Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1911-09-21
Government Will Allow the
Company to Separate Into
Four Corporations and
Avoid Prosecution.
GOVERNMENT SUIT
HAS NOT BEEN FILED

4AAOAAS AAAAS0 ~ A0sSSAASAssA~S -
and Tobacco Cases Held
Up for the Present.
washington, D. c., Sept. 20.-That
international Harvester Co. volun-
tarily to readjust its organization to
conform to recent interpretations OF
the Sherman law became known here
today. Pending the result OF confer
ence between Attorney General Wick
ersham and attorneys for the company
the threatened dissolution suit Is be-
ing delayed.
Negotiations looking to an under
standing between the government and
the company which were begun IN
Washington last summer by Edgar A.
Bancroft. general counsel for the har-
vester company, and later were con-
tinued at Cedarhurst, L. l., where At
torney General Wickersham has been
spending the summer, have reached
the stage, It Is said where 1t was be-
lieved necessary for Mr.. Bancroft to
refer the question of reorganization
to the company's board Of directors.
Financial circles recently have
heard persistent reports that the gov
ernment was ready to bring an anti
trust suit against the company. the
understanding here is that tho govern
ment at no time has been inclined TO
be precipitate so long as the company
showed disposition to meet the de-
mands OF federal authorities.
The attitude Of the board OF dtrec-
tors Of the harvester company ts ex-
pected to be communicated to the de-
partment OF justice in about month.
Not 4 New Departure.
The negotiations which Attorney
General Wickersham has been carry
ing on with officials of the harvester
company, do not constitute an entirely
new departure In federal regulation
Of corporations, although the proceed
ing is OF character only recently in-1
stituted. In the case OF the electrical
trust and that Of the southern whole.
sale grocers' association the corpora
tions recently were permitted to agree
70 the governments demands. These
agreements were put in the form OF
degrees which will be submitted to the
United States courts for approval.
II is not known definitely II the
harvester company will be able to fol-
|iow the course OF the electrical trust
or the southern wholesale grocers' or.
|ganization, as opposition may develop
in the board of directors.
Must Separate Into Old Companies.
Meanwhile the department OF
justice is continuing its investigation.
Details OF negotiations between
Wickersham and Bancroft have not
.heen allowed to become public, al.
though 1t is known that as one condi-'
tion to non-prosecution the govern
ment insists upon the business OF the
trust being separated into the four
cornorations which first composed 1t.
They were the Mccormick Harvest
ing Machinery Co., the Deering Har-
vester Co, the Milwaukee Harvester
Co. and the Plano Manufacturing GO.
These four companies were the 1irss
to be acquired by the international
Harvester Co. when 1t was formed III
New Jersey in 1902 and capitalized at
s120 100000 Of which 100000, 900 was
paid in. The other $50, 100000 OF STOCK
was issued for real estate, plants
and physical inventories.
Officials In The East.
Chicago, ILL.,, Sept. 20 At the
offices OF the international Harvester
co. here no official was found who
would discuss the-report that the cor
noration was considering plans Tor
Reorganization. It was said that Cyrus
II Mccormick and Harold +. CcCor-
mick are In Europe and that Clarence
s Funk. general manager. and Edgar
A. Bancroft, general counsel. were IN
New York.
Perkins and Bancroft Confer.
New York, Sept. TO-. George w.
Perkins, chairman Of the finance COM
rnittee OF the international Harvester
Co., and Edgar A.. Bancroft, general
counsel for the company met here to-
day for q conference on the affairs OF
the corporation and its relations with
the government. Mr.. Perkins said
that the government is ready to per-
nit the company to re-adjust itself to
conform to recent interpretations OF
the anti-trust law, and that after
talk with Mr.. Bancroft a statement
might be issued.
r..,~t,.> EIen man 0vApeomA