New-York tribune., 1911-09-25
TOBACCO TRUST At SEA
ON DISSOLUTION PLANS
Not Willing to Adopt Any Scheme
Involving Loss to Bond and
Stock Holders.
IN FEAR OF RECEIVERSHIP
Only Short Time Remains for
Vast Organization to Obey
Mandate of the Su-
preme Court.

preme OourJ'
With. the approach Of another confer
sncs on the reorganization Of the To-
rocco Trust this week the indications
from various quarters arc that the
,,roblem OF dissolving the gigantic COM
r.nation without destroying private
rropertv has been found the most din
cult one ever put before a body of law
yers
From a man Of high authority. who is
q, position 70 know Of the transac-
,ions ar the conferences. il was learned
YESTERDAY that what has been called a
preliminary plan for reorganization
amounted 10 no more than A vain CROP
INC in the dark for some basic principle
on which 10 build MP the new scheme
Of things In compliance with the decree
NJ The supreme Court.
There have been four conferences of
mis- kind between the Judges of the
Tinted states Circuit Court. representa-
tiyes Of the government and counsel for
the American Tobacco Company. The
result this man said. has been 10 dem
a7strate ~ magnitude of the task, and
the obstacles disclosed have loomed up
go large as almost TO discourage the
men who viii have 10 find some solution
I'm the limited time set by the highest
court ov have the companies composing
. the Tobacco Trust go into the hands Of
. O. receiver
Fear Of Confiscation.
The fundamental difficulty lies in the
finding of q plan of dissolution that viii
respect the property rights of the men
who hsr. invested their money I'm any
Of -he companies involved" was the de-
zariptIon of the point that appeared to
ac considered the most vital one. a
plan must be found that will dissolve
and recroatc without destroying or con-
Hsast.ng pr0pertr. and the supreme
Court itself. I'm its decree ordering the
dissolution of the Tobacco Trust. said
EXPRESSLY that ~ left the matter to the
court below TO work out compHgr..
with the law without unnecessar. .n-
jury 70 the public or the rights of IL
vste property.
.It viii be a difficult task to decide
now far such necessary injury may be
inflicted and when such a proceeding
viii not. become confscatory m the sense
o. ,'e ou'iS'''. ''oN- mo 80 ~
-, - -.
gu 49,. -.,.-..s..-,o. ,,ae ,,a,, d.,
-, ...-,.-.--,i,.i,. -,.+tods -
-. 80 ~. de+srda,+s ,vero not on.
...l,d - ,o ,.o+ac-a5 -, RIGHTS n nron.
-. a,c,,i-ed l.,, ,,foIa7Dg the law Bu,
d., r,o,Id mean Years NJ Iitigatior and he
-..-.sa.rr,. ;.,,r,oss,,,Ia 70 establish in tbe
- ~. ,,1cb of the frcroa sad wealth
a.. -. -, -.-so-ic.s oo,5er,rs5 nv
.,, - - ~. re,,r,-,,s,, - ~,
..,... o--, ..o, tho iss,,o MIGHT he
-....a .,,a+ such a racsiversbin 70 hand,
.-. ,ea,,, Of q nerfectIy solvent corpo-
--..-.. ,..-,5.~aa y, oo,6scs+,on and
- - .-..,,,sh r-ecadarr rbat rripb-
-. -. ,-,srsad IN the future The
- --,,,s 80, ,e bro,,rbt into tbe
..-.-.- aa5 -ag,,I+ in long litigation ano
-.
,,.
r'sn' Ns''''''
The possibility Of receiversnip Is
viewed by many interests hehino me
Tobacco Trust as something 'nal ousl,
TO De sEer1eo Dy az L-ie'li-s. - "a
A'rsE OF speClai 'O..i-'1l ! 0''"---'o y -,
american LoDa''0O I'm I1---y ~ WI = %
reoIsehiAa'lon plan Id " 'eei' "oi N'''-
since june 10 eVol'e q -oaS'oIc S'ilelli'
o't t'eir nrst proposal was Prou'p''S
'7ro7n OUT o' INC -s'NeI ,-l''e'l'' IL " a.
.h'.'natso lLal '1i'''s ,iie ne ~,
me '-f.7se"'''- '' '' '.'e so' q. ~,
.@' me p's'l''. I'D. '''a' ~ a '-'s "a. o.
.e" , 49,.