| Show U U. U PI PlAN OPPOSED BY GOUlD LINE W Western estern Pacific Counsel Permitted Permitted Per Per- Permitted as Friend to Make Argument on Dissolution Scheme Before U. U S. S Court T THREE CIRCUIT JUDGES SITTING I IN J THE CASE A Attorney Cutcheon Declares S. S P. P Stock Should Be Sold to General Public and Beni Benicia ia Cutoff Be Used by All Roads LEASE TURNED DOWN San Feb Jeb Fel 24 The 24 The state railroad c commission denied late tonight the application of the Un Union Pacific railroad for fOl a 3 year lease of or the he ho Southern Pacific c line linc e east cast st from Oakland Oaklan Cal Calf via icia The TIle lease was as part parr of or the dissolution disso disso- lution oC of the road as liS outlined b by railroad officials to At Lit Lit- torney General It was opposed b by off officials ri Js of the estel Pacific railroad as us being in restraint re re- of tra trade c. c The Thc commission held that if the Southern Pacific granted the Cen Cen- Pacific a subsidiary of or the Union Pacific right to use the thc Benicia Short Line Lime it il should accor ac accord accord ac ac- cor cord to all aU of the competing carriers carriers car ear like privilege ilc e on similar terms This Thi bears ou out tile the contention of the Western Pacific which demanded eman ed equal rights with the Central 1 la tb th hear hearing just on lu Jl t. The commission on ni 5 Oll further held heM that if the thc Southern Pacific granted to the Central I al Pac Pacific fic joint use of its term terminal facilities s and industry tracks it should grant the same pr privileges privilege's He ws to an any other competing line on similar terms These recommendations together with vilh half a dozen others were contained in a telegram sent ent tonight to Attorney General Wickersham at nt St. St Louis Louis where the hind final legal steps in ill the unmerging ging rg ug began to today ay ST. ST OT LOU LOUIS IS Feb 24 TIne The The stock distribution dis dis- plan plain for fOl tine the dissolution of the tine Union Southern Pacific merger which had been agreed upon by br counsel coun coun- sd sel for fOI the time Harriman lures lines and Attorney Attorney At At- At- At tome torney General Jeneral Wickersham was criticised crit erit- here today in ill arguments before the Line federal judges who wino must pass on the scheme before it c ca can n become ef er- ef- ef The dissolution plan was placed to fu today today to- to day ay before the tIle United States court forth for forthe forthe th the district of Utah which for for thi this particular purpose was composed of cir circuit uit ju judges g The Chic judges who JIO heard the arguments and who now hold the outcome of the famous merger suit stilt in their hands were ere Walter H. H Sanborn of St. St Paul nul William C. C Hook Houk of or Lea l Kan aJ and Walter Valter 1 I Smith of Council Bluffs la Ta I Tho rino plan ar argued e toda today was agreed I on ou b by the attorney g general and the representatives of or the Harriman lines f as calr carrying ln out the dissolution decree of ul the tIne te federal eral supreme court The supreme supreme su su- I preme court after sustaining the de- de CJ eo of dissolution entered in the lower referred th the case caso bacic bUCI to the court of or original Jurisdiction jum for en enforcement eo- eo 0 recur en I Given Gl The objection to the tIme stock distribution distribution tion plan plain was entered In the tho ar arguments late tO today by jy F F. W. W M. M I. I Cut Cutcheon counsel counsel coun coun- ad sel for Cor the Western estern rn Pacific n j ay company As 8 the Western estern Pacific wa was a not a party to the tIne rl o-rl original ln 11 suit its at attorney at- at tonIC torney was allowed to app appear nr tod toda today y yonly only as a friend In Jn this capacity ho Inc was introduced b by Attorney G General Gen n- n eral Wickersham who explained tho the dissolution plan to the judges but made no extended argument ar as ag to its merits 1 r I t i. i The fhe stock distribution plan plain to which exception was taken by UY Attorney Cutcheon Cutch Cutch- eon contemplated that tho the Southern Pacific holdings s of ot the tho Union P should he be offered feted to the tho shareholders in Individually l of or the tine two companies This disposition of 0 the stock Mod said Attorney Hurne Cutcheon is entirely un mu- nce necessary TIne Tho stock block just a a a- ca easily nY could be placed In the hands of or a syndicate syn sn- and sold to the public Why 11 was this apportionment of or the tIne South South- Pacific shares proposed For th the of or retaining for tor the Union Pa Pacific Pa Pa- chic some of its present advantages Ur Urges rs Open Sale of ur Stock Stuck Mr rJ Cutcheon again urged that tle dl dissolution plan plait be so iso that the tIne Southern Pacific shares of ot the ther r Union Pacific be p placed ac d on the tho market and find sold to an any who would bu buy The Tho clau clause in time tho dissolution 1 plan 1 11 for fot the exclusive use of ur tim li h. U cutoff the short shun lino between Oakland and Sacramento b by the South South- ermi J Pacific and the Union Pacific abo siso I o visa vas denounced d b by 31 Maxwell l Evarts Yarb counsel for Jr th thus S Continued on Pac 9 J ti Column G. G CJ J U. U P. P PLAN BY GOULD INTERESTS Continued From Page I 1 Southern Pacific in itt discussing this phase of ot the plan said Tho Southern Pacific is I willing to grant to the Western Pacific whatever rights it now has over o the Benicta cutoff These rights the Southern Pacific Pacific Pa Pa- Pa- Pa is willing to perpetuate This offer oter did not satisfy the attorney attorney ator- ator n ney for tor the Western estern Pacific who in the closing closing- cosing argument of ot the day con cots the plan for the exclusive use of ot the cutoff by the Union Pacific and Southern Pacific lines as tendering opportunities for an cV evasion slon of at the antitrust law as completely as could bo be devised This plan he ho continued was de devised devised devised de- de for tor the purpose of assuring the exclusive use uso b by those roads of ot this cutoff If I competition between tho the Union Pacific and the Southern Pacific Is 13 a good thing thinS t h why not competition between four roads Monopoly Alleged Mr Cutcheon suggested that the Western estern Pacific and the Santa Santa Fe Fc be given the right to use the cutoff and the Oakland terminals Other h he urged the dissolution plan would perpetuate per per- the tite monopoly Under Unter the tise dissolution plan the the cutOff cutoff cutoff cut cut- off which now noW Is the property of ot the Central Pacific is to go o into the hands of ot the Union P Pacific by the transfer of or tho the Central Pacific to the Union Pacific Pacific Pa Pa- and the present contract b by which th th Central Pacific gives the Southern Souther Pacific the right to use the cutoff Is Isto t t. t to be bo perpetuated The plan for tor the exclusive use of the cutoff b by the tho two Harriman lines ap apparently apparently ap- ap greatly interested the tue court for tor Judge Hook asked asket John G. G Milburn Uburn attorney for the Union Pacific if the control of or the Central Pacific b by the Union Pacific would not perpetuate perpetua e the tha present monopoly Mr Ir Milburn replied in the ne negative athe stating that any railroad might go o be before before be- be fore tore the Interstate commerce commission commission commission commis commis- sion or the California railroad commission commission com corn mission and ask ak for tor rights over o er the cutoff After ACer interrogating the attorneys about this feature of ot the tho plan Judge Hook said I do not want this d decree cree to become be be- co come a Judicial est tra travesty Attorney General m In explaining ex cx- ex- ex the plan to the Judges said he lie did not think there ther was an any laner langer danger lan dan ger er of monopoly because there thero was no nl dominant personality like Harriman Inthe in inthe inthe the roads roade to bring bring It about Besides hb said the Sherman antitrust law Is la equal to an any emergency |
