The Twin Falls times. [volume] (Twin Falls, Idaho) 1905-1916, 1914-02-13
SOUTHERN PACIFIC
ROADS IN COURT
Government Not Satisfied With
Dissolution
CENTRAL PACIFIC MUST BE DI.
VORCED FROM s. p.
Suit Filed in Federal Court Which
Will Affect Two Transcontinental
Lines.

Salt Lake City, Feb 11.-Alleging
that Southern Pacific control and OPP
Grafton of the Central Pacific consti-
tutes a violation of the Sherman anti
trust act and of the railroad laws un-
der which the roads were founded, At
torney General McReynolds, through
District Attorney W. w. Ray, filed suit
in the United States district court
Wednesday, asking for a complete dis
solution of the relations alleged to be
existing between the two lines. The
government also seeks to enjoin the
Southern Pacific company from voting
Central Pacific stock or deriving any
profit from that line pending DISPOSE
ton of the suit, and asks that the
Central Pacific be enjoined from rec
ognizing the Southern Pacific control.
The suit is entitled UNITED States
of America, petitioner, VS.. Southern
Pacific company Central Pacific Rail
way company, Union Trust company
of New York, William Sproute, Julius
Kruttschnitt, Robert Geolet, Cornelius
H. Bliss, Walter p Bliss, Henry W.
DeForest, J. Horace Harding, Charles
w. Hardness, Henry q. Huntington,
James N. Jarvie, Leonoe F. Loree,
Lewis J. Spence, Erie P. Swenson,
James N. Wallace and Ogden Mills, de-
PENDANTS"
The petition sets out that the South
ern Pacific company owns and Oper-
-ates the Sunset route" joint rail-
and-water service between New York
city and Pacific coast points in Cali
fornia and Oregon, consisting of it's
atlantic steampship lines" from New
York to New Orleans and Galveston
and its railroad lines, those from gulf
!, ports to the Pacific coast, and that
the Central Pacific, with its connec-
tions, is a natural competitor of this
route 1t is further set out, on infor
nation and belief, that if the Central
Pacific were free to act in its own in
terest, it would build it's own line from
Natron, Ore, to Portland, thus provid-
ing two competitive railroads between
San Francisco and Portland in place
of the present single railroad
The government takes the position
that the Pacific railroad laws, which
chartered the Union Pacific and Cen
tral Pacific, intended that the road, al
though built by different companies,
should be run as one connected, con-
tinuous through line, and required
that the roads so constructed should
afford and secure to each equal ad
vantages and facilities as to rates, time
and transportation, without any dis
elimination of any kind in favor Of the
road or business of any or either OF
the others, and that the act of June 30,
1874, made it an offense for any Of
ficer or agent Of the roads to fail or
refuse so to use and operate them.
Southern Pacific control of the Cen
trail Pacific and "The Sunset Route"
it Is elleged, has ben exercised in vio-
1ation of the laws cited.
1t is alleged that William Sproule,
las president, and julius Kruttschnitt,
chairman of the executive committee
of the Southern Pacific company, and
the other persons named, all of whom
are directors of the company, are re-
sponsible for the continuation or the
alleged monopoly and violations of
law
Supporting its allegation that the
ownership by the Southern Pacific
company of Central Pacific stock, its
leases and its domination, manage
ment and control Of that company,
constitutes a combination in violation
of the anti-monopoly act, the govern
ment says:
by an instrument dated FeDruary
IT, 1885, all railroad, equipment andN
other properties owned by the Central
Pacific Railroad company, predeces-
sor of the Central Pacific Railway
company, were leased to the Southern
Pacific company for term of 80 years,
and all leases Of the Southern Pacific
Railroad company's properties held by
said Central Pacific Railroad COM
many wprp hV tho canno in at r11von
transferred to said Southern Pacific
company Under that and subsequent
leases and amendments the Southern
Pacific company has ever since con-
trolled and operated said properties
and the additions thereto"
FORMAL OPENING OF