The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1888-07-31
TRUSTS.
Committee on Manufacturers Report
The Plan Followed in the Investiga.
tion of Combinations.
A Thorough Exposition Of the
Schemes of Manufacturers.
Tho Standard OIL Company Gets
Particular Attention.
Tho Committee Calls Attention to the
Numerous Combinations Formed
and About TO be Formed by Mo-
nopolists-Recommendations.

WAsuINGroN, July 80. The House com.
mittcc on manufactures .oday submitted
the following report concerning the trusts
investigation, which was ordered printed:
The committee on manufactures respectfully re.
port that, acting under the authority and direction
of resolution Oi this House, passed on the 25th
day Oi January, 1855 they have proceeded 10 invcs-
tiguc aud inquire into the matters aud things re.
ictlcd tu IN aid ic.uiutuu. and having demanded
wituvsscs and paper, in rotation theptn Li.y hsNs
uccu unable 10 cumpleie such inquiry snd investi-
mtiuu with the tecomme ndatlor that " do pass.
Your committee further teials that the names ot
various combinations sud trusts have teen from
time To time fuTnshr'i to your committee that tha
number OF sr-h combinations l. Ncfy lHgc. aud
that VOW COMMITTEES IN calling witnesses and taxi
! ing -iimuny proceeded upon the the following
yiAn of Investigation tO inquire.
T. witt relation IN trusts or combinations in
lines of business which are connected with or uss
articles In which thcr cSistsA competition ia OuI
markets between the domestic product and the fors
cign product imported aud duiiAblc under ouf
tufif laws.
2 With relation 20 such combinations dealing
In articles which are DOT Imported Into this COuu.
tty oI ar not snhlvi 10 import duty
% With relation ~ uth combinations dealing Ia
articles which nr mhlr,t 70 tnSalion under the
Internal revenue laws oi tie United states, youc
committee ha' particularly directed " inquiry
into the methods ul aud the extent ~ the bust
nc,s done ot controlled by the sugar trust and tho
stsuiatd Oh trust aud respectfully submit hCtes
with the testimony taken lvintr " in rlation 10
| th,sa two trusts Ia submitting this testimony
your committee desire tO call the attention Of the
| Houss tn the form oi organizations ~ th,se two
| trust. Roth of them are organizations ON sub
stauinlly the same plan. From the testimony IL
| apUvHfs that thvtr exists ccitsiu number Oi cor
| pufatinus organized under the laws ut different
States and subjects ~ their conlro that these cor
| pnmtiuns have issued thcif stock Ia various indi.
| nduHs aud that these individual stockholders
have surrendered their stock Ia the trustees named
IN the afrvcment creating lhe,e trusts And acccrt-
ell In lieu thereof certificates issued BY tho trust
/ ees named thefdln.
The agreements provide that m. various corpor.
atinns Nhusc sturk l. surrendered to the TRUSTEES,
shall preserve their identity aud carry on thelr
/ business In the sugar trust agreement the pro-
vision Il that the several corporations shall msiu.
/ tain their separate ufgsuifaiiuns snd each shall
ury on and conduit is own husincss IN tho
standard Ol trust agreement II Il provided that al
pmpsfty. nal aud lcfsonnl. a,sris aud buslncfs
shall BE- tmusrffci a. aud vested In the aid several
companies The duties ot the trustees are re-
trcic tn the rlpi ni the dividends declared ~
the various corpomtlon., sud the distribution ot
the HFgtcgatc ul Uhrm to the hulders Of the trust
| CERTIFICATES, pru rata. aud io holding aud voting
| upon the stock OF TIE corporation. The trustees ia
| both ceses upon the stands aud WITNESSES espec.
