General Motors streetcar conspiracy

The General Motors streetcar conspiracy refers to a contention that General Motors (GM), acting in conjunction with several other companies and through the National City Lines (NCL) holding company, illegally acquired many streetcar systems in various cities around the United States, dismantled and replaced them with buses for the express purpose of promoting the automobile.

The legal case

Bradford Snell has written that in 1949 GM and its partners in NCL were convicted in U.S. District Court in Chicago of criminal conspiracy in this matter and fined $5,000 each for anti-trust violations (contracts in restraint of trade, i.e. forcing subsidiaries to buy products from their owners: GM buses, Firestone tires, Standard and Phillips oil).

Related Topics:
Bradford Snell - 1949 - U.S. District Court - Chicago - Criminal - Conspiracy - $ - Anti-trust

~ ~ ~ ~ ~ ~ ~ ~ ~ ~

The claim above is often repeated and is based on testimony by Snell to a United States Senate Enquiry circa 1974.

~ ~ ~ ~ ~ ~ ~ ~ ~ ~

The case ultimately reached the United States Supreme Court in United States v. National City Lines Inc. 334 U.S. 573, 596 (1948) ("National City I")http://caselaw.lp.findlaw.com/scripts/getcase.pl?navby=search&court=US&case=/us/334/573.html which reversed lower court rulings on the case.

Related Topics:
United States Supreme Court - United States v. National City Lines Inc. - 334 U.S. 573, 596 - 1948

~ ~ ~ ~ ~ ~ ~ ~ ~ ~

The proceedings were against General Motors and its subsidiary, National City Lines, along with seven other corporations. They were indicted on two counts under the US Sherman Antitrust Act. The charges, in summary, were:

~ ~ ~ ~ ~ ~ ~ ~ ~ ~

• Conspiring to acquire control of a number of transit companies, forming a transportation monopoly;
• All defendants were acquitted on this charge.
• Conspiring to monopolize sales of buses and supplies to companies owned by National City Lines.
• General Motors alone was convicted on this charge.