Norwich bulletin., 1914-07-21

Washington, July 20.-Civil suit to separate the New York. New Haven and Hartford Railroad company from it's subsidiary rail, trolley and steam ship lines y-fll be brought by Attorney General McReynoids in the United States district court at New l DIX within the next few days
 A final effort today to settle the problem without litigation ended m failure although the attorney general, T. w. Gregory. special assistant n charge of the case. and a committee or New Haven directors were in confer- ence many hours. The committee came to discuss the sale of the Boston and ; Maine stock owned by the New Haven. 1, It is desired this sale to be made free of conditions imposed by the state Ot , Massachusetts and is said to have declared that an unconditional sale or ! the Boston and Maine stock would In- ] sure approximately Sie.00O,000 above ! what the New Haven might otherwise hope to get.
 | Case Will Be Laid Before Cabinet. The New Haven case will be laid before President Wilson and the cabl- net tomorrow ard detailed eXplana- l tion of the course pursued by the 1e- partment in its long negotiations with the railroad to untangle it out of court probably will follow. It is not doubted that the departments course will be i approved. There is little doubt here that on the heels of the suit will come an effort to have 9 federal grand jury in New York return indictments against many directors of the New
 Haven who served in the dsys when it was building up q system which,
 the attolney general holds. is com
 bination in restraint of trade. Bo-h
 the civil and criminal actions will oe
 taken under the sherman law, and the
 whole case is regarded by the depart
 ment as the most important under taken ia this administration
 May Determine Value Of Sherman Law
 Never before has any administration
 planned to prosecute criminally men of ! such prominence in the financial and
 business world, and the outcome 0f
 these proceedings may determine the
 Salue of the Sherman law as d crim-
 mai statute.
 , To the civil suit the New Haven is
 not expected to make any strong re- ssitance, except possibly to attempt to
 prevent the state of Massachusetts
 from intervening to preserve certain
 rights which it holds with respect tc ] the Boston ard Maine. Charge Will Be Monopoly.
 In the governments bill the New Haven will be charged with being 6 p monopoly in control of New EEgland's | transportation, with beirg d combina- tton in restraint Of trade. and of viold-
 tiOn of the sherman law. The de- z partment is expected 60 ask for more than it hoped-to get through it's agree : ment for the peaceful dissolution of the
 system made with Chairman Elliott
 and New Haven attorncys last March . n was sad ton gEl tEr.e will be al .edst two -carrT,s; n the ai,l not n. . Ciuded in the agTecIltE.t. D = will bt
 a request that the court separate tn, Sew Haven from the old New England |, railway, acquired many years ago ' which runs from Boston through Wifi P mantle. Hartford and Danbury. Conn. to point on the New York Centra
 about 90 miles from New York Tt [, court also w.ll be asked to divorce tn, = New Haven from its so-called sount O steamship lines which ply Long ISlant
 sound and run from New York to mos
 Of the ports along the lower Nev . England coast In the agreement tn = question of the retention On these line d was left to the interstate commerc
 commission.
 Features of the Agreement e Features of the agreement whicli\t IL bill are expected to follow are:
 - That the New Haven be required {: divest itself of control of the Bosto
 and Maine railroad: that it give up it e holdings in the Connecticut Rhod it Island and Berkshire trolley lines. an ,t its minority interest in the Easter n Steamship corporation. A request wi
 probably be made that until this mi
 nority interest is sold the New Have 't be restrained from exercising an IS voting power on this Eastern Stea n IS ship stock
 provided for the sale of the New He Nens stock of the Merchants al. :, AIiners Transportation company. bt n the recent sale to a Baltimore tru. le company remoTes this demand froi )f the governments b:u There win !
 customary Tr quiring the New Haven to iissoI, 70 ana Tor mandate to prevent 4 futlil T, combinations of similar cha rscter. :. ~ HadIey One of Committee.
 President Hustis. \ r HadIey
 De Witt Cuyle- and Mooraeld Store s- counsel for the road. were the con v mittee that mad. the final s4f,,,.- , es settle the case without I.tigation Tia ss spent several hours at the deOa IT rYl.sn
 but their suggestions were not a,cenl
 Cd and In statement issued at ii nt close of the day President Hust "a plainiy indicated that filing of the go, n, ernment suit was expected.
 '- Boston C Maine StunnbIina Block.
 The stumbling block in the neeo,,, a, irons has been the disposition of tl ,s Boston and Maine stock controlIed , aft the New Haven It was agreed i m both parties months ago that 1t sho,I
 be soid Massachusetts. always po
 sessed or the right to buy 1t, recent ,h enacted legislation permitting ifs sal to put On the condition that on leach shsl it sold this right be plainly set fort r. The New Haven directors baked
 this legislation Tn their conferen,
 today they declared themselves wiilf, k, To live up to every other article of rl E. March agreement. but said they we nd unable to accept This condition. Tn, h. suggested that the departu1ent tal en the matter into court and ask for
 decree. to which they would zss~u