Manchester Democrat. [volume] (Manchester, Iowa) 1875-1930, 1912-05-08
TRUST SUIT FILED |! |
GOVERNMENT STARTS CASE
I. AGAINST HARVESTER COM
PAlNY IN ST. PAUL. q
HITS AT INTERSTATE TRADE
Many Charges Are Set Forth Among
Which Are Restraint Of Trade and
Monopoly Of Business In Which
Company Is Engaged.

Monopoly OF Business IN Whicn
Company is Engaged.
st. Paul, Mimi, May 2.-The govern
ment on Tuesday instituted suit
against the International Harvester
company under the provisions Of the
Sherman antitrust law, by filing Pc
tition in equity in the federal district
court here.
The government asks:
That the $40, 100000 corporation be
dissolved on the ground that It is a
monopoly in restraint Of trade. #
That fnjunctions be issued to bar
from interstate commerce the products
OF the International Harvester COM
pany or Of the International Harvester
Company Of America, Its selling
agency.
That receivers be appointed to take
charge Of the property and wind up
The business of the defendant, If the
court finds such action compatible
with public interest a
The following corporations and indi-
viduals are mentioned as defendants
in the petition: .hl "a
International Harvester company.
International Harvester Company or
America, International Flax Twine
company, Wisconsin Steel company,
Wisconsin Lumber company, Illinois
Northern railway, Chicago, West Pull
man &. Southern Railroad company,
Cyrus H. Mccormick, George F. Ba-
kerr, Charles Deering. Norman 3.
Ream, James Deering, Charles Steele.
John ]. Glessner, jain A. Chapman,
William H. Jones, Ebert H. Gary, Har-
old F. Mccormick, Thomas D. Jones,
Richard F. Howe, John P. Wilson, Ed
gar A. Bancroft, William L. Saunders.
William r. Louderback. George W..
Perkins ~, r.
Assistant District Attorney J.. Mark
Dickey, who filed the petition before
Judge Charles A. Willard, announced
that the subpoenas issued for Cyrus
H. Mccormick, president of the Har.
vester company, and for all the rest OF
the Is individuals and seven corpora
lions are returnable May 6. The de.
PENDANTS must enter their appearance
In court by June 8, but it probably
will be July / before they will be re-
CURED to answer the governments
petition. /. 1.,s
Mr.. Dickey received word that At
torney General Wickersham would
probably file certificate of expedition
in order that as little time as possible
will be lost in bringing the suit to
trial. The case by this means will be
removed from the district court OF
Minnesota to the United States cir.
cult court OF appeals for the Eighth
district thus Fastening the issue to
the Supreme court of the United
States. v.
The charges by the government
against the Harvester company are:
That the company is monopolizing
the manufacture and sale Of harvest
Ing machinery, has advanced prices
ITO the grave injury Of the farmer and
the general public" a
That the company controls at least
80 per cent. OF the trade In the United
States in harvesters or grain binders,
rs per cent. OF the mowers, and more
than 50, per cent. Of the binder twine
That the company has absorbed COM
peting companies while allowing the
companies still to advertise as being
independent, thereby misleading, de-
ceiving and defrauding the public and
more effectually Gripping existing
competitors and keeping out new
ones. 81 y, it53s :.
That the defendants have resorted
to unfair trade methods by attempt
ing to induce agents to handle only
their products. (.
That they. have bought up patents
to perpetuate. the monopoly.
That in organizing the International
Harvester company the defendants
were actuated by determination to.
form monopoly.
That the company bound retail deal
ers by contract not to sell the prod
ucts of any other manufacturer.
That the harvester company re-
ceives iron, steel and lumber from the
Wisconsin Steel company and the
Wisconsin Lumber company, subsidi-
aries, which are used to eliminate
competition.
The company was incorporated in
New Jersey with capital stock orig
inally of $120,0O0,000. The control of
the capital stock was placed in the
hands Of three voting trustees-Cyrus
H. Mccormick, Charles Deering and
George w. Perkins, who issued stock
trust certificates to the persons actual
ly owning the stock. a