Show f i SUIT TO BE FILED AGAINST HARRIMAN 1 V Attorney General Seeks to Dis Dis Disi Dissolve 1 i solve Gigantic Railroad Combination fu SHERMAN LAW VIOLA VIOLATED E s y 1 Department of Justice Makes Prominent Capitalists in Suit 4 Washington Jan 25 The The attorney general has directed that a n. bill in lii inequity L. L equity be bo filed to set aside tho the control by the tho Union Pacific and Its subsidiary J corporations of or the Southern Pacific Ai i. and San Pedro Los Angeles Angel s Salt Lake Inko railroad and also to have declared de c. c dared illegal the ownership by b Union Pacific or the Ore Oregon on Short Line of stock In the Santa Fe Great Northern and Northern Pacific all said f A lines being competitors of or the lie Union Pacific The Tho Interstate Commerce commission some time a ago o conducted conduct conduct- F. F ed cd an on extended extend Investigation Into the thet t relations existing between the various roads engaged In transcontinental i. i traffic The Tho conclusion of the commission commis commis- sion alon after such Investigations were summed up In a report which h with t the testimony was submitted to the department of ot justice t t From Prom the evidence so adduced and I from Independent Investigation the tic de- ei e- e i Pf ha has hail arrived at the concu- concu conclusion alan sion on that the stock holdings or orthe Union Pacific and Its iti subsidiary com company b pan pany or other corporations m I above Is In direct violation of or the thc Sherman Sher Slier f man trust anti rid net It app appears nn by bv In the pos pod los los- r. r fI lon of or the th department n nt that a combination com com- was wan formed about aboul the tho beginning begin ning of ot the year par ear 1 01 b by E. E H. H Harrl- Harrl man of ot Ne New Nw York president and chairman chair chair- nan man of or the ex executive o uth committee of or the board of ot director of or tho thiron Pa- Pa cUll and certain of or hi hl associates Corthe for Cor forthe forthe the purpose of obtaining a on th thA hA transcontinental transportation bin b I n ness The first move mo moma made md ma wa w acquisition aCCI of ot sufficient stock of ot the Southern Pacific Pa Pa- cille company compan to 0 Insure its Us control That company compan owned a line of Ot railroad ex extending extending ex- ex tending from Now Nov Orleans and points point In fn Texas Texan on tide water through to Portland Port Port- land Ore also another line from Ogden Og- Og den dpn to San Francisco i I r The Th Southern ou UI ern Pacific I had been n to tor torf f yean Jar ono One of ot the tho principal comp competitor of ot tho Union Pacific An a. a result of control b by arto Jc ownership bp thc tho a or of tho the tw two companion IH nu huton oI t b sij St r and majority 5 or ot the lie board of ot V i 4 enl havi ot UI rr r S tl ot or di U l oItI a. a t r fw a Vt j w Cb eliminator Tt 1 3 Sn n r OLo roud was projected as ae n tt Independent line lino by V. W. A A. Clark Clork ami and his associates to run from rom San Ban Pedro PedroS S on fl tidewater In tn California through Loll IjO to Salt Fall l Lake having h connections connections con con- at Ut that point with the Union Pacific with the tho Gould Goulet After the work of or was In Sn pro- pro gr grese tho the parties In Jn control of or the the- theUn UnIon UnIon Union Un Un- ion l Pacific U b by means meane of or harassing litigation lit lit- I atlon designed to tu prevent tho acquisition acqui of or ne-ce ne necessary right of or way and andS the line II it S S by ly threats Of or paralleling constructed ao so as to render rander the road unprofitable un un- un profitable and hy by other othor meana means Induced V. Sv Yo A. A Clark Clarl and his associates to abandon aban lIon don the tho scheme chemo of or an independent and ml to Join with willi tho the Ore Oregon on Short Lino Line taking over certain track tracI owned o 01 controlled by that company in siu Continued ConC ou on Iu luge Three SUIT TO BEi BE FILED FILED t AGAINST HARRIMAN Continued rr