New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-05-01
AGAINST TRUSTS ~ ILLINOIS.
PROCEEDINGS BEGUN AGAINST CHICAGO GAS
TO BE BEGUN AGAINST THE AMERICAN
TOBACCO COMPANY.

TOBACCO COMPANY.
Chicago. April 30.-Atorncy-General Moloney ap-
pelred In Judge Winde's division al the Circuit
Court this morning and formally filed the papers
In the quo warrano proceedings Of the state against
the Gas Trust Summonses were thercupon issued
against the parties named In the document - ap-
pear and answer on May .. Immediately thereafter
the AttornevCieneral followed up his previous action
by firing a broadside into the trust IN the shape OF
An information in chancery, directed against the
officials Of the Peoples Gas Company, the Chicago
Gas Company and the Economic and Equitable Gas
COMPANY. and the Fidelity Insurance. Trust and
saf, Deposit Corlpany OF Philadelphia The bill
recaptuates the facts upon which the quo warranto
proceedings instituted. and asks that the
trust be restrained from sending funds to me fhila
lelpha institution whlch aclS as @ , a. &
for the payment OF ulvldenGS ana aso Ina. Ia al, AZ
s,lu,lon be restrained from voting STOCK, ana rom
interfering indirectly or dIrcuS III te @ ~
OF the business and Affairs 9t the gas colplMlS my
The Attorney General announced that ne would can
up the information for immediate action tomorrow
Attorney-ttncrai Moloney has declared the Ameri,
Under he laws Of the State of New Jersey. be
trust doing business In violation Of the Law Of the
against the concern agents and servants. for the
purpose OF prohibiting them from doing business In
the Attorney General several months ago. but It
was not until noon to-day that his opinion was pre-
tons forming the Trust are the Allen and Gnter
t% ,s2 2f irS;1a oodwln CO.. Of New-York W. Duke
Sons & Co., OF North Carolina. and the kinney 10
bacco co. The opinion says that this &C cmpany Is
one OF the most Ingenious odious, dangerous and
gigantic trusts in America.
After rendering his opinion Attorney-General
Molonay said that he would file the bin In Chancery
against the company tomorrow or " edhesday anu
that 2l0 leading business men OF chicago would De
made parties to the suit 81.
Mr. Mooney clearly outlined his poNcy TO HSAt
th, Tobacco Company out OF the state, II ne nad
to make every dealer In the trust defendant MI:
Mooney began with history OF the formation OF
the American Tobacco Company as a corporation,
organized under the laws OF New-Jersey ana ne
CONSEQUENT consolidation OF the companies. Inis
combination conceived the ingenious plan OF forcinS
rho New-Jersey corporation 10 dominate the con
stituent corporations. with the stock to pe held IN
me following proportions: Allen < Ginter 80 per
cent: Duke Sons q CO.. 30 per cent; Kinney Tobacco
Cornpanv 20 per cent: w. : kimball x Co. 10 per
cent and Goodwin & Co. 10 per cent The capital
stock of the ew-fOrmed American Tobacco Com
many originally S25.O0000O. was increased 70 S5c0-
nN for the purpose. Mr. Moioney said OF crushing
or hlving out rivals until II now controls the manu-
facture and. sale or sS per cent Oh al Cigarettes
made In the country ,,, III,
Contnuing the Attorney General said:
"It is one OF the most ingenious dangerous ana
giganfic trusts in America. ard that means In the
world II establishes agencies throughout the cQun-
rv and Chicago In this State. Is its main distribut-
Ing centre in the West II compels those Joboers
with whom II deals 10 enter into contract whereby
n saws IL is 10 remain the owner OF the goods con-
s,cned until they are sold. and then the jobber de.
diets A percentage for mis- trouble and expense ana
forwards the balance TO this octopus aIias the
American Tobacco Company. - .. -,
The language OF Joseph II. Choate. attorney OF
the trust uttered in suit tried In court IN New
Work CITY was quoted as showing that the Topaeco
Trust was formed other trusts were, with the
same purpose In view.