The Birmingham age-herald., 1913-07-22
S75,OOO,OOO SUIT
LAUNCHED AGAINST
RAILROADS IN MISS.
State Attorney General Al
leges Unlawful Merger
of Illinois Central and
Yazoo Valley Roads

jackson, Miss, July 2i.-Attorney
General Ross A. Collins announced to-
day that he will file In Coahoma
county tomorrow a suit against the
sippi Valley railroads, alleging an un-
lawful merger and asking penalties ap-
proximating $75.O00,OOO.
The attorney general states the suit will
be filed in the chancery court and will
be vigorously prosecuted. It was known
he had intended this action for some time
and has worked up much evidence.
Alleging infractions of the antitrust
laws of Mississippi, the attorney gem
erals suit seeks to oust the Illinois Cen
trail from that state, would forfeit the
charter and franchises of the Yazoo and
Mississippi Valley railroad and throwing
both into the hands of receivers. The
suit would also cause the Illinois Cen
tral to dispose of all stocks and bonds
of the subsidiary road and an absolute
enforcement of interests.
Recites History
The petition recites the history of the
building of the Illinois Central, connecting
New Orleans and Memphis, and reviews
the construction of the Yazoo and Mis-
sissippi Valley, and how this smaller road
obtained control of the old Louisville,
New Orleans and Texas and was in turn
taken in by the Illinois Central which
thereby obtained complete control of all
north and south transit through central
and western Mississippi, stopping COM
petition and working against the we'll
being of the people of MssisSlpps'
1.-The case will be brought said At
tarnev General Collins tonight under
section of the code which prohibits COM
peting railroads and parallel railroad
companies from consolidating or allowing
the affairs. of one TO be managed. regu-
lated or controlled by such other parallel
or competing railroad company, which
prohibits railroad company from per-
nlitting its affairs to be managed, regu-
lated or controlled by the same persons
vino manage the affairs of such compet-
ing or. parallel railroad company.
THE suit is brought under another sec
ton which prohibits the corporation from
directly or indirectly purchasing or own
ing the capital stock of another or any
part thereof of any other corporation
and which also prohibits the corporation
from purchasing or in any manner ac-
quitipg the franchise, plant or equipment
of any other corporation If such other
corporation be engaged in the same kind
of BUSINESS as competitor.
Dominates Other Road
"The kill will allege that the Illinois
Central controls. operates and dominates
the Yazoo and Mississippi Valley; that il
owns the capital stock of said road, that
they are competitors engaged in the same
Kind of business; that the combination
is working TO the detrirnent of New Or
leans. Memphis and all points on both
lines of said roads between such points
and is operating to the great injury of
the state OF Mississippi
penalties in excess of $50, 600 900 are de-
manded and The bill will ask for the for
feiture of right to do business in this
state. prsys for an injunction restraining
| the Illinois Central from further owning
the capital stock of the Yazoo and Mis-
sissjppi Valley and from further controll-
| ing, managing and dominating the said
Yazoo and Mississippi Valley railroad -
Suit a Surprise
| Chicago, July 1.-THE suit is a surprise
| to Illinois Central officials, according
| to c. II. Markham president of the road,
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(Confluued nm EBnu~ Na.cN