Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1902-02-21
MERGER MEN DAZ[D
Decision of Knox to Test the
Merger Plan a Great
Surprise.
j. j. Hill Refuses to Discuss the
Question.-Van SAINT
Pleased.
Congressman and Officials at
Washington Discuss Knox's
Opinion.

talk for publication. but there was no
hesitancy in expressing feelings de-
nouncing the action of the president.
Only one man of prominence approved
the movement. This was a weil-known
and corporation lawyer.
He said:
1T is a good thing that the president
will institute these proceedings. because
whole puzzle The people of the Unit
ed States want to know just where they
stand. If these securities companies do
not violate the law the presidents ac-
ton will enable them to justify their
existence. 1t is quick way to a final
settlement"
Col. w. p. Clough. fourth vice presi-
dent and counsel for the company, said
he could not express any comment upon
the situation, because of his relations to
the proceedings now pending before the
supreme court and others which might
follow
Jacob II. Schiff. head of the firm of
Kuhn, Loeb & Co., which was largely
instrumental in forming the combina-
ton, likewise declined to talk. Louis
Heineheimer of this firm said:
Il can not say anything. but 1 do not
believe you will find any difference of
opinion in Wall street on the subject"
One of the important interests of the
First National Bank said:
There is no occasion for any alarm
over what may be accomplished by the
presidents proposed action. The fact
remains that, no matter what is done,
this consolidation is going to become
an accomplished fact in one form or an
other. If the present merger is contrary
to law, a merger which obeys the law
Will be effected. 1t is absolutely inn
possible to stop these consultations so
long as they are formed for legitimate
purposes"
Similar expressions of opinion We're
made by interests in the National city
bank and at j. Pierpont Morgan & Co.'S.
Members of this firm refused TO talk for
Mr.. Morgan was in consultation dur
ing all the day with lawyers and others
interested in the Northern Securities
Company deal, and it was made known
that every legal step against the COM
bine would be stubbornly contested.
A banker closely allied to the Nor
gan interests made this remark The
business of the country appears to be
conducted at Washington now"
Others pointed out the fact that this
was the first time in years. with the eN-
ception of Clevelands Venezuelan mes
sage, when Wall street was surprised
by action of the government at wash
ington. Heretofore some inkling of
moves has generally reach
ed the street. Not so this in case, how
ever.
The first news of the attorney gen.
erals announcement reached New
York late on Wednesday night. There
was a conference of lawyers and bank
ers at the home of j. Pierpont Morgan.
This conference did not end until the
early hours of the next morning. Subse-
quently to 1t Charles H. Steele of the
firm of j. p. Morgan s. Co, said:
THE opinion of Attorney General
Knox came as great surprise to us all.
After the proposed bill in equity is filed
we will be prepared to outline our de-
tense. AT present we are wholly in the
dark, but l will say that in the event of
any proceedings q long legal battle
will ensue.'
ST. Paul. Feb 21.-Al efforts to get
lengthy interview from j. j. Hill have
proved futile. II have nothing to say"
has been his reply to all such queries.
However, he admitted he was surprised
that the federal government should
have decided that the Northern Securi-
ties Company was existing In violation
of the Sherman law.
Nothing could be further from the
intentions of the company" said he,
But / have nothing to add to what has
already been said since the company
was organized"
Mr.. Hill was occupied with his attor-
neys nearly all day and was flooded
with kilograms. 1t is estimated that
the value of his holdings of stock de-
creased $1,000.000 in the last twenty
four hours.
Governor Van SAINT expressed great
at the decision of the fed
eral authorities, and Attorney General
Douglass said he was not surprised for
he has been in communication with At
torney General Knox and knew his
views regarding the merger. Attorney
General Douglass said:
"The federal suit will in no way in
terfere with the case brought by Min
nesota. We were limited to defendants
other than citizens of Minnesota nor
could we proceed under the Sherman
law. The federal authorities meet none
of these limitations. With the North
ern Securities Company they can
bring in also as defendants j. j. Hill, j.
p. Morgan. or any other persons who
are connected with the merger"