The Montgomery advertiser., 1903-04-04
SENATOR FoRAKER CONCLUDES.
Judge Lurton Takes the Case Under
 Advisement.

Nashville, Tenn, April 3.-United States Senator J. B. Foraker. represent ing complainants in the Injunction case of Talbot J. Taylor vs. The Southern Pacific and Union Pacific Railway com panieasAwhieh has sisssn bafor@t}lasll laitad States Circuit Court here for the past three days finished his argument at l1:20 o'clock this morning: .t-- Judge Lurton thereupon announced that he would take the bill and answers under advisement and would file his decision with the Clerk of the United States Cir cult Court at Louisville. Ky, on Mon- day next, the case falling within the Western Kentucky District.
 Court then adjourned and the distin- guished counsel who have been in at tendance left for their various homes tonight.
 A question asked by Judge Lurton soon after Senator Foraker resumed his speech this morning is considered significant by some, in discussing the case and the prob able outcome. The court inquired what other relief was desired by complainants in the event an injunction was not grant ed as prayed. The court has insisted that the matter of competition between the Southern Pacific and Union Pacific be clearly established.
 Senator Foraker, in reply to a question by counsel for the defendants as to why the suit was not brought in New York. said that 1t would have been quite as convenient for the compiainants, but that the suit could not be instituted against a corporation in a district where 1t had no residence. He said that the complain- ants in applying for an injunction wished the court to compel the defendants to do what 1t is their duty to perform.
 Judge Lurton then asked Senator For aker to state what other relief was de- sired In the event an injunction was not granted as prayed Senator Foraker re- piled that the injunction was asked to prevent the voting of the stock held by the Union Pacific at the coming meeting on April 8. and to prohibit the leasing or severing of the Central Pacific.
 The speaker then took up the question of competition and said that both roads had a common terminus at Portland. and that they are competitors in trans-contI- mental traffic. The affidavit of Traffic Manager Stubbs was read to the effect that If the Union Pacific wished to divert business from the Southern Pacific. if could be done by changing the tariffs. Senator Foraker said that no better proof of competition than this could be given, and that by change of rates business could be sent over the other road
 A ehCS aiC COlHpCllHk HneSs Bal0 He0- ator Foraker. what are the rights of bona tide minority stockholders" The suit was brought to ascertain the rights of stockholders, and complainants argue and insist that the corporation should have a board of direct DTS free from the touch or influence of any other line and who would be deyot sd singiy to the inter ests of this country"
 The law, said Senator Foraker will not tolerate repugnant trusteeship. The courts. in all such matters, have taken the position that stockholders have A right to have the property managed for tneir interests. The speaker said that while there were allegations in the bill which had not been supported by evi dence. there was not one recklessIy or idly made.
 The defendants had said that they had no Intention of severing the Central Pa clfic from the Southern Pacific. yet they had spent S20000.000 in improving 1t. They wanted a through trans-continental line from Chicago to San Francisco Certain Improvements had been made but not one word had been said in court concerning them. The earnings of the Southern Pa cific over and above operating expenses and fixed charges have been spent on i'm provements and these sums amounted to many millions.
 One could not help thinking that if the Union Pacific had no idea now of acauir- ing the Central Pacific. the time might come when they would think of it, and this would be when they made the road more valuable, and should they decide to sever 1t from the Southern Pacific, it could be done in Ave minutes by a reso- lutlon adopted at a meeting of the direc- torate.
 The cutoff in Salt Lake said Senator Foraker. would cost tl3.0Oo,o0o. and yet the defendants eaRps tnte court without