Bisbee daily review., 1911-05-30
GOVERNMENT WINS
 IN TOBACCO CASE

Continued from Page 1.) On practically every point on which the government appealed from the decision Of the lover court it scored victory today. In the first place, Jam es B. Duke and the 2S other individual defendants are held to be parties to the unlawful combination instead of being free from further responsibility in the case as directed by the court below
 Instead of dismissing the point as to the Imperial Tobacco company, tEe so called British trust, and as to the British American Tobacco company. the creation of the two parent to bacco trusts" these two corporations were held to be cooperative in the unlawful combination, so, too, was the United Cigar Stores company, retail organization which has stores throughout the country.
 Move for Re nearing.
 Unlike the Standard oil company. which made no move for a re-hearing. Wm. B. Perkins, as counsel for the American Tobacco company, asked the court after the announcement of the decision for leave to present a peti- ton and to stay the issuance of tLe mandate for 90 days. The request was granted. Shortly afterward the court adjourned to next october.
 The American Tobacco corpor. ations were made the target of the second big trust prosecution of re cent years. The first was the Stand ard Oil Because the testimony taken in the tobacco case was not so ex- tensive as that in the Standard Oil, the two cases were before the Su- preme Court for considerauon ar the same time.
 History of the Case The attempt of the government to dissolve the Tobacco corporation as violating the Sherman sad trust law took shape is 1s5T. In that year. a petition Ess niSe in the United States Circuit Court at New York Tho government asked EGg. the American Tobacco company, its officers, directors and affiliated cor porations, be prevented and enjoined from restraining and mcnopolizing commerce in tobacco.
 MonopoIy's Beginnings
 The restraints and the monopolies SSleged by the government were said to have been obtained by aD intricate system of corporate organ Zation. It began in 1890 when the first American Tobacco company was organized The new company took over the business of five independent cigarette concerns.
 In 1898, the Continental Tobacco company was incorporated to take over the plug tobacco business of The American Tobacco company anu that of five independent plug mana lecturers.
 Snuff in the Trust
 Tn 1900, the American Snuff com pany was Incorporated to take over the snuff business of the AmericaL Tobacco company, of the CQntInental Tobacco company and of two other independent manufacturers
 in 1901, the American Cigar com pauy was incorporated to take over the business of the American To- bacco company and other manufaetu' CTS and sellers Of cigars, cheroots and stogies.
 Gathers Them In.
 In the same year. the Consolidated Tobacco company was incorporated to take over in exchange for its bonds substantially all of the stock of the American Tobacco company and the Continental Tobacco com pany
 In 1903. the American stogie com any was incorporated to take over the -Stogie business of the American Cigar company, the American To bacco company, and the Continental Tobacco company.
 In 1904, the American Tobacco company, the Continental Tobacco company and the Consolidated To bacco company were merged into the present American Tobacco company.
 Competition Destroyed
 The government claimed that all these organizations were created with the definite purpose to destroy com petition and that they accomplished that purpose. Each step was attacked as a part of an unlawful plan. whose i deveipment and progress was ad- | vsnced. 1t was charged. by duress. oppression, and unfair methods in- tended to drive out and keep out competitors and secure mon opolies.I
 The defendants claimed that roth ing was to be found in the organiza- ton of these corporations. but the orderly, natural and legitimate de velopment of a great business. They vacation with her parents. Mir. and