The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-02-10
PLANS COMPLETE
FOR DISSOLUTION

California with the Oregon and Cali
fornia line, making direct connection
from San Francisco to Portland, Ore,
and for the grant by the Southern Pa
chic TO the Central OF equal running
rights with the Southern Pacific over
the Benicia line between Sacramento
and Oakland and between Redwood and
San Francisco. thus affording the I'm
ion Pacific, by way of the Central
Pacific, direct limo for its trans
continental traffic over the short line
between Omaha ana San Francisco.
There are various provisions for the
Joint equal use by the two companies
OF the terminals at junction joints and
other details not necessary 10 be men
toned here"
Negotiations Leading to Plan.
concerning the negotiations which
led up to the formulation of the plan
outlined, Attorney-G eneral Wickersham
said:
The original decision. rendered by
the supreme Court on December . di-
rectly adjudgcd that the acquisition
and continued holding by the Union
Pacific and it's subsidiary corporations
or some 46 per cent OF the capital stock
OF the Southern Pacific accomplished
an unlawful combination in restraint
OF trade and violation Of the Sherman
act. and directed the entry OF a de-
cree enjoining the continued voting
control of such stock and the collec-
ton OF dividends thereon by the Union
Pacific Company. The opinion how
ever went further and pointed out that
the acts Of Congress relating to the
Pacific Railroads required the Central
Pacific and the Union Pacific roads TO
be operated and used for all purposes
OF communication. travel and transport
tation. 80 far as the public and the gov
eminent ar" concerned. as one con-
nectad, continuous line, and 1t pro
vided that at any time within three
months Of the entry of the mandate in
the District Court n plan for tho dis
position of the Southern Pacific stock
adjudged to be unlawfully held by the
Union Pacific might be presented by
the government or the defendants TO
tho District Court, and that nothing in
the opinion OF the court should be con-
sidered as preventing any such party
from presenting a plan which. while
destroying the unlawful combination,
insofar us the Union I'acinc had So
cured control OF the competing line OF
road extending from New Orleans and
Galveston to San Francisco and Port
land, would permit the Union Pacific
to secure the Central Pacific connec
tion from Ogden to San Francisco and
coast, thus effecting such n continuity
of tho Union Pacific and Central Pa
cifc from tho Missouri River to San
Francisco as was contemplated by the
acts Of Congress undcr which they
were constructed.
Proposal Refused.
FOLLOWING tho rendering of this de-
cision, negotiations were opened with
! the Attorney General by the represent
atives OF the Union Pacific Railroad
Company, the latter proposing to OFFER
the Southern Pacific stock held by it
for subscription pro rata among it's
own stockholders The Attorney-Gen-
eral declined to acccde to this propo-
sition, but finally expressed his will
offer the stock for sale to the stock
holders OF both the Southern Pacific
and the Union Pacific Companies pro
rata This being unsatisfactory 70 the
Union Pacific Company, all parties