The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1902-03-12
AGAINST THE MERGER.
Government Brings Suit in II. Fedora,
Court at S.. 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.
crn Pacific Railway company. James J.
Hiil. w p. Clough. ID. Willis James.
John s. Kennedy. J. Pierpont Morgan.
Robert Bacon. George +. Baker and
Daniel Lamont are defendants Unit
cd States District Attorney Purdy
hlcd the petition. which bears his sig.
nature as we'll ar that Of Philander c.
Knox. attorney general Of IN. United
States. The object Of the action is 10
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 rs the Sherman anti
trust act. The petition charges
That the said James ] Hill and his
Associates entered into an unlawful
combination or conspiracy 10 effect a
consolidation ~ The Northern Pacific
and Great Northern
That they seek 10 promote The inter
es's not of one system Al the expense
of III. ether. hu; II both II III. expense
OF tho public
That IN defendants are attempting
10 monnroiiT" and have monololize j
interstate ard foreign TRADE to til
great and irreparable damage Of the
peopl" 81 ih. United States
That The Northern Securities corr
rany .as organized solely 10 incorpo.
rate the pool.Sr Of IN" stocks - sait
n #sssa ~ ~ 10
unlawful combination
That the Northern Securities com.
rany II n mere depository. custodian.
holder and trustee. for IN" stocks q.
The Great Northern and Northern Pa
ci;ic companies.
Has Insufficient Capital.
Thu. the Northern Securities corr
paay does not have and n.yer had arr
capital sufficient 10 permit such stu
pendous operation.
That If n" government falls 80 pre-.
vent the carrying ont ~ this cofnhina-
fion or conspiracy. not only viii III"
virtual consolidation ~ the two com.
pr'lrg lines h. effected hnf thereafter.
20 all desiring 10 Use II. an available
method will he presented whereby ts@
sherman act may ,. clrcunssnf.d and
set AT nauEhi and fho enfir" railway
systems of the country raas be al.
sorhcd
The petition asks that the court Dc.
Gre. that this combination or conspir-
acy is unlawful and that all acts done
or 10 b. done In CARRYING II ont are III
d.rogaf!on of the common rights ~ MI
IN. people and in violation a. The Sf"f
man act.
That the defendants b. perpefualls
.nioinci from carrying o''f the same.
That the Northern Securities com
many hc pcrpcfualls orioinei from
purchasing. acquiring. receiving. hold
INK. voting or In an manner acting rs
IN. owner Of any of tie shares 81 ~"
capital stock ~ either 'he Northern
Pacific or the Great Northern Eail~as
companies
That a mandatory injunction he IS
sued requiring the Northern Securities
comnany 10 recall and cancel any c"r
tifiea'.s ~ stock ISSUED ~ u IN "N.
change for any of rho shai"s "t VI"
capi;al stock nj sha two rail@2fs
That m. Northern Paeifc AMI inc
Great Northern railways he p"rre'
ually enioined from in any manner
recognizing or acceptin. III" Nnf'he'n
Securities company "a III" owner =.
holder II any shares oi iis fapi'a'
! stock.
Tha, n mandatory injunction y" Is
sued r.auiring the defendants to snr
render any stock of the Northern ="
curifies company and accept IN -
| change stock of the railway company
in exchange for which the same "as
lee