The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1903-12-14
ATTORNEY GENERALS BRIEF
1t Was Filed To-day in the United
States Supreme Court.
(Ey Long Distance TIE sphone,)

Washington, Dec. a. The brief of
the government in thu case of the
Northern Securities company and
others, VS.. the United st ties, on appeal
from the deeision of the circuit court
Of the United States for the district of
Minnesota, was filed in the United
States. supreme court to-day. The
General Knox and Assistant Attorney
General Day, and covers $50 printed
pages. va, srrr.,a- - ...s.ss,,s.-s.
After stating that the bill in the case
was originally brought by the govern
1nent to restrain the violation Of the
antitrust law by the securities COM
pany in the consolidation Of the
Northern Pacific and the Great North
ern railroads and that the decision of
the court below was favorable to the
contention, of the United States, the
brief enters into the following speci-
fications as to the reasons for the &C
| ton: =. $50. ----
! - Causes of Action.
| The lines of railway operated by the
r. defendants, the Great Northern rail-
way company and Northern Pacific
railway company are. parallel and
competing. (. ..-.s:.
The combination is in restraint of
interstate commerce and a monopoly.
The concluding paragraph of Judge
Ihayer's opinion in the circuit court
is , Quoted as summing up the ar
-gument bearing upon the facts of the
: case, as follows: ~. IT, 49, ~
!; "At@the present time the securities
com pany is the owner of about 96 per
cent of all the stock of the Northern
Pacltic company and the owner of
about rs Yer cent of all the stock Of
the Great Northern company. l.-
The scheme which was thus devised
and contaminated led inevita bly, to the
following results: ....-. -
Results of Merger.
First it placed the control of the
two roads in the hands of a single per-
son, to-wit, the securities company, by
virtue OF its ownership of a large ma
Jorlty OF the stock of both companies
Second, it destroyed every motive
for competition between two roads en-
gagged in interstate traffic which were
natural competitors for business by
pooling the earnings of the two roads
Tor the common benefit of the stock
holders of both companies; and &C
cording to the familiar rule that
| every one is presumed to intend what
is the necessary consequence of his
own acts. when done :wilfully and de-
llberately, we must conclude that those
VINO conceived and executed the plan
aforesaid, d1frendeii among other
| things, to accomplish these objects.
+ The attorney generals own sum.
mary of the results is. as follows:
! ! To sum up the result of the afore
mentioned exchanges Of Great Northern
and Northern Pacific stock Cor the stool
OF the Securities company the latter com
paHy on Dec. II, 1901, had acquired anc
Epaid for 100000 shares Tin round figures
great Northern stock, 1.-THE total capita
stock of that company consisting of 1. $50
1000 shares, of which 1,220.00G had been is
sued, and by Jan.fs1, 1902, the securi+ie
4 company had acquired virtually all of tn
: common stock of the Northern Pacific 9TH
preferred stock was retired on that date
Resolutions to retire it having been passes
in the preceding November), its answer t
the bill admitting that it held 1,50U. 90
4 Northern Pacific shares out Of a total o
i / 500, 0OO f
i Had Absolute Power.
ssThe final result of these transaction
was that one and the same set of men
Mr.: Hill and Mr. Morgan and their asso
ciates being the ruling spirits anon
them-acting together under a charte
agreement and thru the agency Q
a corporate organization became yeste
with absolute power of control of two par
allel and competing systems of interstat
railway.
In place Of the two distinct sets G
stockholders, with rival and competing in
terests, namely, the stockholders of tn
. Great Northern and Northern Pacific
there has been substituted one set 6
1 StockhOlderS.sSWith common and nor, com