Kellner, Maurice J

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IN THE MATTER OF MAURICE J. KELLNER, DOING BUSINESS AS 1\f. J. KELLNER, BROKER, ETC.

COMPLAINT, FINDINGS, AND ORDER IN REGARD TO THE ALI.IDGED VIOLATION" OF SEC, 2 (c) OF .A.N AC'l' OF CONGRESS APPROVED OCT, 15, 1914 Docket 1,796. Complaint, Auu. 6, 1942-Decision, July 8, 191,3 Where an individual, engaged as a broker of general food products and other.'" miscellaneous merchandise, and also as a jobber thereof- Received and accepted from numerous sellers !n other states on purchases on his own account for resale, brokerage fees or allowances or discounts in lieUt thereof:

lield, That in receiving and accepting such brokerage fees or allowances, or discounts in lieu thereof, from sellers upon his purchases in interstatecommerce, as aforesaid, be violated the provisions of Subsection (c) of Section 2 of the Clayton Act as amended by the Roblnson·Patman !Act. Mr. H. S. Ragsdale for the Commission.

Gottlieb & Schwartz and Libit & Limilauer, of Chicago, Ill., for respondent.

Complaint The Federal Trade Commission, having reason to believe that theparty respondent named in the caption hereof and hereinafter more- J)articularly designated and described, since June 19, 1936, has violated and is now violating the provisions of subsection (c) of section 2. of the Clayton Act (U. S. C. title 15, sec. 13) as amended by the Robinson-Patman Act, approved June 19, 1936, hereby issl!es its complaint stating its charges with respect thereto a,g follows: PARAGRAPH 1. Respondent, Maurice J. Kellner, is an individual,. doing business under the name and style of M. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co. and 0-K Sales Co., having his principal office and place of business located at 8th and Madison Streets, Springfield, Ill.

PAR, 2. The respondent is now and for many years prior he.reto. has been engaged in business as a broker of general food products and other miscellaneous merchandise and has conducted such business Under the name and style of :M. J. Kellner, broker, M. J. Kellnel" Brokerage Co., Illinois Brokerage Co. and 0-K Sales Co. PAR. 3. The respondent is now and for ma.ny years prior heretohas also been engaged in business as a. jobber of general food products and other miscellaneous merchandise and has also conducted such jobbing enterprises under the name and style of :M. J. Kellner, broker,. Findings . 37F. T. C.

M. J. Kellner Brokerage Co., Illinois Brokerage Co. and 0-K Sales Co.

PAR. 4. The respondent since June 19, 1936, has made many purchases of general food products and other miscellaneous merchandise for his own account; for resale, from numerous sellers located in States other than the State of Illinois, and pursuant to said purchases such general food products and other miscellaneous merchandise have been shipped and transported by the respective sellers thereof from the States in which such sellers are located across State lines either to the ' respondent or pursuant to respondent's instructions and directions to respective purchasers to whom such general food products and other miscellaneous merchandise have been sold by said respondent. PAR. 5. In the course and conduct of respondent's business as a jobber, he purchases such general food products and other miscellaneous merchandise for his own account in commerce as aforesaid under the name and style of M. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co., and has been and is now receiving and accepting from numerous sellers of said general food products and other miscellaneous merchandise so purchased, brokerage fees or allowances or discounts in lieu thereof on purchases of said general food products and other miscellaneous merchandise for his own account.

PAR. 6. The aforesaid acts of respondent constitute a ·violation of subsection (c) of section 2 of the Clayton Act as amended by the Robinson-_Patman Act approv~:~d June 19, 1936. · Report, FINDINGS As ·ro THE FACTs, AND Orner Pursuant to the provisions of an Act of Congress entitled "An Act to supplement existing laws against unlawful restraints and monopolies and for other purposes," approved October 15, 1914 (the Clayton Act), as amended by an Act of Congress approved June 19, 1936 (the· Robinson-Patman Act) (U.S. C. title 15, sec. 13), the Federal Trade. Commission on the 6th day of August, 1942, issued and thereafter served its complaint in this proceeding upon respondent Maurice J. Kellner, an individual doing business as M. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co., charging the· respondent with violation of the provisions of subsection (c) of section 2 of the said net. After the issuance and service of said complaint and the filing of respondent's answer, the Commission by order entered herein granted respondent's motion for permission to withdraw said answer and to substitute therefor an answer admit· ting all the material allegations of fact set forth in said complaint and :M. J. KELLNER, BROKER, ETC. 19 ! I l· 17 Findings l ' waiving all intervening procedure and further hearings as to said 'facts, and e!tpressly waiving the filing of briefs and oral argument, -which substitute answer was duly filed in the office of the Commission. Thereafter, this proceeding regularly came on for final hearing before the Commission on said complaint and substitute answer; and the Commission, having duly considered the matter and being now fully· advised in the premises, makes this its findings as to the facts and its conclusion drawn therefrom.

