The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1911-05-30
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| ance with the Law without unnecessary
Injury to the public or the rights Of
private property.
"Wkile In many substantial respects
our conclusion is in accord with that
reached by the court below, and while
also the relief which we think should
be awarded In some respects is CO.
incident with that which the court
granted in order to prevent any COM
plication and to clearly define the stu
alton wo think, instead of affirming
and modifying. our decree, in view of
the broad nature of our conclusions.
should be one of reversal and remand :
Ing. the costs In this court to be borne
by the defendants below. with dlrec-
lions to the court below to enter do
cree in conformity with this opinion
and to take such further steps as may
be necessary to fully carry out the
directions which we had given. And
1T is SO ordered"
History of Cnse.
The American tobacco corporations
we're made the target of the second big
trust prosecution Of recent years.
| The fret was the Standard Oil Re
cause the testimony taken in the to-
pacco case was not SO extensive as tha
| In tho Standard OIL, the two cases were
| before the Supreme Court for consid
| GRAFTON ut the same time iE
| The attempt of the government to
| dissolve the tobacco corporation as
violating the Sherman anti-tr trust law
! took shape in 1907. In that year a
/ petition was filed In the United States
| Circuit Court at New York The gov
| eminent asked that the American TO
bacco Company, Its officers. directors
and AFFILIATED corpora tons, be pre-
vented and enjoined from restraining
and monopolizing commerce In tobac
/ CO.
| The restraints and the monopolies
/ aleged by the government were said
to have been obtained by an intricate
| system OF corporate organization II
began In 1880, when the first Ameri
can Tobacco Company was organized
| The new company took over the busi-
ness OF FIVE indep cigarette con
| Germs.
( In 1898, the Continental Tobacco
Company was Incorporated to take
: over the plug tobacco business OF the
American Tobacco Company, and tina,
OF FIVE independent plug manuractur-
ers. M
4. In 1900. the American snuff COMPANY
was incorporated to take over the snufi
business of the American Tobacco Com.
pany OF the Continental Tobacco Com.
pany, and of two other Independent,
manufacturers. M
I! In 1901. the American Cigar Com.
pany was incorporated to take owe,
the business OF the American Tobacco
Company and other manufacturers ant
sellers of cigars. cheroots and stogies.
In the same year. the CONSOLIDATED
Iobacco Company was Incorporated tt
take over In exchange for Its bond.
substantially all Of the stock of tn,
american Tobacco Company and the
Continental Tobacco Company.
II In 1903. the American stogie Com.
peny was Incorporated to take owe,
i the Btogie business of the American
Cigar Company. tho American Tobac
co Company and the Continental To
. bacco Company.
In 1901. the American Tobacco Com
i peny, the Continental Tobacco Com
nany and the Consolidated Tobacco
Company were merged into the prcsen
American Tobacco Company.
10 Destroy Competition.
The government claimed that all
: these organizations were created witt
| the definite purpose to destroy com
: petition and that they accomplished
mat purpose Each s,cp was attacke,
as a Part of IN unlawful plan. who's,
development and progress were al
, vanced. 1t was charged. by duress on
! preston and unfair methods intende,