Daily press. [volume] (Newport News, Va.) 1896-current, 1907-07-11
MAY PROSECUTE CRIMIHALlY ALSO
Many Millionaires Named AS Defend.
ants in One of the Most Important
Actions Ever Brought by the
Federal Authorities-How All op.
position is squclched by the Trust
(By Associated Press.)

NEW YORK, July Johannes C..
McReynolds, the SPECIAL assistant nj
torney general appointed TO prosecute
the so-called Tobacco Trust declared
today after filing the complaint in the
case that the question whether he
would urge the court to appunt a re
celver for the various companics
would depend entirely upon the evil
dcnce secured from the witnesses
summoned upon his complaint. lie
sad also that criminal prosecution of
SOME OF the defendants he named in
inc complaint is highly probable and
that the Sherman law under which
this acton is brought makes con-
splracy in restaint OF trade n crjmi
nal offcnse.
A significant feature of the com.
paint filed 10y Mr.. McReynolds today
is the waiver by him Of the right of
demanding answers under oath from
corporations AMI ind ,'dmale- ..----.s.i
ms defendants, in his complaint as the
Waking of such answer under oath
might confer immunity from prosecu-
ton.
The individuals named as defend
ants and as witnesses are James
b. Duke president American Tobacco
Company; John b. Cobb, president
American Cigar Compay William X.
Paris Chairman of the Board OF
Manager sof the British-American To
bacco Company: Caleb G. Dula. vice
president American Tobacco Company
and director of the American Snuff
Company: Percival S. Hill, vice prcsi-
dent of the American Tobacco Com
pany w. c. Redd. agent of the United
States Imperial Tobacco Compay OF
Great Bn tain; Thomas +. Ryan
Pierre Lorllard, p. a. b. Widener An
thony n. Brady and practically all of
the directors of the American com
pany. Mr. McReynolds appeared be-
fore the clerk of the court alone to
file the complaint but the petition is
signed by Attorney General Charles
j. Bonaparte. Milton ID. Hardy and
Edwin p Grosvcnor and lanes c.
McReynolds assistant to the attor-
ney general There was no hearing
before the court today's acton being
confined to filing the complaint
Mr.. McReynolds said that the next
step in the case would be the servinu
of the notice of the complaint upon
the defendants and the filing of their
reply or demurrer TO the complaint.
After that the Witnesses would be
called lnfurc the court and the taking
of evidence would begin. AT the
CONCLUSION of this the assistant at.
torney general would ask the court
to take whatever action in the case
the may consider desirable. In reply
to question whether he intended
to urge the court to appoint receivers
for the various corporations Mr.. Nc
Reynolds said he could only decide
that after hearing the evidence givct
by the witnesses. What precedent
have Won for asking for the appoint
ment OF receive he was asked
"The Sherman law under which this
action is brought replied Mr.. Nc.
Reynolds, provides that the court
may restrain and prevent the opera
tions of a combination. If the court
finds that the appointment of rcceiv
ers is necessary to prevent operation
of this combination It may appoint
them. We ask the court To cnioin
these companies. If it did so it might
prevent men from buying tobacco hut
if receivers are appointed the business
WOulu NC Tic luDflC WOliI'
not he embarrassed by inability tt
purchase tolucco and the receiver
might sell of the various factoric.
to independent concerns cffectivel!
dissolving the combination"
What the Government Asks.
The government asks that tn
existing combination conspracies an,
monopies be enjoineu and that cacl
of the defendant companies be re
strained from holding stock in an
other. 1t is asked further that tn
Imperial Tobacco company he Ell
Joined from doing business within tn
jurisdiction of the United States III
til IL shall cease to observe the term
of its agreement with American con
Danies that certain of the defendant
be declared combinations in restra' Il
of trade and be enjoined from engas
ing in Interstate and foreign trad
and commerce or that II receiver b
appointed to take charge of their n
fairs and administer them SO as