The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1913-07-01

ST. PAUL. MINI. June 3o.-Federsl
Judges Walter II. Sanborn. William T.
Hook and Walter i. Smith. sitting as
the district court of the United States
for the district of Utah, late today
approved the plans agreed upon by At
torney General McReyno1ds and at
torneys for the Union Pacific road and
the famous Union Pacific Southern
Pacific merger. known as. the great
Hartman combine virtually came to
an end.
The decree will become effective with
its fling in the federal court in Salt
Lake City, which probably will take
place next Wednesday or Thursday
With the handing down Of tie final
decrees years Of litigation came to sH
end, the first suit of the government
to dissolve the merger having been
filed in Salt Lake city in 1908
The decision came as a surprise
There was brief hearing at which
the government was represented by
G. Carroll Todd. special assistant te
the attorney general, and the Onion
tlSlllC OS ~ H. 4<gOAHAS otl0 IL ~
Clarke. Then the court took the case
under adyisement several times calling
in the respective attorneys TO question
them further concerning the plan, but
there was no hint that decree would
be given.
McREYNoLDs' PLAN APPROVED
Shortly before o'clock. Judge San
born presiding. called in the attorneys
and announced that the court had de-
cided to enter a final decree, approving
the plan as presented by the attorney
general and the Union Pacific counsel
with practically but one exception.
This exception was the naming OF
Louis c. Krauthoff of New York as
commissioner OF the court to see the
letter and spirit OF the plan are CAT
ried out The court also directed hin
to report TO it from time TO time.
In brief the plan. which had the ap-
proyal OF President Wilson. presented
by the attorney general and counsel OF
the road. provides that the Union Pa
cinc shall exchange s3S,000,000 Of its
s126, 100000 holdings in the Southern
Pacific company for the Pennsylvania
railroads entire holdings in the Balti-
more and lOhio-virtualiy an equa
amount; that the remaining sss,ooo,ooe
shall be sold to the general public
through the Central Trust company
of New York; that no present stock
holders In the Union Pacific. continu-
ing as such, may buy any of the South
trn Pacific stock so sold; that the
transaction should begin November l.
1918. and Il not complete by January
/. 1916. the court should direct the
disposition OF any Southern Pacific
stock remaining unsoid.
LATER OBJECTIONS OyERRULED
BY the decision, the court disregard
ed the desire of the attorney general
that final decision be withheld for the
interposing OF objections by interested
parties. to which portion of the attor
ney generals plan Mr.. Loomis made
objection at the hearing as unfair &c
the road The attorney general also
had asked that there be publication OF
the plan as in the American Tobacco
company case, calling the attention OF
interested parties that objection might
be made; but this also was overruled.
I'VE deem a decree of dissolution
more necessary now than any other
action" said Judge Sanborn, after an
nouncing the decree.
The government. however. expressly
stipulates that, should any Illegal con-
ditions arise from the exchange OF
stock. either under existing or future
legislation OF future interpretation by
the courts of present statutes. the gov
ernment would have the right freely
to assail' the arrang ement.
DISSOLUTION BY IAN. 4. 1915
In presenting the plan to the court
Mr. Loonlis said:
This is the third and amended plan
for dissolution and is offered as = sub
stitute for previous plans. 1t diners
from the others in the provision for the
sale Of xssaooQAsoO worth Of asss'
~