Iowa state bystander. [volume] (Des Moines, Iowa) 1894-1916, 1904-12-30
| ALLEGED PAPER
TRUST IS SUED
Attorney General Moody Be-
gins Action in St.
Louis.
MANY COMPANIES ARE NAMED
For Doing Business Through Gen.
erai Paper Company-CIaimed They
Have Formed Combination in Vic.
alton of Laws OF United States.

81. Paul, Mluu,t OeC. Sc'-+AllolHCy
General Moody, for the United States,
through Dist let Attorney Haupt and
Frank B. Kellogg and James M. Beck.
special assistant attorney general OF
the United States, late yesterday af.
ernoon filed bill in the United States
district court In which he names the
General Paper company as principal
defendant and the ltasca Paper COM
pany of Little Falls. Mimi, Wolf
River Paper and Fibre company Of
New Richmond, Wis, Atlas Paper
company of Appleton, Wis, Kimberly
& Clark company of Neenah, Wis,
Riverside Fibre Paper company OF
Appleton, Wis, Centralia Pulp and
Water Power company of Centralia,
Wis, Combined Locks Paper COM
pany of Combined Locks, Wis, Delta
Pulp company of Eau Claire, Wis,
Grand Rapids Paper and Pulp CON-
pany of Grand Rapids, Wis, NIenasha
Paper company of Menasha, Wis, Ne
kosa Paper company of Nekosa, Wis,
The Falls Manufacturing company Of
Oconto Falls, Wis, Flambeau Paper
company of Park Falls, Wis, John Ed.
wards Manufacturing company c. w.
Howard company of Menasha, Wis,
Wolf River Paper and Fiber company
Of New Richmond, Wis, Wisconsin
River and Paper company OF Proven,
Wis, Consolidated Water Power and
Paper company of Grand Rapids, Wis !,
Manufacturers Paper company, and
the Potes,-a Fiber company, of Pc.
teska. party defendants in a suit to
enloin them and restrain them from
doing business through the General
Paper company as the sales agent, in
violation Of the provisions of sections
one and two of the act of congress
approved July 2, entitled can act to
protect trade and commerce against
unlawful restraint and monopolies."
The petition alleges that the de-
PENDANTS formally entered into an
agreement to combine and control the
sale of the product of the different
companies through the General Paper
company, in that the General Paper
company regulated prices, sales and
shipment and territory for the sale
of the same and after deducting oper.
ating expenses of the General Paper
company divided the surplus among
the members of the corporation.
The petition recites that the General
Paper company was organized under
the laws Of Wisconsin, May rs, 1900,
with a capital stock of 100000, di.
vided into 1000 shares, which were
distributed amony and are now held
by certain of the defendants named
and that later the others were taken
into the combine, naming them in the
order in which they entered the trust,
and goes on to state that the General
Paper company became the exclusive
selling agent for the defendants with
absolute power to control the output
of the various mills, fix the prices Of
all paper sold and to whom and upon
what terms and conditions the paper
should be sold and into what states
and places it shall be shipped, what
publishers and other customers they
expect mills to supply.
1t further states that no dealers or
newspapers or other consumers in the
territory west of the Mississippi, with
the exception Of certain newspaper
publishers in st. Louis and Chicago,
could purchase any paper except d.
rectly through the General Paper COM
pany, and then only upon terms die
tated by the Latter.
The court is asked to declare the
alleged combination unlawful, and that
the defendants be permanently en-
joined from doing any act in pur-
slance of the same. That the General
Paper company be enjoined from act
ing as sales agent for the other de-
PENDANTS, and that the latter be en-.
joined from continuing their arrange
ment with tue General Paper COM
pany. The court is also asked to d.
rect the defendants to come into court
and answer all questions relating to
allegations of the petition as may be