The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-01-24
ANOTHER MERGER CASE
SUIT FILED BY TWO HOLDERS OF
NORTHERN PACIFIC STOCK.
state Court at Minneapolis Asked to
Restrain Transfer TO the North
ern Securities Company.

MINNEAPOLIS, Jan. 2S.-The attorneys
Of Milton L. Bouden and Sophia Barth
Chapman filed petition for an injunction
in the State District Court to-day against
the Great Northern Railway and its di-
rectors to prevent the transfer OF its stock
to the Northern Securities Company Bou-
den holds 400 and Mrs. Chapman 100 shares
of Great Northern stock. The attorneys
are the same as those who are seeking in
the United States District Court TO have
the transfer of the stock OF the Northern
Pacific Railway declared illegal. The bin OF
complaint sets up the well-known facts as
TO the merger of the Northern Pacific, the
Great Northern and the Burlington sys-
TENS; alleges that it was contrary TO the
statutes of Minnesota, North Dakota, Mon
tana and Washington, and intended TO de-
stroy all competition, and charges that the
separate organizations maintained are
merely nominal, and intended to deceive
the public, the real management and con-
troll being vested in the Northern Securities
Company IL is claimed that by this ac-
ton the Great Northern directors have
rendered the charter of the roads subject
TO forfeiture at the suit of the State OF
Minnesota, and the license OF operation in
the other States traversed subject to revo-
cation, and, further, that several such
suits are imminent whereby the company
will lose valuable rights and privileges UNI
less the directors are permanently en-
Joined from carrying out the merger
Judgment is demanded on eleven points:
that the merger is fraudulent and contrary
TO the laws of this State; that the Northern
Securities Company is a conspiracy; that
the Great Northern directors and agents be
enjoined, during the pendency OF the suit,
and permanently thereafter from register
ing any transfer OF stocks TO the Northern
Securities Company; from recognizing OF
according any privileges TO that con- pany
or from receiving any votes I'm its meetings;
from entering into any combination what
soever with the Northern Pacific which
shall disturb the independent integrity OF
the defendant company; that the defend
ant directors be enjoined from holding any
office in, or participating in the affairs OF
the Northern Securities Company, or from
paying any dividends on stock held by that
company. The defendants have twenty
days in which TO answer.
Attorney General Douglas. with Messrs.
Mum and Wilson, his associate counsel,
has been working for the past ten days on
a brief to be submitted I'm the Northern Sc
curities case next Monday. IL * now prac-
tically completed and will be filed with the
Supreme Court at the time oral arguments
are made. The brief covers all points that
may be raised in contention, as the court
relies more on written briefs than on what
counsel say in the court room. Messrs.
Douglas and Mum will leave tomorrow
evening for Washington. arriving there
Sunday. 1t is expected that w. L. Clough
and counsel from New York city viii APP
pear 10 oppose the granting of the States
petition
Governor Van SAINT, in his message to the
Legislature next month. will briefly explain
the origin of the suit against the Northern
Securities Company, the reason for bring
ing il. and the situation as IL now exists.
He will ask the Legislature, in view OF the
magnitude of the case, 10 provide the at
torney general ample appropriations TO
carry il through. He may not ask for
definite sum, but leave that to the dis
erection of the Legislature