The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1893-07-20
EXIT COAL COMBINE
Attorney General Stockton's
Special Report to Cow
ernor Werts.
HISTORY OF GREAT SUIT
The Closing Triumph Of Leon
Abbett's Career as Chief
Executive.
IST0RY OF A GREAT SUIT
special 10 The jersey cttu News

hEN4ON u ~ ~
General John P. Stockton has made q
special report to the Governor in refer
ence to the litigation against the rail
roads that formed a combination to con
troll the price of coal. He not only gives
q history of the combination and how
the State pursued it. but shows the
course of the legal movements made and
the conclusion. Some abstracts are made
from the report:--
Under date of December S, 1892. at the
request of Governor Leon Alb pett. 1 made
a report, giving an account of the pro-
ceedings which had been instituted
against the combination. and the c0n-
dition they were in a. the time the report
was submitted. In that report stated
that from the decision in the Central
Railroad case, the Philadelphia and
Reading Company had appealed to the
that testimony was also being
taken in that case to be used
on the final hearing of the same
in the Court OF Chapcery. The appeal to
the Court of Errors WAS from the decree
of the Chancellor, based on his opinion
of August 25. 1892, In which he held that
the lease betweeen the Central Railroad
SStID way - y OSAoSJ 80 AhNNA
lug Raj roe Company, the Philadelphia
and Reading Railroad Company. and
other roads, was not only unauthorized,
but was expressly forbidden by law.
APPEAL DISMISSED.
The appeal has since been dismissed
from the Court of Appeals. aud u final
decree entered in the Court of Chancery
ordering that u perpetual injunction
issue againss the defendants restraining
aud prohibiting them from further per-
forming and carrying into effect the lease
of the Central Railroad Company of New
Jersey to the Port Reading Railroad
Company Of February IL, 1892, Ind the
tripartite agreement Of even date there
with, between the Central Railroad Com
pany OF New Jersey, The Philadelphia
and Reading Railroad Company and the
Port Reading Railroad Company. aud the
agreement mad Oct cen the Lshigh and
Wilkesbarre Coal Company n the
Philadelphia and Reading and Coal aud
Iron Company, of April 80, 1891, and for
bidcing the Philadelphia aud Reading
Railroad Company fIom continuing to
control the roads. property and fran
chises of the Central Railroad Company
of New Jersey. and from in any wise fur
ther 1n~termeddling there with. and re-
strainlng and prohibiting the Central
Railroad Company of New Jersey from
permitting tho Port Reading Railroad
Company, or the Philadelphia and Read
ing Railroad Company, TO use, control or
operate its road, property and franchises.
This decree also reciles a report made
by Special Master George g. Ludlow.
that the injunction issued in the cause
was being obeyed in letter and in spirit
by the Central Railroad Company
OF New Jersey; that the lease of the
Central Railroad Company iof New Jer-
sey to the Port Reading Railroad Com
pau U the tripartite agreement, and
the agreement made between the Lehigh
ana Wilkesharre Coal Company and The
Philadelphia and Reading Coal and Iron
Company, had each nd every Of them
been terminated by the parties therein,
aud that the Central Railroad Company
| of New Jersey had returned TO the same
independent position which it occupied
before The execution Of said lease and
Agreement.
This result was obtained by means Of
the supplemental information, filed on
the seventeenth cay or October, charging
that the injunction and orders OF the
Chancellor mad heen wilfully and deliD-
erateIy violated.
EAsToN N AMBoY.
also >rsported Inat au info rmation
had been filed against the Easton and
Amboy Railroad Company, the Lehigh
Valley Terminal Railroad Company. the
Philadelphia and Reading Railroad Com
Dany. the Lehtgh Valley Railroad Com
| pany, the Central Railroad Company of
New Jersey and the Delaware and Bound
Brook Railroad Company, charging that
the action OF the various companies had
been ultra wires. and that the attempted
lease of the New jersey corporations
by the Lehign Valley Railroad Com
paly to another Pennsylvania corpora
ton was in direct violation OF the law of
the State, and that Tho object was to
accomplish a forbidden purpose and
create a monopoly III anthraclts coal.
That on exhibiting to the Chancellor this
information he granted q rule to show
cause why the prayer should not be
granted aud the defe ndants be perpetu
ally enjofned. That the defendants had
filed answering af1davits and the in
formant had obtained permission to cross
examine their witnesses and take addi-
tlonal testimony as 10 certain new mat
ter introduced into the ~atinavits. SUB
sequent to the date OF the re port, the
various companies charged with being
In this combination filed demurr ers or
special pleas. and the cause WAS set down
for argument. The pleas and demurrers
were subsequently, dismissed for want
OF prosecution, and an answer
which they admitted the execution Of the
agreements charged IN the. information,
and also chat the Philadelphia and Read
Ing Railroad Company entered into DOS
session OF, and for some time cpst ated
the roads, property and franchises OF the
Easton aud AInboy Railroad Company
aud the Lshigh Valley Terminal Railway
Company under the lease; but answer
ing. they sly that on the 245h day of May,
1893, the said lease was cancelled aud an
nulied.
THE CHANCELLoR's DECISION.
On the fourteenth day of June. 1893. the
Chancellor flied AN order adjudgfuR aud
decreasing that the indentnrs of lease
made between the Lshigh Valley Rail-
road Company aud the Philadelphia and
Reading Railroad Cumpacy on the
eleventh day of February, 1888, was il.
legal and ultra wires of the salu rpora
ti0ns, in go far as il attempted to transfer
he railroad, pronerty, privileges and
franchises of the Easton auu Amboy Raj
road Company and the LenighVallsy TER
minal Railway Company to the Philadel-
phia and Reading Railroad Company,
and that the said Exston aud Amboy
Railroad Company should resume pos.
session Of its railroad. property aud fran.
chises. and OF the railroad, property.
privileges and franchises Of the Lsninh
Valley Terminal Railway Company.
heretofore leased to II, watch railroads,
property, privileges and franchises tho
said Ea ston and Amboy Railroad
Com uanr xvns ordarad and Airarfah r.,