The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1913-07-05
HARTMAN TRUST DISSOLVED,
UNITED STATES COURT AP-
PROVES PLAN OF PACIFIC
RAILROAD DISSOLU.
TION.
Puts End to Fight for Breaking up
of Hartman Merger-McReynoItls
Plea for Further Delay Rejected by
Court at Request of Railway At
tOrneys.

st. Paul, June 30.-Federal Judges
Walter III. Sanborn, William c. HOOK
and Walter /. Smith, sitting as the
district court of the United States for
the district Of Utah, approved late to-
day plans agreed upon by the attor-
ney general and attorneys for tho
Union Pacific railroad, and the Union
Paciiic-Southern Pacific merger
known as the Hartman combine,
practically came To an end. The de-
cree signed today will become effective
with it's filing in the federal courts at
Salt Lake City. which probably viii
take place next Wednesday or Thurs
day. With the handing down of tie
final decree years of litigation came
to an end. the first suit of the gov
ernment to dissolve the merger hay
ing been filed at Salt Lake City in
1908.
The decision today came as sur
prise. There was a brief hearing this
morning, at which the government
was represented by G. Carroll Todd,
special assistant to the attorney gem
eral. and the road by y. III. LOOMS
and Ii. w. Clarke. The court then
took the case under advisement. A
number of times the judges called in
attorneys for both sides to question
them further, but there was no hint
that decree would be given today.
Shortly before o'clock Judge
Sanborn, presiding. announced that
the court had decided to enter a final
decree approving the plan with only
one important exception. This excep-
ton was the naming of Louis G.
krauthoff OF New York as commits
sioner of the court to see to it that the
letter and spirit of the plan be car
ried out The court also directed him
to report to it from time to time.
In brief the plan, which has the ap-
proval of President Wilson, provides
that the Union Pacific shall exchange
S3S,OOO,OOO Of its $126, ,00O,0 900 hold
ings i'm the Southern Pacific for the
Pennsylvania railroads entire hold
ings in the Baltimore q Ohio, virtual
ly an equal amount; that the remain
ing SSS,000,000 shall be sold to the
general public through the Central
Trust company of New York; that no
present stockholders in the Union Pa
cihc, continuing as such, may buy
any OF the Southern Pacific stock so
sold; that the transaction should be-
gin November /, 1913, and if not com
plete by January l, 1916, the court
should direct the disposition of any
Southern Pacific stock remaining un-
sold.
By the decision today the court dis
regarded the desire Of the attorney
general that final decision be with
held for the interposing of objections
by Interested parties, to which portion
OF the attorney generals plan Mr..
LOOMS made objection at the hearing
today as unfair To the railroad. The
attorney general also had asked in
this connection that there he publ
cation Of the plan as i'm the American
Tobacco company case, calling the at
tention of interested parties that OBJ
lection might be made, but this also
was overruled by the handing down OF
the decree by the court.
I'VE deem n decree Of dissolution
more necessary at the present time
than any other action" said Judge
Sanborn after announcing the decree.
The government, however, i'm the
plan presented today ana approved
by the court, expressly stipulated that
should any illegal conditions arise
from the exchange of stock, either IN
der existing or future legislation or
future Interpretation by the courts OF
present statues, the government would
nave the right freely to assair the
arrangement.
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