Evening star., 1938-12-20

"a. Beginning in January, 1887, or
shortly thereafter, and continuing
to the date of the presentation of
this indictment, the defendants, and
certain members of defendant the
Medical Society of the District of
Columbia not made defendants, and
the Washington hospitals, and other
persons to the grand jurors un-
known, well knowing the foregoing
facts, have combined and consp;S14
togther for the purpose Of restraN-
ing trade in the District of Colum-
bia, that is to say:
Cd For the purpose of restraining
Group Health Association, Inc, in
its business of arranging for the
provision of medical care and hos
pitaliZation to it's members and their
dependents on risk-sharing pre-
payment basis;
CD For the purpose Of restraining
the members of Group Health Asso-
citation, Inc, in obtaining, by CO.
operative efforts. adequate medical
care for themselves and their de-
pendents from doctors engaged in
group medical practice on risk
sharing prepayment basis;
Cd For the purpose of restraining
the doctors serving on the medical
staff of said Group Health AsSocia-
ton, Inc, in the pursuit of their
callingS;
(4 For the purpose of restraining
doctors not on the medical staff of
Group Health Association, IncD
practicing in the District of Column
bia, including the doctors so prac-
ticing who are made defendants
herein, in the pursuit of their call
lngs:
go For the purpose of restraining
the Washington hospitals in the
business of operating such hospitals.
In so doing. defendants have then
and there engaged in an unlawful
combination and conspiracy in re-
straint of trade in and of the Dis
trict of Columbia in violation of sec
ton 3 of the act of Congress on
July 2, 1890. known as the Sherman
ANTITRUST Act.
35. Throughout the period covered
by this indictment Group Health
Association, Inc, and its medical
staff were discussed at frequent
meetings of defendant the Medical
Society of the District of Columbia
and OF committees of said defendant
society and at other meetings and
conferences. At such meetings and
conferences the combination and
conspiracy hereinabove described
was proposed. discussed and formed,
in part, and carried on in part.
Plans, understandings and agree
ments to accomplish the unlawful
purposes hereinabove described were
proposed, discussed and adopted at
such meetings. Many of such plans,
understandings and agreements
were set forth in formal resolutions
adopted by defendant. the Medical
Society of the District of Columbia,
and by the committees thereof.
Among such resolutions was the fol-
lowing resolution adopted at meet
ing of defendant. the Medical Socie-
ty of the District of Columbia, held
in Washington in the District of
Columbia on November 3, 1887:
Whereas, the Medical Society of
the District of Columbia has an
apparent means of hindering the
successful operation of Group
Health Association, Inc, if it can
prevent patients of physicians in
its employ being received in the
local private hospitals; and
Whereas. the Medical Society of
the District of Columbia has no
direct control over the policies of
such hospitals as determined by
their lay boards of directors, ex-
cept through it's control of its own
members serving on their medical
staf1s; and
Whereas, conflicts between the
| Medical Society of the District of
Columbia and any local hospitals
arising from an attempt to en-
force the provision of Chapter TX,
Article Nv, Section S, of it's con-
stitution should be assiduously
avoided, if possible, because of the
unfavorable publicity that would
accrue to it's own members; there
fore, be it
Resolved, That the Hospital
Committee be, and is hereby
directed to give careful study and
consideration to all phases of this
subject and report back to the
society, at the earliest practicable
date, its recommendation as to
the best way of bringing this
question to the attention of the
medical boards and boards of di-
rectors Of the various local hos
pitfalls in such manner as to in
sure the maximum amount of
practical accomplishment with
the minimum amount of friction
and conflict.
Carried to Later Meetings.
Following adoption of the said
resolution OF November 3, 1887, the
combination and conspiracy here
inabove described was further dis
cussed and carried on at later meet
ings Of defendant the Medical So
ciety of the District of Columbia
and Of committees Of said defend
ant society, and at other meetings
and conferences. Said meetings
were held. said resolutions were
adopted, and said plans, under
standings, and agreements were pro-
posed, discussed, and adopted, with
the knowledge, approval and assist
ance Of defendant American Med
ical Association and of the indi-
vidual defendants who are employed
by defendant American Medical AS
sociation.
36. The combination and con-
spiracy hereinabove described and
the intended restraints which have
resulted >therefrom have been ef-
fectuated in the following manner
and by the following means, among
others, to wit:
(a) Defendants have combined