Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1904-04-05
HILL DENIES COLLUS|ON
The Suit Brought by Union
Pacific Interests Not a
Friendly One
SAID TO BE PROTECTIVE MOVE
Winslow Pierce and the
Equitable Trust Company Response
BILE for Any Substitution of Other
Securities Than Those Deposited at
Present.

New York, April 5.-The actor
brought by the Union Pacific Interests
TO determine the legality of the pro
posed plan pro rata distribution o
Northern Securities assets had beer
looked for In Wall street, but thu
question of most interest to the stree
was whether the proceeding can be re-
garded as friendly or not. A man in &
position to know the Union Pacific In
point of view made this statement:
The Union Pacific people do not
believe that Mr. Hill and his friends
bringing of this action, because they
know that Mr.. Harriman's reason is
his desire to ascertain the exact legal
distribution under the receiver of the
court. Counsel to the Union Pacltie
have decided that the Northern Sc
curities Company should be liquidated
thru return to Northern Securities
holders of the stocks which they ACT
ually deposited in return for their
Northern Securities shares.
MIR. Hartman and Winslow Pierce
as well as the Equitable Trust COM
rany, trustee under the Oregon Short
Line bonds, the collateral for which
consists of about $S2,500,000 OF North
ern Securities stock, are responsible
for any substitution Of other securi
ties for those deposited at present.
IF they were to take both the Great
Northern and Northern Pacific, as is
proposed under Mr.. Hills plan, SOME
holder Of the Oregon Short Line bonds
might institute proceedings. possibly
Identical with those now started by
Mr.. Hartman and Mr.. Pierce. to pre-
vent such a substitution.
The explanation of the paragraph In
the Hartman Pierce petition, which
says that II the present plan Of distri-
button is carried out q majority Of the
stock Of both the Great Northern and
Northern Pacific would be vested in the
same individual stockholders OF the
Great Northern who promoted the
Northern Securities Company. and
would, therefore, render the decree of
the court Intellectual and defy or evade
its true intent and purpose, is found In
the fact that when you go into court
you want to make as strong case as
possible.
IF the court were simply asked to
do something for the Union Pacific in
terest, instead OF being petitioned, as
1t is, to do definite thing for definite
reasons, the whole matter would I'M
doubtedly be thrown out. And this IS
the real explanation of this para
graph.
There is no aninlus in the suit. It
is purely protective move on the part
OF the Unien Pacific interests. No one
believes, however, that there will be
any real trouble as result of these
by Mr.. Hartman and Mr.
Pierce"
James J.. Hill, when asked IL the suit
was a friendly one, said that it was
not friendly in the sense that there
was any collision between the North
ern Securities Company and the Union
Pacific.
Colonel w. p Clough, general coun
sci to the Northern Securities Com
pany said it was altogether wrong to
assume that the suit was a friendly
one, and added that while a strong de-
Tense would be made in court it would
not be proper to disclose 1t at this time.
E. H. Hartman refused to make any
statement.