The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1897-08-19

be an attack on my part on organized
capital" for l AM aware that great bust
ness transactions require the union and
of moneyed interests, and
fully appreciate what has been done in
that direction, yet l cannot but feel that
l am justified in bringing the suit
against the Standard Oil Company, and
believe that there are many things rela-
ting to the case which, if you understood
would cause you to entertain different
views concerning it aud my relation to it
Let me impress at least one thing OH
you with special particularly, and you
may depend absolutely on its truthful
ness. Senator Sherman never sugges-
ted or encouraged this suit, either di-
rectly or indirectly. This must be un
derstood in its broadest sense. The re-
port probably arose from the fact that
the action was brought shortly after the
Senator made his great speech in sup
port of his antitrust bill.
You will hardly receive my statement
with favor, l fear, but l alone am re-
sponsible for the action. No one en-
Couraged me to bring II or knew that it
would be brought until determined to
do so, and it is unfair to other persons
to suspect or charge them with sugges-
ting it or encouraging it. With the
highest appreciation for your personal
friendship. l am, with great respect,
very truly yours. DAVID X. WATSON,
To fully understand the import and
intent of Mark Hanna's letter to Attor-
uey General Watson, it is necessary to
review the history of the celebrated case
against the Standard Oil Company.
History of the Suit.
This suit was instituted by Attorney
General Watson on behalf of the State
in May 1890 The petition was filed
May 8. and the trial came up nearly a
year later. The petition set forth the
following:
l. That the company was incorporated
under Ohio laws Feb. 10. 1870 with a
capital Of 81 100000, to manufacture pc
troleum and deal i'll it and its products.
The principal Offices we're in Cleveland
at that time Subsequently the capital
stock was twice increased, until i'll 1882
it was S3,5OO,OOO.
,. That up to 1882 the Standard Oil
Company had pursued the Legitimate OBJ
jects of its incorporation, but i'll that
year had merged with other concerns
into trust.
The object of the trust was to control
the production and price of petroleum in
the United States. The parties to this
trust agreement were of three classes:
l. Corporations.
, individuals.
5. Portions of corporations and part
nerships.
All concerned elected nine trustees to
whom they conveyed all their interests
and property, real and personal.
The Attorney-Generals chief conten-
tion summarized was that by entering
into a trust agreement with other corpo-
rations the Standard Oil Company vested
all its proper ty in the Board of Trustees
of the trust and thus annulled the cor
porate rights conferred upon it by the
State of Ohio.
While the suit was pending Attorney
Generel Watson was a visitor to New
York. He was stopping at the Gilsey
House, when railroad magnate called
and talked about the Standard Oil litiga-
tion.
This railroad magnate once lived in
Ohio, had long been Watson's personal
friend and was in a good position to talk
plainly and confdentially.
He cautiously brought the talk towards
the suit and mildly asked Watson if he
intended to really push the action to the
end. On being told that he did, the
railroad magnate became confidential
and said: II assure you that l am not
personally interested in Standard Oil
stock. Many of my friends are, admit,
and they have asked me to be an inter
in short, I've been asked to talk
with you and find out if you can be
pursuaded to let this prosecution drop.
THE Standard people came to me when
the suit was brought and asked about
you. very quickly answered that you
could not be bought, and that you were
undoubtedly bringing this action from
sense of duty. Then was asked to talk
it over with you as a friend.
Let me explain to you, Watson, that
this Standard Oil Company has nearly as
much power as the Government of the
United States. 1t has more money than
many of the smaller governments of the
earth. You would be amazed to know
the full extent of its power. You we'll
understand that for years it has been the
victim of Legislative blackmail and has
paid big sums to thwart attacks on its
business methods.
at was quite natural, therefore when
your suit was filed, for the managers to
think that it was another case of shake
down to be handled in the old way.
81 assured them that they were mis-
taken. Now have had my talk and kept
my promise. If you are determined to
go ahead, can do nothing"
Watson Was Firm.
Watson was not tempted by the refer
ences to the Standards power, political
and financial, and he informed his friend
that nothing could be done to stop the
progress of the action"
A few months later, while the suit was
still pending, the Attorney-General was
again in New York. He met his railroad
friend again and was asked: "Well
Watson, have you been tempted lately?"
"Not that / know OF, said the Ohio
official.
81 had a notion to telegraph you to
look out for certain lawyer that we
both know manning HIM. Do you re-
member that he visited your Office few
weeks since"
Watson remembered that the lawyer
had called but a short time before.
did he have avalise with him% asked
the railroad magnate,
II believe he did" answered Watson.
"In fact, he explained that he was going
through and had stopped between
trains"
''Didn't it strike you as rather odd
that he should bring his valise into your