San Marcos free press. [volume] (San Marcos, Tex.) 1877-1892, 1888-08-23
Trusts and Their Methods.

The Republican national platform
contains q plank against the combina.
ton of capital into "trusts to control
the conditions of trade" The con-
vention which adopted that was
owned and controlled absolutely, in
general and in detail, by the repre-
sentatives and agents of just such
trusts. A railroad lobbyist was its
temporary chairman, and railroad
president was its invincible boss.
These two men alone represented
capital combined to control the con-
ditions of trade exceeding three hun
dred millions of dollars,
But the platform not only declares
against such combinations" but
recommends Legislation to prevent
undue charges on supplies, etc. This
declaration was endorsed by every
railroad pool mngnate and public
thieving agent in the convention, for
they knew how entirely meaningless
it is coming from such source. The
way these "trusts combine to evade
the law" is given by the following re.
cent report of the congressional COM
mittee of investigation:
"Your committee has particularly
directed its inquiry into the methods
and extent OF the business done or
controlled by the Sugar Trust and
the Standard Oil Trust, and respect
fully submit herewith the testimony
taken before it in relation to these
two trusts. In submitting this testi.
mony your committee desire to call
the attention of the house to the
form of organization of these two
trusts. Both of them are organized
on substantially the same plan. From
the testimony it appears that there
exists certain number of corpora
tions organized under the laws of the
different states, and subject to con-
troll; that these corporations have
issued their stock to various individ
uals, and that these individual stock
holders have surrendered their stock
to the trustees named in the agree
ment creating these trusts, and ac-
cepted in lieu thereof certificates is-
sued by the trustees named therein.
The agreements provide that the va
rious corporations whose stock is
surrendered to the trustees shall pre-
serve their identity and carry on their
business, In the Sugar Trust ngroe-
ment the provision is that the sev.
eral corporations shall maintain their
separate organizations, and each shall
carry on and conduct its own busl.
ness. In the Standard Oil Trust
agreement it is provided that all
property, real and personal, assets
and business shall be transferred and
vested in the said several companies.
The duties of the trustees are re-
stricted to the receipt Of dividends
declared by the various corporations
and the distribution of the aggregate
of them to the holders of the trust
certificates, pro rata, and to holding
and voting upon the stock OF the cor.
poration. The trustees in both cases
upon the stand as witnesses, specific
ally denied that trustees, as such
ever do any other business than to
receive and distribute these dividends
and exercise the only other function
given 10 them by the trust agree
ments, that is. 10 hold the stock oI
the various coporetions and exercise
the right Of stockholders in such cor
poratIons. The care with which the
trustees avoid making any agreement
relating to commodities appears from
the testimony as TO tho arrangement
with the Oil Producers Association
in the fall Of 1857. The officers Of the
/ Producers Association testified that
an agrecment was then made with tbs
Standard OlTrust by which 10000
barrels Of OIL belonging 10 the Stand
ard OIL Trust Vas set apart for tbs
I benefit Of the association. upon its
agreeing 10 curtail the production o.
crude oil at least 1850 barrels Pei
diem. These witnesses undoubtedly
understand theIr arrangement VA
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