Little Falls herald. [volume] (Little Falls, Morrison County, Minn.) 1889-1950, 1902-03-14
AGAINST THE MERGER.
Government Brings Suit in the Federal
Court at St. Paul.

GovernFnens BFiESs Stit IN the feoera
Court at St. Paul.
St. Paul March liza bill in equity
has been died in the United States
circuit court at st. Paul in which thu
United States is complainant and the
Northern Securities company, Great
Northern Railway company, the North
ern Pacific Railway company, James
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 we'll as that of Philander G
Knox, attorney general of the United
States. The object of the action is tc
test the validity of the alleged comb
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 James J. Hill and his
associates entered into an unlawful
combination or conspiracy to effect q
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 other, but of both at the expense
of the public.
That the defer 1c-fs are attempting
to monopolize and have mcnopolizet
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 sale
company and to carry into effect the
unlawful combination.
That the Northern Securities com
pany is 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 thu
virtual ccc@o'idation of the two com
peting lines be effected but thereafter
to all desiring to use it, an available
method will be presented whereby til.
Sherman act may be circumvented ant
set at naught and the entire railwa,
systems Of the country may be alb
sorbed.
The petition asks that the court de
cree that this combination or conspiT
acy is unlawful and that all acts done
or to be done in carrying it out are i,
derogation of the common rights of al
the people and in violation of the Sh e.
man act
That the defendants be perpetual!
enjoined from carrying out the same
That the Northern Securities COM
pany be perpetually enjoined fron
purchasing, acquiring, receiving, hold
ing, voting or in any manner acting e.
the owner of any of the shares of tn
capital stock of either the Norther,
Pacific or the Great Northern Railwa,
companies.
That mandatory Injunction be is
sued requiring the Northern Securitie
company to recall and cancel any Ger
tificates of stock issued by it in ey
change for any of the shares of tn
! capital stock of the two railways
That the Northern Pacific and tn
| Great Northern railways be perpet
! ually enjoined from in any name
recognizing or accepting the Northern
Securities company as the owner o
/ holder of any shares OF it's capita
! stock.
! That a mandatory Injunction be is
| sued requiring the defendants to 81,
render any stock of the Northern s.
curities company and accept in e.
change stock of the railway conpaC
| in exchange for which the same We
! issued.