The Havre herald. [volume] (Havre, Mont.) 1904-1908, 1907-10-11
SAYS IT IS ILLEGAL L |: |: |
Prosecutor kelIogg's Opinion
Of Standard Oil Company.

of Standard Oil Company.
TRUST WAS NOT DISSOLVED
Governments Counsel Believes That
the Oil Combine Now is Owned by
the Same Men Who Controlled the
Original Concern.
New York, Oct 9.-From state
ments culled from ledgers and books
sound in the offices Of the Standard
Oil company, Frank B. Kellogg, coun-
sci for the United States government,
succeeded in placing on Tuesdays
record Of federal proceedings against
the oil combine the processes and
stages through which the combine
passed in its changes from the old
Standard Oil trust to the present
Standard Oil Company of New Jersey.
Out Of the maze of figures developed
IN a voluminous mass from the COM
Dany's books and from testimony
given by Clarence G.. Fay, assistant
auditor Of the Standard, called as a
witness Friday, the governments
counsel says he believes he has proved
the federal allegation that the Stand
ard is an illegal corporation that by
devious devices has maintained it's
entity and that it is under the same
ownership as when it was formed.
Mr.. Kellogg says he is Of the opin-
ion that Notwithstanding that the gov
eminent was unable to discover the
transfer books and stock ledgers Of
the liquidating trustees, the evidence
adduced Tuesday shows that the So
called oil trust only affected to dis
solve under the order Of the Ohio
courts In 1892 and that its direction IS
still held by those who had to do with
the formation Of the Standard Oil
trust.
Statements submitted Tuesday
showed in brief that at the inception
Of the Standard Oil trust in 1882 there
was $70,000,O0O in trust certificates is
sued for stock Of various companies
which entered into the combine In
the trust period from 1882 to 1892 a
stock dividend Of $15,O00,00O was de-
c1ared and this with other stocks is
sued for plant purchases brought the
total capitalization Of the Standard up
to $97,250,000 AS a result Of a de-
cision Of the supreme court Of Ohio
fOrbidding the trustees from voting
the trust certificates there was a reso-
luton passed directing that the trust
be dissolved.
Consolidated With the Standard.
Mr.. Fay read statement in the rec
ord Tuesday showing that the day fol
lowing the passage Of that resolution
sixty-four subsidiary companies were
consolidated with the Standard Oil
company Of New Jersey and nineteen
other subsidiaries of the trust. Seven
months later, on Nov. 80, 1892, the wit
ness read from statements, there were
494,619 trust certificates presented
for cancellation and to the holders
were given their pro rata shares in
the twenty subsidiary companies
which then made up the trust. There
were also offered for cancellation two
months later some 10000 trust certif
Gates. There was lapse Of over four
years before another certificate was
presented for cancellation.
Mr.. Kellogg sought to show that
those who held control of the trust
with the exception Of few friends
were the only ones who liquidated
their trust certificates and that, by
liquidating only a majority of the total
certificates outstanding which they
owned, they continued their direction
of the trust by voting majority OF
the stock in the subsidiary companies
He also tried to show that those who
liquidated their trust certificates and
took the stocks of the subsidiaries
were John D. Rockefeller, William
Rockefeller, H. NJ Flagler, Benjamin
Brewster, j. D. Archbold, H. Fl. Rog
ers, W. H. Tilford,' G. w. Hardness
estate of G. B. Jennings, Emma Au
chincloss, estate of Charles Pratt and
O. H. Payne.
For the first time the profits and
dividends of the Standard Oil trust
from its inception in 1882 to 1891
were made public Tuesday The
profits of the Standard Oil trust, as
stated by Mr.. Fay, were as follows:
In 1882. s12,3SS,507; 1888, S11 ,231 ,79o;
1854, s7,77s,2O5; 1885, sS,3S2, 935; 1886
s15,350,7s7; 1887, s14.026,590; 1888
s12,757,72 1889, $14,845,201 1890
s19,131 ,470; 1891, $16,331 1856.
The dividends declared by the
Standard Oil trust from 1882 to 1891
We're spread on the records as follows:
In 1882, $3695, 253; 1888. S4,26S 0S6;
1884, s4,2sS,S42; 1885, $7.479,2 1856
s7,22G, ASP: 1887, ss,463,327; 1883, $40,
236,277; 1889, s1062o, $50: 1890, SIT,
100000; 1891, 81 ,648,S 26
Gives Astounding Details.
New York. Oct 9.--Anthony n