The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-12-03

stock. Whine in the ownership or con-
troll Of the Union Pacific Company or
any corporation owned by II. or while
held by any corporation or person
for the Union Pacific Company, and
forbid any transfer or disposition
thereof in such wise 20 continue its
control, an dshould provide an In
junction against the payment of divi-
aen6s upon such stock while thus held,
except 70 O receiver to be appointed
by the court who shall ccntrsl and
hold such dividends until disposed OF
by decree OF the court
las the court below dismissed the
governments niH IL was unnecessary
there to consider the disposition OF
the shares OF stock acquired by the
Union Pacific Company. which acGui-
sition, we hold. constituted an unlaw-
fui com bination in violation of the
antitrust act In order 10 effeetually
conclude the operating force of the
combination. such disposition should
be made subject 20 the approval and
decree OF the court and any plan for
the disposition of this stock must be
such as TO effectually dissolve the
unlawful combination thus created.
The court shall proceed. upon the pre-
sentation of any plan. to hear the
bring in any additional parties whose
presence may be necessary 10 a final
disposition Of the stock in conformity
TO the views herein expressed
LAS 10 the suggestion made at the
oral argument by the Attorney General
as 10 the nature OF the decree. that
one must be entered which. while de-
stroying the unlawful combination in
so far as the Union Pacific secured
control of the competing lines of road
extending from New Orleans and Gal
weston 10 san Francisco and Portland,
would permit the Union Pacific 10
retain the Central Pacific connection
from ogden to San Francisco, and
thereby to control that line to the
coast, thus effecting such a continuity
OF the Union Pacific and Central Pa
cifc from the Missouri River to san
Francisco as was contemplated By the
acts OF Congress under which they
were constructed, 1t should be said
that nothing herein shall be con-
sidered as preventing the government
or any party in interest, IL so des.r-
ing. from presenting 10 the court e
plan for accomplishing this result CT
as preventing the court from sdcp;
ing and giving effect OF any such plan
60 presented.
Given Three Months.
ANY plan or plans shall be PIE
scented 10 the court within thr>v
months from the receipt OF tire mar
date Of this court, falling which c.
upon the rejection by the court c.
pla rs submitted within such tine. ths
court shall proceed by rec@ive-ship z-S
sale. II necessary. TO dispose g srch
stock In such wise as 10 dissolve s1os 4
unlawful combination
The government has appealed from
the decree. which is a general one. dis
missing the bill. So far as concerns
the attempt TO acquire the Northern
Pacific stock and the stock IF the Atch-
ison. Topeka and Santa Fe Railroad
Company. afterward abandoned. and a
certain interest in the san Pedro. Los
Angeles and Salt Lake Railroad Com
pany and other features of the case
dealt with and disposed of by the de-
Gree and opinion of the court below, ii
Is sufficient, without going into these
matters in detail, to say as to them
we find no reason 10 disturb the action
OF the court below. but for the reasons
stated the decree shall be reversed and
one entered in conformity to the views
herein expressed. so far as concerns
the ACQUISITION of the Southern Pacific
stock"
The court instructed the Circuit
Court to retain it's jurisdiction to see
that the decree above outlined is
made effectual."
History of Case.
The governments fight against the |
Union Pacific merger began in 1908. |
In that year Attorney-General Bona
parte filed in the United States Cir |
cult Court for Utah a petition to split /
the transcontinental railroads brought |
together by Edward II. Hartman
This powerful combination was alleged |
TO be IN violation Of the Sherman |
antitrust law.
Hartman. Jacob II. Schin, Otto II. |
Kahn. James Stillman, Henry H 70 !
gers. Henry c Frick and William A.
Clark were named by the government
as the creators Of the combination
end the supporters Of its existence.
The allegations set forth in the petit
1ion stretched over the development or
the entire nation and went far INTO the
years Of the past. Circuit Court Judges
e. INFORM. Van Devanter. II ook and Ad-