tally, denied Mr, the tuistr g. such eyet 40 suy
oihst business than in tcceive aud Distribute thess
| dividend. a"l eie,tfr the only other iuucuen
riNsn 90 them bf TIE itusi sgfUvmcnts mat ., "a
| hold fhr sintt ni the various CHuumtions and cx-
crrso the tlglt stock hurrs in such qofpontlons
The care with which ITO trustee avoid mai ing auy
agreement relating a. commodities appchr froas
| The tcsilmuut as tu the arrangement With the oil
rnrinocr association in the iall ~ iNs1 The ON
| agreement wns then made With the standard OF
| tfrt hy which hOpunn barrels ~ oil belonging "a
the -ihndHflol trust va sct nIafi iuf The benehf
oi as-nrislon upon iis sefseing ~ Cufisil ths
production oi criir ni' nt least ifiaD barrels per
/ diem These uiuc",s undoubtedly understood
that lhclt arrangement va with ihc tfsi,cs Of the
/ tmudati Oh itust liui tho written hlrcemest
| produced and nov iu evidence shows that lt was
| iuaio and f.gnci Wy the standard ull company "a
| Ncv York one oi thn rpmpHnir. Whose itogk 10
| held hN ihe trustees hni that the tnudsri oil
trust ut uusiutH thereof ~ SUCH hfv not parties N
it nor Is either Of t.m repOuslhl, iut The cauy.
g.,1,, @I, :" y ,s m ~, sI =, so@,
| relieving tho trusts AID their trustees if6m tbs
| thaWr ot auN lIrlrh ~ The e1uslifary laws
OF We nilens , a,. 10y, d bclns .
| dutiluu Ut any commodity hcucp thcy assert hat
the corporations thcm'c.tes which Cuntfol .nd
| regulate thr price of commodities nnI the rtteut
| ~ production. Hui have tangible property utnain
| with il,if uuuuIfniiuu intact and dsiint aud not
| IN combustion with each other that The stoCs.
| holders whu uu urt uu.Y ihr ttnrk. Hnd ~ we'll
sglt.ci lcFsl fuI, hai 90 lrgsl Title n the pfofeHy
| ~ the cnlruut.an, onigri intu ihc sEfrvneus
| aud sg'i th,lf siIgk iu thc u.fpnmilons aud ac-
o'Itrii iu ra'mcui trust orflfDsie.. sud that the
ifusi,s fcH,tu AMI boil nuly thc stock ui uufTare-
tuus ani hate uu lufai title a. aus uf the prllsfU
gi ihc ooirnis,.nn' sni nrlihrf buy nor 'sll sny.
iiinf nor rurihiur with suy one ~ ht pfic,s or
regulate production uf ans CHnmuiiiv
huuf committee have irJu.l it pUpof 10 call
ir.nr.s t B. isiit,ti that it viii a. tound thai si
iHslr combinations having unIat aims sithst
hpls s1npis.i ,hs mriuuiol 'l,,iily v,l 10 ..
aud aIsft lsIaUHr tHF Itr.t'Hi.Uu which bee hcsr
pfuirfri a. ihIs ipUss ari frlrftUi in yuuf cutn.
iultiss has been dIuiiei aEsiHft combinations IN
m fhn ~ ~ uf ftFulufr ttr production ~ aUiclts
~ mrHal lHrife u L. pHIn thHi thr contradictions,
The istunaui pnuUrfnina Which m Nr.rWiih sub
mift.i have iara Intentionally iUfHIui a. 10
atuId 10 pnHtllF. thl UhufrF tuai TIE itutt "a
such. pf tH trustees lu 'hsl tHIHlItt cithsf hIe1
tbs rfUr uf regulated iue pip'i tio.pl sny ntisls
~ u.rf b1rli,, nI ,rmHrue totnplalul hayinr
Ifrr made n hIn bt citizens % the state Of kss
York HUHIHat tHr tutHf tust aui one NJ the cot
pHiatIHu' Wunsr f'uIh 10 holis ths Attorney.
ieurfHl uI that state lEa suef hearing directed
TfUtS .Ufiuut tn hT rHu usrfUl uEalut thHt uitst,
end fhstufUuf.iluU complained ~ utHn grounds
which afr 90 iufth Loo ar elaborated upIninn Whirh
IL submitted Ht rsfi ui i1e et Iisu0o iu nlaiuu .
that tfItf Hnl Bs containing fIIstl ttHirmrut ~
The Law ul thIt -i.tr o. iHfasit afHuf auy ten.
cdy sgtIuit such trusts