The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1914-08-12
United states Circuit Judges Declare
il a Trust In Restraint
Of Trade
Today.
ORDERED TO DISSOLVE
Company VIII Appeal to the Supreme
Court at Once According to the
Statement by
Mccormick.

limited Press Leased Wire Service.
ST. PAUL, Mimi, Aug. 12.-The In.
ternational Harvester Co. was de-
clared a trust in restraint OF trade
and ordered to dissolve into at least
three different parts within ninety
days by a majority Of three Judges OF
the United States circuit court who
rendered their decision today. Judge
Walter H. Sanborn Of St. Paul dis
scented.
The opinion was prepared by Judge
Walter T. Smith, Of Council Bluffs.
Iowa, and concurred in by Judge VIII
liam C. Hook, of Leavenworth. Kans.
In his dissenting opinion, Judge San
born maintained that the company
had not been managed in any unrea-
sonable restraint of trade, for the
seven years before the suit was filed
April 30, 1912.
The majority opinion was that the
company which was formed from five
concerns was from the organization
in 1903, in restraint Of trade. The
court held however, that while the In
ternational controlled from so to So
per cent of the trade in agricultural
implements, it's treatment of smaller
competitors in general has been fair
and just
In directing the dissolution Of the
Harvester trust the court took the ad-
I vanced ground in directing not only
that the corporation should he dissolv.
ed and its properties divided among
at least three different corporations,
but that the three corporations so
formed should be about equal size
and without single common stock
holder. In no previous antitrust de.
cision, it is said, has the court gone
SO far. In the Northern Securities
case the supreme court merely di
rected a division Of the stock.
In the Union Pacifc-Southern Pa
cific merger decision, the court order
ed the Southern Pacific stock, amount
ing to forty-six percent Of the whole
to be sold among outsiders as some OF
the individual Union Pacific stock
holders already had acquired some
Southern Pacific stock.
The court, however, ruled today
that II an appeal is taken to the Unit
ed States supreme court, the order to
dissolve within ninety days does not
apply.
The decision today was based upon
volumes OF evidence taken at hear.
E1ngs conducted by the government In
lseveral cities and containing 1900
printed pages. George W. Perkins OF
New York and Thos. D. Jones of Chi
lcago, whose nomination to the fed
eral reserve board was withdrawn by
President Wilson were among the IN.
sGivitnal defendants named.
viii Appeal.
CHICAGO, Aug. 1.-THE Interna-
tional Harvester Co. Will appeal at
once to the United States supreme
coure from the decree Of dissolution
handed down at st. Paul today, ac-
cording to Cyrus H Mccormick, pres
tdent of the company.
THE courts opinion acquits the
company Of charges Of over-capitaliza-
ton and unfair and oppressive prac-
tees, and finds nothing to be con-
demned in the company's manner Of
doing business" said Mccormick.
THE organization OF the company,
however, is condemned as a violation
of the Sherman act The conclusion
arrived at seems to be that the Har-
vester is good, but Illegal trust"