New-York tribune., 1905-07-12
Mr.. ROCKEFELLER REPLIES |
IN CORRIGAN CASE.
Miss TnbeIPs Arragnment Called
Misleading and Untrue.
n will be found on page 2.

/ In response to Ida NJ. Tarbells article in the
July "McClure's" on John D. Rockefeller: A
Character Study" statement" given out
yesterday by Mr.. Rockefeuer's attorney, Virgil
P. Kline, of Cleveland. in which part of Miss
TarbelPs article-that relating to the Corrigan
suit-was said to be partial and misleading"
and full of 'fnsinuations unwarranted by the
facts"
Mr. Kline was one of the counsel for Mr..
Rockefeller in the in question.
Mr.. Kline further alleges that;
The writer of the article must have taken :hs
feeT S nsead 1 Of Of the the testimony Which appears
ciuson as is Expressed by her Miss Tarbeil = n
the evidence in the case. in several instances.
what nobody ever testified 10, and OF which there
is not the slightest hint in the record
In his statement of the case Mr.. Kline says
that Mr. Corrigan at various times. became in
debted to Mr.. Rockefeller in various sums. ag-
gregating in all more than S415.OOO. and that
fairly to liquidate his just Indebtedness the
regular business screws were put the de-
faultng DEBTOR and The money collected from
various holdings OF Corrigan in Mr.. Rockefeller's
hands
This is Mr. KIine's statement of the case:
On February 10. 1895, Mr.. Corrigan was indebted
to Mr.. Rockefelev in the sum of upward of
$410 900. OF this sum $4,000 was interest
past due while large portion of the principal
had also matuTed Mr.. Rockefeller had also ad-
vanced. on account Of an iron mining company
in which Mr.. CorrigaE was interested, over
$3.50 900 which was secured in part by indcrse-
ments of Mr.. Corrigan, and in part by deposits
of his stock in that company.
In this situation of the Indebtedness, Mr. Cor
rigan, needing more money entered into con-
tract that date with Mr.. Rockefeller. by the
terms of which, among other things. ne sold 10
Mr. Rockefeller $500 shares of Standard Trust
certificates so called at the then market price
of S16S share and out OF the proceeds re
-yy5th ahO 4
shares of his stock in the mining company, for
his present use, the remainder of the purchase
money being applied, under the terms of the
contract with certain securities. to the ultimate
working out of the Indebtedness.
CORRIGAN BRINGS CHARGES.
On June 80. 1897, more than two years there
after Mr.. Corrigan filed a petition in the Court
of Common Pleas of Cuyahoga County Ohio,
against Mr.. Rockefeller, in which ne charged
that Mr.. Rockefeller, bearing hduciary rela-
tionship toward him as trustee, for the purpose
of acquiring his stock at less than its true value
had made false representations to him to the
condition of the Standard Oil Trust and the
value of it's shares; that he had also taken adj
vantage of his ignorance of the real value of the
shares and of his embarrassed condition to OBJ
tain from him an unfair bargain, and, to induce
him to make the sale, had represented to him
that the shares were not worth the price paid
Mr.. Rockefeller by his answer filed in the
case promptly denied all these averments of
fraud and bad faith made against him
Bv agreement of the parties the issues thus
made were referred to William G. ChOate and
William D. Guthrie. of New-York. and William
lynch, of Canton, Ohio, three able lawyers
of the highest personal integrity as arbltrators
TO determine the issues of law and fact The
agreement further provided that upon their de-
Termination of the case Judgment should be
entered in accordance Herewith. and the parties
exchanged bonds, guaranteeing the entry of
Judgment as the same should be awarded by the
The arpitrators listened carefully and pa
tientlv TO all the evidence offered on both sides.
There was no book or document called for by
the plaintiff in the Investigation winch was not
promptly produced, and the arbltratOrs ex-
pressed themselves as entirely satisned with the
frankness and fulness with which information
had been furnished by Mr. Rockefeller
II appeared from the evidence that the in
debtedness Of Mr.. Corrigan TO Mr.. R9cSefeller
creased in 1887 and again increased in 1888
TO the extent of $125OOO in the midst OF the
manic Of that year; that the Standard Trust
certificates had been left with MIN as collateral
security with power to sell; and that the notes
evidencing the indebtedness had been repeat
edly renewed, and in 1880, as had Deeh the
case many times before, Mr.. Corrigan was so
largely in default both as to principal and in
terest that Mr Rockefeller might have sold
out his securities uIder lAe power Il he Hdu
chosen to do So
After most painstaking and careful hear
ing, the arbtrators made the following de-
cislon:
And now. on April 20, 1899. said arbitrators hav-
ing fully considered all the matters and things
qious smoIitite0 Of the parties the testimony sub
mitfed and the arguments of counsel and being
fuliv advised i'm the premises do hereby make and
nublish this as their award to wit:
'.Thev find and determine the issues Joined in
said action in favor of the defendant and that
he Ic entitled o have said action dismissed
its merits with taxable costs against the plain
tiff"
In the course of their opinion speaking in the
third person. they said:
rbev are satisfied by the evidence that the
charges of actual fraud set iorth IN the complaint
Continued page.
BIRMINGHAM, ALA, THROUGH PULLMAN.