Rule 17. See that all free throws are made from the place where the foul occurred. The referee shall declare the foul by blowing a whistle, but he should not give the signal for the throw to be made, the player of the side to which the throw has been awarded, and who is nearest to the place where the foul was made, having to take the throw without any delay. It is of the greatest importance for the referee to have his attention well fixed on the other players, to see that none of them leaves the place he occupied when the whistle sounded. Many offences are committed against this rule, and it is necessary for the referee to be careful to enforce it. The first time a player offends against it, the referee can warn him, but if the foul is repeated, rule 16, article d) must be applied. A goal cannot be made from a free throw before the ball has been handled by at least one player in addition to the one that took the throw. If the one that takes the throw casts the ball against the goal-keeper of the opposite party so that it rebounds into the net, this shall not be reckoned as if the ball had been handled by the goal-keeper, but a throw-out from goal shall be awarded. The one that takes the throw may swim with the ball before he throws it, but he cannot make a goal. Another alteration in the rules is the regulation that a free throw shall be taken in such a way, that all the players can see the ball when it leaves the hand of the thrower; the referee shall see that this is done.
Source: Official Report Stockholm 1912, Olympic Games