South Bend news-times. (South Bend, Ind.) 1913-1938, 1914-07-23
Government Files Bill in Equity
Against Railroad AS Mo-
nopOIy Charging Violations
of the Sherman Law.
POINTS OUT DEVICES
USED TO EVADE ACT
History of Various Transactions
by Which Transportation
Control Wa S Obtained and
DenounCeS Measures.

NEW YORK, July 23.-The L. 5.
government today began its active
prosecution of ;he New York, New
Haven and Hartford railroad when
the department of justice filed bill
in equity against the New Haven road
as a monopoly in the United States
district court here at noon today. The
bill charged that the New Haven mas
violated the Sherman act in various
WayS by restraining trade and COM
merce in the New England states and
has acquired monOpOlies of railroads
aud water transportation and trolley
transportation in Connecticut, Rhode
Island, Massachusetts and New york.
The bill asks for a dissolution OF the
alleged monopoly. 1t emphasizes the
density of population in the territory
involved, which, it is claimed, makes
the violation of the Sherman act the
more reprehensible.
Reviews History of Road.
After reviewing the entire history
of the New Haven road, the blll
charges that "in some cases the physl-
cal properties of competing companies
has been purchased or leased; in 9TH
ers all or a part of the stock has been
purchased or contracts made insurlng
New Haven control; by unfair compe-
tition and illegal practices some com
petitOrs have been impoverished ana
their ACQUISITION rendered easy ana
in some cases revelations have been
forced out of business and in some IN
stances purchased and suppressed.
The bill further charges that IN
bringing about these results "compll-
Gated and elusive methods have been
resorted to in order to conceal the
real character of the transaction and
destroy the identity of the line ac-
ouired. and to render their assets and
physical properties indistinguishable.
The department of justice further
alleges that this was done in an at
tempt to so entrench the New Haven
company in its monopolies as to make
il impracticable for the government
TO apply specific remedies or to re-
store original conditions.
Points Out Devices Used.
The government particularly points
out the various devices employed by
the New Haven in its attempt to seq
regate within each state the portion
of these lines lying within the state
so as to give such portion the appear
ance of being engaged exclusively in
intra-state business.
1t likewise charges the monopoly
by the New Haven OF power COM
panies furnishing power to the various
trolley lines within the state of Con-
necticut The bill concludes with a
prayer to the court to adjudge the
acts charged to be in violation of the
Sherman act and to enjoin the New
Haven and its representatives from
further carrying out or maintaining
these acts Among the specific RENE
dies asked is that the New Haven be
compelled to sell to persons not it's
stockholders or agents or otherwise
under its control and influence, all its
interests in steamboat and trolley
lines. in the Boston and Maine rail
road. in the Rutland Railroad COM
pany. in the New England Railroad
company, and in all the wharVes and
water terminals acquired by it, and
that il be enjOined from thereafter
holding such interests, and that the
partnership contract between the New
York Central and the New Haven for
the operation of the Boston and AL
bany railroad be cancelled. There is
also a prayer for general relief.