from m One Utah itah and ea eastern tern Nevada and giving I to tho the Oregon Short Line an equal stock nook Interest In the tho San Ban Pedro rO roa road d with that held by by W W. A A. A. A Clark and hi hilt hiltI associates In addition traffic UK agree agree- foe I m meets menta and other contracts were made mad between the thEl San Pedro ant an and various cor cot Included In the Harriman ays eyl tern tem called o which deprives the tho Sa san Pedro road rond of ot Independence Inde and makes make It In Jn effect a part of ot the tho same caine system AB As to the Santa SantI F Fe which Is a 0 com corn line Une with both tho the Union Pa la- ia chic and the Southern Pacific It appears ap ap- ap pears that Harriman ant and his associates associate acquired sufficient Int Interest In tho the Santa Fe ro so that two members of or the Union board to wit FrIck an anti and Rogers be and still are arc directors li In the Santa F Fe and tho the Union Pacific asat as asa a l corporation purchased ed and still holds hold a a. large boc of ot Santa Sante Fo Fe stock As a A. result of ot tho the close e union between bo be- be- be tween these those lines competition has hae to a large extent been destroyed Oregon lIn Short hort Line Lino A. The Or Oro Oroon on n Short Line fn is alln n o 7 1 I or er of ot largo large amounts of ot st o iho tho stock k o 01 f the Northern Pacific and Great North orth em ern Railway companies In pursuance of ot plans of HarrIman and associates s for or acquiring control o of 01 trans-continental trans traffic the Union Pacific Pacific Pa Pa- cine in 1901 1001 secured a majority of ot th the I stock of ot the Northern Pacific Rant Railway company which was Vas later turned over ovo to the Northern rn Securities company compan When It WAS held by by- bythe the Supreme court of ot the United States that It wa was waS waS' waSI Illegal for Cor or the Northern Securities company com corn pany to hold stock of ot tho the Great North orth orn cm and the Northern Pacific a distri- distri was made among Its Ith ers era and as a result the Ore Oregon on Short Shor Line Lino received from the tho Northern Se Se- Se Securities curl curIUM tics company compan stocks of or both the Great Northern and the tho Northern 1 Iaci Pa Ia a 1 ci fin j 1 I c Tho latter companies are Joint owners own own- ers of the Chicago Burlington ton and l Railroad company compan which Is 19 an ar I active competitor of ot tho ho Union Pacific through h a large territory and tho the I Northern Pacific and the Great North orth- orth cm ern orn are arc likewise competitors of or tho the TinI Tinion Tin- Tin I ion Pacific I i The department regards the suit as I of or first Importance as It Is sought sous-ht by means incans thereof to break brenk up the tho subI sub sub- of or the transportation tion business of or the country between the tho Missouri river upon the tho cast east and the entire Pacific coast to Portland on tho west t Aside ABide from the tho railway companies hbo e mentioned other defendants In tho the suit are arC the Farmers Farmers' Loan am antl Trust company compon of or New York which is a a. depository tor of or all of or the stock of tho San Fan I P Pedro dro edro Los Angeles 4 and Salt Lake Lako road under a contract u by which It Is required ed to give gh proxies to such persons as may be bA named by Harriman and Clark for a n period of years 3 There are nl also o the following Indi vidual defendants who are aro alleged cd t tp have conceived and carried out the tho con con- complained of or to wit E. E IJ II harriman Jacob H. H Otto II IL Kahn Rahn James Stillman Henr Henry C. C Frick Henry Hnry II IL Rogers and William A. A Clark The attorn attorney general s has engaged as special a assistants for tor or the purpose of this litigation Frank B B. Kellogg Kellog and C. C A. A Severance Sf of or St. St Paul PatH who acted a ate aR counsel l for tor tho In suite state stR te commerce commission in the Investigation which developed de' information Hon regarding the tho combine orn b Inc |