The Savannah morning news. (Savannah, Ga.) 1900-current, 1903-08-02
DISMISSED The BILL
NORTHERN SECURITIES COMPANY
WON THE CASE
THAT MINNESOTA BROUGHT.
STATE LAW, COURT SAYS, is NOT
VIOLATED.

Case Has no Connection with That
of the Federal Government
Against the Securities Company.
Altogether Different Point of Law
Involved Federal Government
Won by Invoking the Sherman
Antitrust LaNv-LegisIhtive Act
Basis of States Suit.
ST. Paul, Mimi, Aug. Judge
Lochren to-day in the United States
Circuit Court handed down his decision
in the case of the state of Minnesota,
against the Northern Securities Com
pany, the Great Northern Railway
Company, the Northern Pacific Rail-
way Company and James J. Hill, as
president of the Northern Securities
Company and individually, in which he
sustained the contentious of the de-
PENDANTS and dismissed the bill of COM
plant of the state.
He finds that the Northern Securi-
ties Company has not violated the state
laws forbidding the consolidation of
parallel and competing lines of railway
through its ownership of the stock of
the Great Northern and Northern Pa
cific Railways. He refuses the in
functions asked by the state of Mime
sofa to restrain the Securities Com
pany from voting the stock of the two
railway companies or either of them
This decision affects the results of
| the federal government victory in the
! Circuit Court in no way whatever. The
federal suit involved the same defend
ants and the same general state of
| facts, but was based on a totally diff
| ferent contention of law.
The federal suit, in which the Securi-
ties Company was beaten, was prose-
cution for violation of the Sherman
antitrust law passed by the Federal
Congress. The state suit in which the
Securities Company wins. was based
on an allega ton that the defendants
violated acts of the Minnesota Legisla-
ture, forbdding the consolidation of
parallel and competing lines of railway.
Consumed Much Time.
The hearing of the state suit was
| begun Friday June 5, before Judge
| Lochren in the Federal Circuit Court.
1t followed the submission of much tes-
| timony by both sides for many months
in which Frederick G. Ingersoll OF this
city acted as referee. The final argu-
! n1ent LASTED five DAYS. in which At
! torney General Douglass, former At
| torney General George b. Wilson and
Attorney M. D. Mum spoke for the
| state, and George B. Young, M. d.
Grover and c. w. Bum for the de-
PENDANTS. The case was submitted
Wednesday, June IL.
An appeal to the United States Su-
| preme Court is now pending in the
federal suit.
Judge LOchren's Finding.
In epitomizing his decision, Judge
Lochren said:
1T is held that it will be for the in
| terest of the Northern Securities Com
| pany to restrain trade by suppressing
competition between these two rail-
road companies, and that by coercing
or persuadinR the two boards of direc-
| tors whom it has the power to elect.
| it will certainly cause them to commit
| highly penal offenses by entering into
| combinations, contracts and arrange
ments in restraint of trade, in violation
| of the antitrust act, and hence the
| Northern Securities Company is al
ready guilty of these offenses thaS
/ nave llGNGI BCCll COIllillAlCd VI bAlOA5 IL
! of by it's officers or promoters, so far
as appears, and it must be suppressed
| and destroyed.
II am compelled to reject the doc
trine that any person can be held to
| have committed, or to be purpoSing
and about to commit highly penal
offense, merely because it can be
| shown that his pecuniary interests
| will be thereby advanced, and that ne
has the mower either directly by him
self, or indirectly through persuasion
or coercion of his agents, to compass
| the commission of the offense. De-
| cree will be entered dismissing the
| bill"