The news-democrat. (Providence, R.I.) 1906-1909, 1906-10-10


company OF Ohio was put on trial here
yesterday. charged with conspiracy
against trade in violation OF the state
antitrust laws. The penalty prescribed
IS a fine OF from $50 to $50. 900 or six TO IL
months Imprisonment.
John ID. Rockefeller was originally a
party 20 the suit, but was granted
separate trial. the date OF which will de-
pend on the success OF the state in the
proceedings. II is said that Mr. Rockefel-
Ter will not attend the present trial The
Buckeye Pipe Line company and Man
haitian oil company. both state corpora
tions, are also defendants, but have also
secured separate trials.
The case is being tried before Judge
G. G.. Lander and a jury. The Standard
IS represented by general counsel Of the
company f. NJ Elliott OF New York.
Virgil p. Kline OF Cleveland and James
o. Troup OF Bowling Green, o. The
prosecution IS conducted by Prosecutor
David OF Hancock county. assisted by
George F. Phelps. local attorney.
Not a hundred persons were present
when the court convened. Wade III. En-
mis-. attorney general OF Ohio. and o. e.
Harrison Of his office were present TO aid
the osecution. A Jury was secured In
the first hour and 80 minutes. Twenty
one talesmen were examined A recess
was then taken until afternoon.
Judge Banker cautioned the jury to talk
10 no one regarding the case.
CASE OUTLINED
What the state expects 10 prove against
NJ Ohin
uode the subject OF a long address TO
the jury by County Prosecutor David inn
mediately on the convening OF the court
in the afternoon. The evidence the state
would adduce he declared. would be prac
tcaly documentary.
The Standard oil trust" he said.
"was organized in 1882 by John ID. Rookie
feller. William Rockefeller, Henry NJ.
Flagier II II. Rogers. John Archbold
and a number Of associates. The OBJ
ject OF the trust was to control the oil
business and 90 per cent OF the capital,
skill and property engaged In the oil ousi-
ness in the United States was gathered
into the trust which was controlled by
nine trustees
This arrangement continued for 10
years. during which time 10 companies
subsidiary TO the trust. but controlled
by IT, were organized Included In these
were the Standard OH company OF Ohio.
Line company and the Solar Refining
company" These latter companies. he
said were controlled by the Rockefel-
lers. Flagier Rogers Archbold and Wes-
ley Tihord. In 1892 the total capltaliza-
tion OF tho companies was SlO2 2ZSS'eoo'
with a surplus Of s20,000,O0O.
The suit OF Attorney General Watson OF
Ohio i'm 1892 charging that the trust
agreement created a monopoly, was next
explained by Mr.. David. The supreme
court of the state found the Standard
oil Trust to be monopolistc and against
public policy and ordered the trust dis
DEFIANCE OF LAW.
Mr. David here asserted that the state
expected In this trial TO prove that the
board OF trustees OF the local companies
he had named never did and never in
tended 10 comply with that order Of the
court although technically they may
have observed the same TO the letter
At a meeting OF the board OF the stock
holders of the trust called 10 dissolve
the trust I'm compliance with the order
OF the court. he said arrangements were
made for winding up the affairs OF the
trust, and liquidating trustees were
chosen. being the same as the old trus-
tees.
Seven years later, IN 1899. he declared
that John ID. Rockefeller and the same
trustees were still controlling the policies
md business OF the Standard Oil Trust
and at that time only about per cent
OF the trust certificates had ben changed
The contempt proceedings Instituted
against the trust In 1898 by Attorney
General Monnett of Ohio, but which the
supreme court OF the state dismissed
were explained II was during the
tendency OF these proceedings, he said
that another form was given the organi-
zation The Standard Oil company OF New
Jersey was organized as holding COM
ts11 sc. aF
and increa sed corporate power which In
cluded the right TO buy. hold and vote
the stock of the other corporations. John
ID Rockefeller, he said. was the largest
stock owner, and was president OF this
corporation.
FIRMER GRIP.
Between the years 1899 and 1901, Mr. Da-
Wis said the New Jersey organization is
sued sos 100000 OF its capital stock
and purchased nearly all OF the stock OF
the subsidiary companies In the trust, in
Guiding the Ohio companies heretofore
named. and from that date until the pres
ent time the same directors have domi-
mated the state companies. have voted
all the stock OF the companies elected
all the officers and controlled the policy
OF the same to the same effect and pur-
poses as they did while they were in the
original trust formed In lS2' In con-
cluding Mr.. Davis said:
" THE state in this case claims, not
withstanding the numerous makeshifts
and changes made by these men from
1882 until the date OF the filing OF the In
formation in this case. that John y.
Rockefeller. william Rockefeller, Henry
VI. Flagler. John Archbold. II. II. Rogers.
have continuously, purposely and unlaw-
fully maintained and operated so-called
trust, monopoly or combination. and that
tho Standard oil company OF Ohio is n
me 'mber OF that trust or monopoly or COM
biration."
Before Mr. David had proceeded far In
his presentation Mr. Kline interposed an
objection 10 the statements OF Mr.. David,
but was overruled.
Mr.. Kline followed Mr.. Davis. saying
the simple facts were that the Standard
OF company OF Ohio refined and sold
oil wherever II could. ~ sold n small
quantity In Hancock county. but he could
not believe this a violation OF the Valen-
tine Antitrust law. The company was
Nse0s a a. ali n..l n. .l.s.s Al