i· l FINDINGS AS TO THE FACTS j'I PARAGRAPH 1. Respondent, Maurice J. Kellner, is an individual, ·doing business under the names l\f. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co.; having h~s principal office and place of business located at Eighth and Madison Streets, Springfield, Ill.

PAR. 2. ·The respondent is now and for many years prior hereto has been engaged in business as a broker of general food products i' ~nd other miscellaneous· merchandise, and has conducted such business under the names l\f. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co. PAR. 3. The respondent is now and for many years prior hereto has also been engaged in business as a jobber of general :food products nnd other miscellaneous merchandise, and has conducted such business enterprise under the names M. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co. • PAR. 4. The respondent since June 19, 1936, has made many purchases of general food products and other miscellaneous merchandise for his own account, for resale, from numerous sellers located. in States other than t~e State of Illinois, and pursuant to said pur- {hases, such food products and 9ther miscellaneous merchandise have been shipped and transported by the respective sellers thereof from the States in which such sellers are located across State lines either to the respondent or, pur~uant to respondent's instructions and directions, to purchasers to whom such :food products and other miscellaneous merchandise have been sold by said respondent. ·. PAR. 5. In the course and conduct of respondent's business as a jobber, he purchases such general food products and other miscel· laneous merchandise :for his own account in commerce, as aforesaid 'under the name 1\f, J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co., and has been and is now receiving and accepting from numerous sellers of said general food Products and other miscellaneous merchandise so purchased, broker- Order 37F.T.C.

age fees or 'allowances or discounts in lieu thereof on purchases of said general food products and other miscellaneous merchandise for his own account.

CONCLUSION In receiving and accepting brokerage fees or allowances or dis- · counts in lieu of brokerage fees from sellers upon his purchases in interstate commerce of food products and other miscellaneous merchandise, as set forth in the foregoing findings as to the facts, the respondent, Maurice J. Kellner, an individual doing business as 1\f. J. Kellner, broker, 1\f. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co., has violated the provisions of subsection (c) of s~ction 2 of an act of Congress entitled "An Act to supplement existing laws against unlawful restraints and monopolies and for other purposes," approved October 15, 1914 (the Clayton Act), as amended by an Act of Congress approved June 19, 1936 (the Robinson-Patman Act).

ORDER TO CEASE AND DESIST This proceeding having been' heard by the Federal Trade Commissioll" upon the complaint of the Commission and the substitute answer of respondent, in which answer respondent admits all the material allegations of fact set forth in said complaint and states that he waives all intervening procedure and further hearings as to said facts, and expressly waives the filing of briefs and oral argument; and the Commission having made its findings as to the facts and conclusion that said respondent has violated the provisions of subsection (c) of section 2 of an Act of Congress entitled "An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes," approved October 15, 1914 (the Clayt_on Act), as amended by an Act of Congress approved June 19, 1936 (the Robinson-Patman Act) (U.S. C. title 15, sec. 13) : · It u ordered, That the respondent, Maurice J. Kellner, individually, and trading as M. J. Kellner, broker, M. J. Kellner Brokerage Co., Illinois Brokerage Co., and 0-K Sales Co., or trading under any other name, and his agents, representatives, and employees, directly or through any corporate or other device, in connection with U1e purchase of food products and other merchandise in commerce, as "commerce" is defined in the aforesaid Oayton Act, do forthwith cease and desist from:

Receiving or accepting from sellers in any manner or form whatever, directly or indirectly, anything of value as a commission, broker- . M, J, KELLNER, BROKER, ETC. 21 17 Order age or other compensation, or any allowance or discount in lieu thereof, ·upon purchases of food products or other merchandise made for respondent's own account.

It is further ordered, That the respondent shall, within 60 days after service upon him of this order, file with the Commission a report in writing, setting forth in detail the manner and form in which he has complied with this order.

Syllabus 37 F. T. C~