Evening star., 1939-08-23
New York Acts 10 Put
IS Elevator Makers
Out Of Business
Anti-MonopoIy Charges
Seek Dissolution
Of Corporations

BY the Associated Press.
NEW YORK, Aug. 23.-State At
torney General John J. Bennett, jr.,
acting under the New York anti
monopoly law, today moved to put
out of business in this State 10 lead
ing elevator manufacturing COM
panies and the trade association to
which they belong.
Among defendants named in
papers filed in State Supreme Court
were Otis Elevator Co. (of New Jer-
sey), Westinghouse Electric Elevator
Co. (of Illinois) and the National
Elevator Manufacturing Industry,
Inc. All three corporations have
New York City offices.
Supreme Court Justice Thomas F.
Noonan signed an order permitting
Mr.. Bennett, through his assistant,
Benjamin Heffner, in charge of the
Bureau of Monopolies, to bring an
action seeking corporate dissolution
of New York State defendants and
revocation of certificates of au-
thority to do business in New York
of out-of- State defendants.
Mr.. Bennett, also citing % officers
of the defendant companies, charged
them with restraining trade, fixing
prices and allegedly illegally using
patents, and asked an injunction re-
straining all the defendants from
continuing the alleged illegal acts
complained of.
Business ALLEGATIONS Alleged.
The complaint alleged a CON
spiracy" in which the defendants
and their officers formed the as
sociation in 1885, charted member
firms business from 1923 to 1888,
and thereafter agreed to allocate
only pro-rata share of subsequent
business.
In the event any member failed to
live up to the agreement, it was
charged, members would threaten, or
subject the member to patent in
fringement suits, based on patents
allegedly owned or controlled by de-
PENDANTS, Otis Elevator Co. and
Westinghouse Electric Elevator Co.
In furtherance of the alleged con-
spiracy it was agreed, according to
the complaint, to circulate among
tho horS tr,l,ito cl, nj,
purported to indicate the prices set
by the Otis Elevator Co., at which
it would sell the various types and
sizes of passenger and freight eleva-
tors designated therein.
When member offered prices be-
low this scale, it was alleged, other
members and officials of the associa-
ton would by agreement intimidate
the member to raise the price to the
Otis levels.
The complaint charged that, &C
cordingly, the defendants have "un-
reasonably restrained and pre-
vented competition" in their field.
The defendants were alleged to de-
sign, manufacture, sell and serv-
ice 95 per cent of all passenger and
freight elevators sold in this area.
Otis Elevator Co. is New Jersey
corporation and has Offices here.
Westinghouse Electric Elevator is
an Illinois corporation, also with
Offices here
List of Other Defendants.
Other defendants, the States in
which they are Incorporated, and
the cities in which main Offices are
located, together with the officers
named as defendants, follow:
John McArdle, commissioner and
executive secretary of the national
organization; Jesse H. Van Alstyne,
president, and Glover Beardsley,
vice president, Otis Elevator; Frank
Z. Reed. president, and Alva B. See,
vice president, Westinghouse Elec-
trio Elevator; the Haughton Ele-
vator Co. ohio, Toledo, Ohio.
George L. McKesson, president; the
Warner Elevator Manufacturing Co.,
Inc. New York;, Cincinnati, Ohio.
e. H. M. Watkins, president; At
lantic Elevator Co. PENNSYLVANIA
Philadelphia, Pa, B. F. Mecnling
president; H. A. Pratt, vice presi-
dent; the Shepard Elevator Co.
COhlo), Cincinnati, Ohio, O. F.
Shepard, president; the Eastern
Machinery Co., New Haven, Conn.
Paul B. Farnsworth. president; Acie
Elevator Co., Inc. New York;, New
York, Julian N. Schiff. president.
BurWak Elevator Co. New York;
New York, H J. Burlington, presi-
cent; Chelsea Elevator Co. New
YORK;, New York, r. M. Sypher
president; The Cohoes Iron Foundry
and Machine Co., Inc. New York;
n. +. Johnston, president; Atlas Ele-
vator Co., Newark, N. j., Frank J.
Meunch, president; Elevator Sup-
plies Co. New Jersey, New York
FRANK johnson, president; Standard
EleVator Co. Gllinois), Rutherford
N: j., M. 7. Southwick, president.
Murtaugh Elevator Co. New York;
sea Cliff. N. Y, Howard A. North
president; Seaberg Elevator Co., Inc
new York;, Brooklyn, N. Y, Gus
tav Seaberg, president; Warsaw Ele-
vator Co. New York;, Warsaw, N
T. w. j. Taylor, president: Watson
Elevator Co. New York;, New York
Z. .. Anderson, president.