The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1908-01-26
IN EQUITY
WILL BE FILED
attorney General Bonaparte
Orders Suit Brought Against
the Union Pacific.
OTHER DEFENDANTS NAMED
SPECIAL COUNSEL ENGAGED BY
GOVERNMENT.

Washington. Jan. 25.-Attorney Cen
-eral Bonaparte today directed that a
bill in equity be fled to set aside the
control by the Union Pacific Railway
company and its subsidiary corpora
tions OF the Southern Pacific and the
San Perdo. Los Angeles & salt Lake
roads: also to have declared illegal
the ownership by the Union Pacific or
the Oregon Short Line of stock in the
Santa Fe, the Great Northern and
Northern Pacific, all of said lines be-
ing competitors of the Union Pacific.
eonaparte's Statement.
- The attorney general today issued an
official statement TO this effect. which,
after referring TO the extended inves-
tigation by the interstate commerce
commission into the relations existing
between the various lines of road en-
gagged in transcontinental traffic, says:
From the evidence so adduced and
from Independent investigation the de-
partment has arrived at the conclusion
that the stock holding of the Union
Pacific and its subsidiary company in
the other corporations mentioned above
is in direct violation of the Sherman
act.
1.-The department regards the suit as
OF first Importance. as it is sought by
means thereof to break up a substan-
tial monopoly Of transportation bust
ness of the country between the Mis-
souri, river on the east and the en-
tire Pacific coast south of Portland on
the west.
~ Other Defendants.
aside from the railway companies
above named, the other defendants in
the suit are the Farmers Loan and
~ x1FHfr
is the depository of all the stock OF
the San Pedro road under a contract
by which it is required to give proxies
TO such persons as may be named by
Mr.. Hartman and Mr. Clark for a
period of years. There are also the
following individual defendants, who
are alleged to have conceived and car
ried out the conspiracy complained CT
10 wit: E. II. Hartman, Jacob H.
Schiff. Otto H. Kahn, James Stillman
Henry c. Frick, Henry s. Prick, Henry
H. Rogers and William A. Clark"
While naming the individual defend
ants the statement makes no mention
Of any intention to prosecute any of
these officials personally in any Grim
tnal proceedings
Southern Pacific Merger.
The statement continues:
1T appears by the testimony in the
prosecution of the department that a
combination was formed about the be-
ginning of the year 1901 by z. H. Har-
riman of New York, the president of
the Union Pacific, and certain of his
associates, for the purpose of obtaining
a monopoly of all transcOntinental
transportation business. The first move
was the acquisition of sufficient stock
of the Southern Pacific company TO
insure its control. That company own
ed a line of railroad extending from
New Orleans and points in Texas on
80 fideWater through California TO Port
land. ore; also another line from
Ogden. Utah. TO San Francisco. The
Southern Pacific had been for years
one OF the principal competitors of the
Union Pacific. As the result of such
control by stock ownership, the man.
agement of the two companies had
been amalgamated and since 1902 ma
iority of the board of directors of the
Southern Pacific have been members