The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1911-10-27
LONG PLANNED SUIT TO BREAK
UP GREAT COMBINATION
IS BEGUN. Il
TH|RTY-S|X ARE AFFECTED
Many Subsidiary Corporations Are
Named as Defendants and Bill Filed
in Federal Circuit Court Contains
Many Allegations That Are ssnsa-
tional in the Extreme.

Trenton. y j.. Oct. 25.--The gov.
ernment's long planned suit to break
up the so-caled steel trust" was be-
gun here today I'm the United states
circuit court. II is the most swccp-
Ing antitrust action ever brought bv
the department of justice.
The government asks not onIv tha
dissolution of the United States Steel
corporation. but for the dissolution Of
all constituent or subsidiary companies
which are alleged TO have combined
In violation 81 the Sherman law to
maintain or attempt to maintain q
monopoly Of the steel business"
Defendants. ~
Thirty-six subsidiary corporations
are named as Defendants J. Picrpopt
Morgan. John d. Rockefeller, Andrew
Carnegie. Charles NJ. Schwab. George
w. Perkins. H. II. Gary. John y.
Rockefeller. Jr. SHenry C. Frick,
Charles Steele. James Gaylev. william
II. Moore, j. n. Moore. Edmond C.
Converse. Fercival Roberts. Jr.. Daniel
O. Reid. Norman r. REIN. p. A. Il.
Widener and william p Palmer are
named individually as defendants.
The United States Steel corpora.
tion, the Carnegie Steel company, tho
Carnegie company OF New Jersey. tho
Federal Steel company. the National
Steel company. the American Steel
q Wire company Of New Jersey. tho
National Tube company. the Shelby
Steel Tribe company. the American
steel Hoop company. the American
Pridue company. the Lake Superior
Conso dated Iron Mines. all Of which
were orsanized un:er the New Jersey
laws. and the " g. Frick Coke conn
nnrv. the Tennessee Coal & Iron and
Roilroad company. and the Great
Western Mining company are named
~ corporate defendants.
Louis w. Hin. James ~ HiIl Walter
7 Hill. r.. r. Nichols and J. II. Gruber
are named as trustees in connection
with the ore companies.
The steel corporations lease of tho
Great Northern railway ore properties.
which the directors Of the steel COM
panv today formally decided to can
eel. In alleged to be Illegal. The &C.
tion OF the directors was taken but =
few hours before the filing of the bin.
The government acknowledges that Il
was advised OF the steel corporations
plan in this respect but states that
uaaer the terms OF the lease no cam
collation. would be effective until Jan.
nary l. 1915. and there Is no limit
nnon the amount OF ore that can be
taken out In the meantime.
Sensations.
Sensational allegations fairly topplo
! over each other In the governments
petition. which Is an equity proceeding
| praying for injunctions to estop cons
tinuance OF the alleged monopoly and
such other relief as the court may
grant.
The steel corporations acquisition Of
the Tennessee Coal < Iron company
curing the panic of 1907 Is declared
| Illegal and scathingly criticized. The
petition declares that E. III. Gary and
Henry G. Frick misled former Presi.
dent Roosevelt when they told him
"that but little benefit would come "a
the steel corporation from the pur~
chase"
"The president" 1t says. was not
made fully acquainted with the state
of affairs In New York relevant to the
| transaction as they existed. lf nd
had been fully advised he would have
known that a desire tn stop the panic
was not the sole moving cause. bul
that there was also a desire and purs
pose to acquire the control of CONS
pany that had recently assumed po'
sitiou of partial competition of greal
significance.
1T Is certain that the corporation
| availed itself pf the emba IRA sment al
Moore 4 Schlev tNew York brokers who
had large holdings OF Tennessee stock
at most critical period by the ham,
mering of the Tennessee stock and thu
threatening OF general financla
: calamity 10 acquire the control OF I
competitor, taking on formidabl,
aspect.
The corporation thus greatly
strengthened its control OF the coun
try's iron-ore supply, Its preSomlnatinl
position In the south's iron and stee
trade. eliminated competitor and un
lawfully acquired power which Is ,
menace to the welfare of the countr,
and should be destroyed
The Gary dinners are referred Ia
thought not by name, as meeting
which accomplished mere than writ
ten pools or agreements.
"It was understood and agreed,
e said the bill. "that they (the stce
$ manufacturers represented at tn
: meetings) were bound to protect on
: another. that. To carry out this pur
e pose, their honor was at stake, an
4 that the obligation upon them va
: even dearer than life itself and tha
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