The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-03-29

for several years the only large and in
tlucntial competitor of the American To-
bacco Company in the manufacture of
smoking tobacco and in the purchase of
such quantities of leaf tobacco as was
necessary 10 supply its demands for man
ufacture of smoking tobacco; and its in
dependent existence was the only sub
stantial menace to a complete monopoly
OF the manufacture of smoking tobacco
in the State of North Carolina, and in
the United States at the time when the
American Tobacco Company, or the COM
plainants fer the use and benefit of the
American Tobacco Company, purchased a
majority of the stock of the Black
wells Durham Tobacco Company; there
fore this defendant humbly submits. that
upon the matters and things above and
hereinbefore stated the compliments
ought not to be permitted to receive the
aid Of your Honorable court as is set
forth and prayed for in compliments
bill of complaint and thereby accom-
plish and carry out their unlawful pur-
pose.
Fifth And this defendant says, that
the American Tobacco Company acquired
and purchased the stock of the Black
well Company with the unlawful purpose
and intent to combine it with the bust
ness affairs of the American Tobacco
Company and not with the purpose and
object 10 continue the business under the
charter of Blackwell's Durham Tobacco
Company as it had been therefore con-
Quoted and that the American Tobacco
Company had at the time of the purchase
of the stock full knowledge of the char
ter and bylaws of Blackwell's Durham
Tobacco Company; and that its stock was
not listed upon the Stock Exchanges and
was not sold and exchanged therein but
compliments knew that notwithstanding
this, the business Of Blackwells Dur
ham Tobacco Comapny had been for many
years, and still is very profitable, and
had paid large dividends to, the holders
Of it's stock at regular periods, though
since the American Tobacco Company
have become the holders of so large Il
percentage of the stock. and though the
business Of the company has been and is
conducted under their control and man.
agement, no dividends have been declared
or paid ON it's capital stock since their
purchase OF the stock and no dividend has
been paid to or received by this defend
art upon his share of stock therein: and
this defendant verify believes that the
failure to declare and pay dividends upon
the capital stock CT Blackwell's Durham
Tobacco Company is part and parcel Of
the unlawful scheme and plan of COM
plainants, and the American Tobacco
Company, to depreciate the value of the
stock in Blackwell's Durham Tobacco
Company, which is not held by them know
Ing full we'll that if the property and as
sets of Blackwells Durham Tobacco
Company should be offered for sale with
out sufficient advertisement, and solo
within ninety days from and after the
2Sth day Of February, 1900, on account of
the unlawful acts of the American Tobac-
co Company, there is no corporation or
co-partnership now organized and en-
gagged in the manufacture of smoking to-
bacco in the United States which would
tie able to buy, or could buy the property.
Sixth: And this defendant says, that
he has brought no suit or action against
the compliments, or against Black
wells Durham Tobacco Company, and
that the only threat or menace he has
made against the American Tobacco Com
pany. even if such could be called a
threat or menace, is a purpose on HE
part to petition the Legislature of North
Carolina to repeal the charter of Black
wells Durham Tobacco Company on the
grounds stated, and his unwillingness to
consent to a sale of its property and as
sets to the American Tobacco Company,
and these purposes he has declared, and
still declares, were and are the reasons
moving him thereto.
And this defendant denies all and all
manner of Unlawful combination and con-
federacy wherewith he is by the said bill
! charged.