the tur
biner, completed October 11 last, was 4
days 19 hours and 52 minutes. The av
erage on that trip was 24 knots an hour
for the distance of 2781 miles. The best
day's run was 617 knots.
The Lusitania fought out the last lap
in her race in the face of a southwest
gale. She had been favored with ideal
weather until early yesterday, when she
ran into an off-coast ttorm that consid
erably bothered her.
When she swept by the lightship this
morning she cut her way through a tum
bling sea. .
The turbiner came to anchor outside
the bar, where she waited daylight to
come through the Ambrose channel,
which is not lighted at night. She is
expected to dock about 10 o'clock this
morning. With a big passenger list and
unprecedented gold Imports she sailed
from- Hull down to the westward of
Daunts rock and headed for Sandy Hook
the Lusitania steamed at top speed. Her
daily runs were 606, 616, 618 and 610 knots
up to noon yesterday. The best day's
run beat her previous run for twenty
four hours by one knot. This run of 618
knots was made In the twenty-four hours
preceding Wednesday noon. Fair weather
for the better part of the trip and her
machinery shaken down and running
smoothly, both contributed.
From the passengers' standpoint the
trip was a wonderful one. The Lusitaala
passed Nantucket at 6 o'clock last night.
At 11:30 she was sighted about thirteen
miles southeast of Fire island. This is
several miles farther out than vessels
are usually made out from Fire island
and the report gave rise to the belief
that she would make Sandy Hook before
she did.
5000 KILLED IN YEAR
ON AMERICAN RAILROADS
Report of Interstate Commerce Com.
mission Shows Big Increase
Over Figures for the
Previous Year
By Associated Press.
WASHINGTON, Nov. 7.— The interstate
commerce commission bulletin on acci
dents on railroads of the United States
during the year ended last June shows
total casualties of 81,286, or 5000 persons
killed and 76,286 wounded.
This shows an increase of 10,352 casual
ties,; or 775 in the killed and 9777 injured,
as compared with , the previous year. ¦ • •
. ' ¦ - : . ; »¦ > ¦ ¦.¦ '
BARATOGA, OF PERRY'S
FLEET, SOLD FOR $3210
By Associated Press.
WASHINGTON, Nov. 7.— The navy de
partment will accept the bid of $3210 by
Thomas Butler & Co. of Boston, highest
bidder for the old and obsolete sloop of
war Saratoga, built in 1824* The sloop
was one of Commodore Perry's ships on
his Japanese expedition.
2 CENTS
RAILROAD IS
FOUND GUILTY
ON 66 COUNTS
IUDGE WELLBORN IMPOSES
$5000 FOR EACH
GRANTS THIRTY DAYS TO FILE
BILL OF EXCEPTIONS
According to Amount Involved Mon
ster Fine Is Greatest Ever Im
posed In History — Oscar
Lawler Triumphant
Fines aggregating $330,000 were Imposed
by Judge Olin Wellborn of the United
States district court of the southern di
vision of California upon the Santa Fe
Railroad company yesterday for granting
rebate!? to the Grand Canyon Lime an<3
Cement company in violation of the El-
Itins law. These rebates are alleged to
have been granted in connection with the
shipment of lime from Nelson, Ariz., to
Los Angeles.
The railroad was Indicted on slxty-slx
counts by the grand Jury on January 9
of the present year. The fine Imposed
by Judge Wellborn yesterday represents
a fine of $3000 on each of these counts.
According to the testimony brought out
at the trial of the company on September
30 the unlawful concessions aggregated
r.ot more than one per cent of the total
traffic, or $340.53.
iFor this reason the fine ie said by at
torneys to be without a parallel, while
attorneys for the company do rot hesltaU
tc say it has been placed at an amount
altogether too high.
Asks for Time
The decision was read by Judge Well
born from the bench In his court room In
the Tajo building. He had scarcely con
cluded it when Attorney E. W. Camp,
representing the company, and the man
on whom notice of the indictments was
served the day after they were returned
l»y the grand jury, arose and asked a stay
ot execution. He requested the court to
I delay execution until January 1, stating
he wished to prepare a bill of exceptions
and take other steps he might deem ad-
At the close of Mr. Camp's request
Oscar Lawler, United States district at
torney and the man who has conducted
the case against the railroad company,
arose and objected to any such delay be
ing granted. He stated he would not ob
,ioct to the convicted defendant being al
lowed thirty days, and after some hesita
tion Judge Wellborn agreed to this mo
tion. The court then informed Mr. Camp
if at the expiration rf that time It was
iound necessary that more time be
granted an application for an extension
would be considered on its merits.
Despite the fact that the railroad at
torneys made no definite expression of
the course the}- intended to pursue, it is
understood Attorney Thomas Norris, cor
sel for the company, will file notice of
appeal in the case soon.
Judge Reads Opinion
At the rendering of the decision yester
day Judge Wellborn departed from his
usual custom and read the opinion which
prefaced the judgment.
When he mounted the bench at 10:30 he
I found the court room crowded with
I scores of interested persons who filled the
place to lta utmost capacity. Attorneys,
I laymen, newspaper men, stenographers
cupled every inch of available space.
testifying to the great interest the case
At the small table in front of the judge's
stand and a trifle to the right was At
torney E. W. Camp, the representative
of the convicted corporation; Oscar Law
ler, United States attorney and A. I.
McCormick, his assistant.
As Judge Wellborn took his seat the
silence of the room was broken only b>
the rustling of papers as the stenog
raphers prepared to take notes of the de
cision. The Judge leaned forward and
unfolded the paper on which the de
cision was written.
In a clear, even voice he then read a«
Judge Wellborn's Decision
The defendant, after a fair trial, be
fore an impartial jury, with able
representation by attorneys of high
standing and eminent attainments, has
been convicted of the offenses charged
in the Indictment ard it now remains
forthe court to pronounce against it
the sentence of law.
It ia obvious to the commonest un
derstanding that, In the practical
demonstration of penal laws the ad
justment of punishment to crime Is a
matter of no inconsiderable difficulty.
In the very nature o- things there can
be no fixed rules for an accurate
measure of the former, and hence its
extent must be confided largely to Ju
dicial discretion.
The Elkins law, under which the de
fendant has been convicted, prescribes
as the punishment for Its violation a
fine of not less than $1000 nor more
than $20,000.
Where, In a particular place, the de
fendant's proven guilt is of an ex
tremely aggravated form, as some
times occurs, or where the circum
stances of another case so mitigate
the offense as that it is a mere tech
nical violation of laws, the duty of the
judge Is clear, to impose In the one
case a maximum penalty and In the
other the minimum penalty.
Experience, however, shows that a
majority— perhaps a large majority—
of convictions under laws where the
limits of punishment are broad, occupy
intermediate grounds, and In such
cases just what punishment fits the
offense is always, to the judicial mind,
a serious and perplexing question.
In order to rightfully answer this
question, the policy of the law and
the mischiefs It was designed to rem
edy, as well as the peculiar fact of
the case In hand, are to be considered,
and to each circumstance should bo
given the weight to which it is duly
The situation which now confronts
me is of the kind just described. And
the case at bar public justice does not
call for the highest nor admit of the
lowest penalty. The right of the mat
ter lies somewhere between these two
extremes.
For a quarter of a century congress
has sought to so regulate commerce
between the states and territories am
(Continued oa Pace Tare*,) /
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