Fergus County argus. [volume] (Lewistown, Mont.) 1886-1946, 1903-04-15
AN ILLEGAL
COMBINATION
Government Wins Its Case Agains
the Northern Securities Com.
pany Of St. Paul.
A BODY BLOW TO TRUSTS
Case Tried Under the Antitrust Law
Passed at the Last Session
Of Congress.

The United States Court of Appeals
today. at noon, in St. Paul. handed
down decision in the suit of the
United States against the Northern
Securities company, enjoining the
company from voting the stock of the
Northern Pacific or Great Northern
Railway companies. but allowing the
return of such :tock as has been de-
livered to that holding company.
The opinion was unanimous. all
ion was written by Judge Thayer.
The substance of the order Is in the
decree. which is as follows:
A decree in favor of the United
States will accordingly be entered TO
the following effect: Adjudging that
the stock of the Northern Pacific and
Great Northern companies, now held
by the Securities company. was ac-
quqired in virtue of combination
among the defendants in restraint Of
trade and commerce among the sew
eral states, such as the antitrust act
denounces as illegal; enjoining the
Securities company from acquiring
or attempting to acquire further stock
of either OF said companies; also on.
joining 1t from voting such stock at
any meeting of the stockholders Of
either of said railroad companies. or
exercising or attempting to exercise
any control, direction. or supervision
or influence over the acts Of said CON-
panies. or either Of them, by virtue OF
its holding such stock. enJoining the
Northern Pacific and Great Northern
companies. respectively. their officers,
directors and agents, from permitting
such stock 10 be voted by the North
ern Securities company or any Of its
agents or attorneys on its behalf at
any corporate election for directors
or officers Of either of said compan-
les. and likewise enjoining them from
paying any dividends TO the Seciiri.
ties company on account of said stock
or permitting or suffering the Securi.
ties company to exercise any control
whatsoever over the corporate acts
OF said companies. or to direct the
policy OF either; and. finally. permit
ting the Securities company to return
and transfer TO the stockholders Of
the Northern Pacific and Great North.
ern companies. any and all shares Of
stock OF those companies which II may
have received from such stockholders
in exchange for its own stock. or to
make such transfer and assignment
to such person or persons as are now
the holders and owners OF its own
stock originally issued in exchange
for the stock OF said companies.
Here Are the Practical Results.
First-It placed the control OF the
two roads in the hands of a single
person. to-wit. the Securities com.
pany, by virtue OF its ownership of
large majority OF the stock OF both
companies.
Second-It destroyed every motive
for competition between the two
roads engaged in Interstate traffic
which were natural competitors for
business, by pooling the earnings OF
the two roads for the common bene
fit OF the stockholders of both com
panies
According to the familiar rule that
everyone is presumed TO intend what
Is the necessary consequence Of his
own acts. when done wilfully and do
liberately, we must conclude that
those who conceived and executed the
plan aforesaid intended, among other
things, TO accomplish these objects