Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1914-07-22

again to remind you of some aspects
i of the general situation.
Prior to 1908 the attention of the
department of justice was called to the
unlawful combinations and monopo-
lies III which the New Haven Railroad
was the principal party and in May
OF that year a proceeding under the
sherman law was instituted wherein
the government sought to correct GER
tain OF the existing evils. This suit
was dismissed June 26, 1909. Thereafter
the monopoly proceeded to strengthen
its hold upon the carriers of New Eng
land.
by the time your administration be-
san, the New Haven and the Boston &
Name Railroad had been reduced to
the unfortunate condition now unhap-
| piiy too we'll known, their securities
WIDELY distributed among small inves-
Tors mad shrunken enormously in val
ue and the commerce and industries of
all New England were under severe
strain.
Directly after assuming this office,
pelhg convinced that the situation de-
/ manded thorough investigation by
capable counsel, l retained T. w.
Gregory, well known to you and whose
ability, industry and integrity are un-
Improbable. In due time, he report
ed the result of his researches and I
instructed him to prepare for filing at
the earliest possible moment a pro-
ceeding in equity to prevent further
violation of the law. Before this could
be accomplished, the railroad COM
pany selected a new chief officer, and
he earnestly asked to enter upon ne
gotiations with me looking towards an
adjustment without the necessity of
suit. You have been familiar with the
outcome and, as the terms of the plan
agreed on were published, they became
generally known.
Because of the important conse-
quences involved directly to New Eng
land and Immediately to the rest of
the Union, it seemed most important,
first, TO accomplish, If possible, q res
toration of lawful conditions in the
transportation facilities of that section
with the least possible further dis
tress to impoverished investors and
unsettled Industries. and [ have acted
accordingly.
have been kept constantly in mind
much data bearing thereon was col
lected months ago; and care has been
exercised to permit nothing which
might interfere with Nproper prosecu-
tons at the appropriate time. We have
not held out the slightest hope that
parties guilty Of criminal violations of
the law would escape.
In April and May last, there being
indication that the Interstate Com
merce Commission by examining them
might immunize certain central fig
ures in the unlawful arrangement it
was asked carefully to consider the
effect of such action.
Nevertheless, Mellen and perhaps
others flagrantly culpable were put on
the stand and any criminal prosecu-
ton hereafter instituted probably will
+ be embarrassed by a claim of immu-
nifty interposed in their behalf.
With the utmost patience and an
intense desire to enforce the law in
such way as to bring no unnecessary
hardships upon New England or the
unfortunate holders of the railroad Sc
curities, we have sought TO compel a
restoration of lawful conditions; but
as l believe without proper justifica-
ton. the board of directors resolutely
decline to proceed under an approved
arrangement adequate to that end and
altogether fair.
81 am of the opinion, therefore. that
the time is at hand when we should
file proceeding in equity. seeking the
dissolution of the unlawful monopoly
of transportation facilities in New
England and that the criminal aspects
of the case should be laid before a
grand jury.
IF these suggestions meet with your
approval, l will Immediately give the
necessary directions.
Faithfully yours.
(Signed) -. c. MacREYNOLDS,
Attorney General"