The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-11-19
WALL STREET OPERATORS DISCUSS
GOVERNORS THREAT TO
BRING SUIT
BIG RAILRoADERs ARE CALM
Legal Phases of Their. Great Plan
Have Been Most Carefully Con-
sfdered, and They Do Not
Fear Results.
NO IDEA OF RAISING RATES
Special to The Globe.

Special to The Globe.
NEW YORK, Nov. 1S-Tne announce
ment in the dispatches from the West Of
Gov. Van SAINTS intention to bring suit
In the name of the state of Minnesota
TO prevent, If possible, the consolidation
OF the Great Northern and Northern Ia
c1fic companies into the Northern Sc
curities company was the subject of talk
in Wall street before the market opened
this morning and throughout the day.
Outside of the heavy engagements of
gold for shipment tomorrow it was easily
the principal topic OF conversation in
downtown financial circles. During the
first hour or more of the stock market
the announcement caused more or less
selling among timid holders on narrow
margins.
All the prominent interests in the
Northern Securities company make light
of Gov Van SAINTS avowed intention to
fight this new combination. 1t is ad-
Initted. however, that they expected con-
siderable opposition to their plans for
consolidating the Great Northern and
Northern Pacific into one company and
in all their negotiations in this connec-
ton the legal status of the new company
was constantly borne in mind.
Gov. Van SAINTS announcement is good
ket, but the great financiers and law
yers of this city are hoping that the
storm will soon blow over and that
the great business activity in all the
Northwestern states and the phenomenal
prosperity of that section will take a
more prominent position in the minds OF
the larger financial and political inter-
ests of Minnesota than any efforts to
arouse interest in legislative or judicial
attacks on the plans of the large railroad
and financial promoters that mapped out
the Northern Securities company.
No Absorption Contemplated.
The position Is taken by the promoters
Of this great combination that it will not
absorb the Great Northern and Northern
Pacific companies, but that they will be
run as before. The organization of
eacn company will be maintained as
heretofore, it is claimed. 1t is also as
serted that the new company will be a
benefit and not an injury to the people
of the states through which Its railways
nun.
Asked, as to how the scheme of the
new company would be beneficial to
patrons of the railway, Charles Steele,
the legal partner of sthe j. ,P.e Morgan
company, said:
TT will give them better service and
more stable rates" Asked if this meant
higher rates he replied: Certainly not;
they will not have to pay higher rates.
That isn't part of the plan, and besides
the people wouldn't stand increased
charges
Most of the influential representatives
of the Northern Securities company de-
clined to discuss the intention of Gov.
Van SAINT to oppose the consummation of
the plans for the Northern Securities,
company. Those who would talk at all
pointed out that there Is nothing in the
new company's charter that makes any
reference to either the Great Northern
and Northern Pacific roads, and that, ac-.
cording to the charter, the company is
authorized to buy any class of securities
or any property. This view is held by
friends of the new company, by the large
financial interests in Wall street and by
prominent corporation lawyers. 1t has
already been semi-officially announced
that the Northern Securities company
could not only own the stocks of its con-
stituent companies, but that it will also
take an active part in their management.
There is reason for believing that the
Pacific Coast company with it's valuable
railroads. large fleet of steamships and
couftpued on Fifth Page.