The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1902-03-13
. AGAINST THE MERGER.
Government Brings Suit in the Federal
Court at ST. Paul.

Court at ST. Paul.
st. Paul, March IA bill in equity
has been filed in the United States
circuit court at st. Paul in which the
United States is complainant and the
Northern Securities company, Great
Northern Railway company, the North
ern Pacific Railway company, James J..
Hill, w. p. Clough, D. Willis James.
John s. Kennedy, j. Pierpont Morgan.
Robert Bacon, George P. Baker and
Daniel Lamont are defendants. Unit.
ed States District Attorney Purdy
filed the petition, which bears his sig.
nature as well as that of Philander G..
Knox, attorney general of the United
States. The object of the action is to
test the validity of the alleged combi
nation or merger of the two railroads,
and is brought under the act of July
2, 1890, known as the Sherman anti
trust act. The petition charges:
That the said Ssmes J. Hill and his
associates entered into an unlawful
combination or conspiracy to effect a
consolidation of the Northern Pacific
and Great Northern.
That they seek to promote the inter.
ests not of one system at the, expense
of the public.
That the defendants are attempting
to monopolize and have monopolized
interstate and foreign trade to the
great and irreparable damage of the
people of the United States.
That the Northern Securities com.
pany was organized solely to incorpo.
rate the pooling of the stocks of said
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unlawful combination.
That the Northern Securities com.
pany is a mere depository, custodian,
holder and trustee for the stocks of
the Great Northern and Northern Pa.
cific companies.
Has insufficient Capital.
That the Northern Securities com.
pany does not have and never had any
capital sufficient to permit such a stu.
pendous operation.
That if the government fails to pre-
vent the carrying out of\this combina-
ton or conspiracy, not only will the
virtual consolidation of the two com
peting lines be effected but thereafter,
to all desiring to use it, an available
method will be presented whereby the
Sherman act may be circumvented and
set at naught' and the entire railway
systems OF the country may be alb
sorbed.
The petition asks that the court de-
cree That this combination or conspir-
acy is unlawful and that all acts done
or to be done in carrying it out are in
derogation of the common rights of all
the people and in violation of the Sher.
man act. - t.. -e
That the defendants be perpetually
enjoined from carrying out the same.
That the Northern Securities com
pany be perpetually enjoined from
purchasing, acquiring, receiving, hold
ing, voting or in any manner acting as
the owner of any of the shares of the
capital stock of either the Northern
Pacific or the Great Northern Railway
companies.
That a mandatory Injunction be is
sued requiring the Northern Securities
company to recall and cancel any GER
tificates of stock issued by it in ex-
change for any of the shares of the
capital stock of the two railways.
That the Northern Pacific and the
Great Northern railways be perpet-
ually enjoined from In any manner
recognizing or accepting the Northern
Securities company as the owner or
holder of any shares OF its capital
stock. ,
That mandatory injunction be is
sued requiring the defendants to sur
render any stock of the Northern Sc
curities company and accept in ex-
change stock of the railway company
in exchange for which the same was
issued.