Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1911-11-09

make them guou al maturity. mus tue
: menace of holding an enormous
2 lamount of money additional to what
lis legitimately used in the business of
the American Tobacco Co, will disap-
pear.
Some of those who have been heard
lin opposition insist that no plan Is
practicable; that in conformity to
1.-THE statute the only thing for this
leourt to do is to seize the property
Through receivership and proceed to
Isell it. This proposition need not be
discussed; evidently the supreme
court believes some plan more prac-
ticable or it would not have directed
this court to inquire into this mat
lter.'
Judge L.aeombe refers to the SUP
omission of other plan FOR dlssoiutioi
and points out that since the circuit
lcourts had no authority to enforce any
Iplar for readjustment without the CO.
Operation of the owners of the prop
erty it would be a sheer waste Oh
time, therefore, to consider any pan
radically different frem the one NOV
before us; if we find this plan Woua
mot create the condition defihed III the
opinion of the supreme court or
such notifications as we may lcquiie
las q condition to giving our apPfoVai
are not accepted by the deiehaah.s'
we must obey the mandate oi the
court. or seize the property ana sen
i; at public auction.
After approving with minor ihouiit-
cations the first five of the restrictions
suggested by Attorney General WICK
ersham, Judge Lacombc IN considering
the sixth restriction to the eject 'iial
no one oil the corporations III the COM
bination shall during period OF i've
| years acquire any stock in any Oh Tue
other corporations, says;
| with change OF phfaseology
which syill make this applicable To all
of The n companies. TINS request y
! approved. \ similar request Is loulu
/ among those submitted by other Cd
ieetnrs, with an additional clause for
bidding any one of these II companies
fror, making loans or otherwise eN-
| tending credit To any OF the Others.
| This suggestion is proper one anu
may be embodied in the attorney gen
erals request"
/ Referring to the seventh restriction
suggested. cnjoining the % individual
defendants from within five years IN
| creasing their stock holdings in the
| re-orcaied corporations, Judge La
| combe says shat on the argument the
attorney general states that he would
he willing to substitute three years
| for five years" and adds that TINS
| change seems desirable because IL
would result IN u more rapid distribu-
/ ton Of present holdings. He further
saws that there should also be pro
| viso executing from the operations oil
| this prohibition any and all sales ana
purchases by the 30 individuals inter
ested
| Judge Lacombe says that the court
has no power to direct that the stock
of the United Cigar Stores Co. be sold
and distributed to parties other than
the % individual defendants or 9TH
ers of the common stockholders Of the
| American Tobacco Co. He adds that
nowhere is there any authority for the
proposition that the court may selZe
1.-THE property of private persons, VINO
Imay have offended against the statute
lend sell it under conditions which
| would preclude the holder of the title
or the owner of the equity from bid
lGing at the sale so as to compel the
purchaser to pay a reasonable price
for it. or from buying it himself II no
one else will pay full value for 1t.
| Concerning the requests of the va
i ious other DIRECTORS. Judge Lacombe
says he finds that nearly all of them
are covered by those of the attorney
general. or already have been disposed
loo by the discussion of the general
features of the plan. He denies the
n eauest that independent persons
should in the event of the injunction
have liberty to apply to the court fer
protection, saying that any one who
feels aggrieved should take his COM
plaint to the attorney general, who
win winnow the wheat from the chaff
and If he finds substance in any allie
gation he will bring it before the court
In his opinion concurring with Judge
I.acombe. Judge Noyes pointed out
taat the whole question before the
court was the matter. of relief to be
afforded. we are left without q
guide" he said. TO turn q condition III
ISOLATION of the law into IL condition
honestly in harmony with il
If We are not satisfied with the sub
stantiaI compliance with the law; II
we strain after the ideal and put aside
/ /
on receivership with its attendant
lssses to innocent investors. But that
result was what the supreme court
vas solicitous of avoiding and think
it intended that we should recognize
the problem presented to us as very
practicable one to be disposed of IN
d practical way.
Taking up the plan. we know DIT the
. outset that it is an honest one. 1t has
/ cen built up almost in our presence,
: nd whatever question there may be
a. to it's merits there is none of the
. good faith of its authors
, Judge Coke said that the considera
$ ton which had the greatest weight
r with him was the fact that no one had
I proposed a better plan-the only alter
: native proposal being the appointment
t Ct 81 receiver. He said he agreed with
: tie attorney general that such a ca
: lamity should be avoided except as q
1 last resort.
And | am by no means, convinced.
he said, that 1t would not produce
+ tile very evil which this action was