The Kimball graphic. (Kimball, Brule County, Dakota [S.D.]) 1883-1905, 1898-02-19
lHE GREAT JUMP
OF STANDARD Oil
laIue Of the Stock Of the Great
Combine Increased Twenty-Five
Millions in One Night.
LATE MOVE BY THE BIG TRUST
4 Plan to Evade Court Orders That
It Is Said No Law I'm Exist
encc Can Prevent Being
Cnrried Out. ..

New York, Feb. 14.-While the Rock
efellcrs, Flaglcrs, Prat,s and other
Standard Oil magnates, not to mention
the small fry who w Standard Oil
stock, were asleep Wednesday night,
The market value of the capital stock
If the great trust increased $25,42o,oo
This is the biggest jump in the his
:ory of a stock which has always adj
sanced or declined by huge strides,
The "curbstone" brokers who deal in
the stock were more surprised than
;he men who employ them by the re-
markable advance from $500 a share
Wednesday afternoon to SAG a share
on the first transaction Thursday
morning.
The rise was attributed generally to
the fact that any corporation which
pays quarterly dividends of 10 per cent
Ind continues regularly to pay ut the
.ate Of 80 per cent per annum, is
looked upon by spectators as we'll
worth SAG. Buyers feel safe in invest
mg at this enormous price, feeling con-
idcnt that such high dividends can be
maintained only by a corporation
which actually has the oil production
and markets throughout the country
by the throat and entirely at its
mercy. 1t has been rumorcd for
months that the phenomenal rise in
the stock was due to the intention of
+: Capital Standard Oil :
company $1,000. rs 97,OO0,000 {:
(: Market value We'd :
Z: nesday ........ .. 407,400,00o ::
Z: Market value Thurs {:
:: day ......... ..... 432,s2O,00O {:
Increase ovcr nights 2%5,42O,O0O +:
The oil magnates to increase the cap,
ital stock. This has been semi-oficial-
Ily denied several times, and Colonel c.,
5. T. Dodd, the general solicitor of the
Standard Oil company, said: "All,
such talk of an increase in the capital
ization is without foundation. There
has been no change, and there will be
none in the future"
That there is to be a change, how
ever, is certain, md it has leaked out
that the program mapped out by the
magnates will enable them to continue
paying large dividends and at the same
time evade taxation and defeat the
sildS VI VIC ullll-tlNSl laws.
Certificates signed by trustees are to
be issued in place of the stock ccrtifi-
Gates OF the numerous subsidiary COM
panies controlled by the trust. The
stockholders in these companies will
be asked to surrender their present
certificates, receiving in lieu thereof,
q certificate stating on its face that
the holder is entitled to SO many.
shares in certain named companies.
The separate companies will Their de-
clare individual dividends, which will
be Jumped into IL sum and paid on
the trust certificates.
This course is necessary in order 10
comply with the orders of the courts
in various states, particularly Ohio, or
der1ng the winding up of the Standard
Oil Trust on the ground hat it is cur
rying on business in distinct violation
of the antitrust laws.
The process of winding up the affairs
of the trust has been too slow to suit
the courts of Ohio and an effort was
made recently to declare officers and
directors of the trust in contempt of
court. Not only has the delay dis
pleased the court. but the method
used has been subjected to criticism.
On this score, however. the trust feels
secure, for it employed the best law
yefs in the country to perfect the pres
ent plan, which, it is asserted, no ex-
isting law can touch.
The jump in price of Standard Oil
stock has startled ven the insiders.
Late Wednesday afternoon an effort
was made to depress the price in order
to buy up the stock offered at a lower
price and thus keep the entire profit
within the clique controlling the COM
pany. To this end brokers working
for the insiders offered 1000 shares Of
stock in small lots, thinking that this
would break the price.
To the surprise of everyone all the
stock. offered was qickly picked up.
One man bought 400 shares at s420,
which was the closing price that day.
Yesterday morning this Spectator saw
a profit Of $500 in his purchase and
Immediately bought more.