Albuquerque citizen. [volume] (Albuquerque, N.M.) 1907-1909, 1907-08-27
WOULD DEPRIVE
It OF FRANCHISE
Sensational Move Expected When
Big Suit Against Trust Opens
Next Tuesday In New York.
Prison Sentences For
Officials.

Washington, D. c., August 27-As a
reinforcement to the big suit which
opens in New York, September 3rd,
and which is aimed at the heart of
the Standard Oil trust, the govern
ment is planning to make an imme-
diate attempt to deprive the trust OF
It's franchise.
This action differs from the other
in that the suit filed at St Louis and
heard in New York for convenience,
seeks only to force the trust to dis
integrate by giving up the companies
1t owns or controls in states other
than New Jersey, the home of the
original Standard Oil company.
The matter of going after the
trusts franchise was the subject of a
conference between Attorney General
Bonaparte and Judge Frank b. Kel-
logg, of st. Paul, and Charles b.
Morrison. Mr.. Kellogg is the gov
ernment's special counsel in the fight
to wrest commercial mastery from
the oil trust, and Mr.. Morrison, who
was formerly district attorney at
Chicago, had a great deal to do with
the preparation of the case, which
resulted in Judge Lands filming the
Standard Oil Company of Indiana
$29, 100000.
May Ask Prison Sentences
In addition to the plan to deprive
the trust of its franchise, it Is inti-
mated that the attorney general Is
making preparations to prosecute in
dividuals of the Standard OH COM
pany under the provision of the
Sherman act, which provides for i'm
prisonment of guilty persons while
the Elkins act does not.
Should the government succeed in
its attempt to kill the oil trust (and
1t would seem that 1t Is in a fair way
to do it) the worlds greatest monop-
oily will be broken. Organized in New
Jersey, the Standard has spread its
tenacles until it not only controls the
oil trade in this country, but also
handles a large proportion of the oil
sold in England, Russia and other
countries across the water.
Seven states-Missouri, New York,
Ohio, Illinois, Mississippi, Louisiana
against the trust, and in addition the
government has eight suits against
it, the most important of which is
that which soon will begin.
Collect Fines Only
Some of the state actions simply
are to collect fines, while others are
aimed at the present company of
New Jersey. But all seek to break
the grip which the trust has upon
national business and industrial life,
and consequently, upon the nation
itself.
Six thousand three hundred and
twenty-six federal indictments rest
against the Standard, in addition to
the thousands of state indictments.
and If the maximum penalty were to
be inflicted i'm each of the federal
suits. as was done in the Chicago
case, the Standard would be called
upon to pay into the treasury of I'm
Gle Sam $12G, 100000. This, IN addi-
ton to the fine of $29,4OO,O0O i'm
posed by Judge lands, would make
the total S155, 100000
Such a penalty would be a stag
gering blow even to the group of tre-
mendously wealthy men who COM
pose the Standard Oil group.
Standard Oil has a surplus fund
that runs into figures almost incOm-
prehensible to the average layman.
Conservative persons estimate this
surplus at $200,000,00O, but others
say that it will reach close up to a
half billion dollars.
Half a Billion i'm Dividends
Between 1889 and 1906 the Stand
ard Oil paid out in dividends, ac-
cording to a recent compilation by
the government, the enormous sum
of S551, ,9O4 so. For several years
the policy of the company has been
to distribute about so per cent of its
actual earnings in dividends and add
the other 40 per cent to its surplus
fund
The actual earnings or profits Of
the full period between 1852 and
1906 never have been disclosed. 1t is
known, however, that the total pro-
fits from 1902 to 1906 were S244,-
026 ASS. In that period the dividend
distributions amounted to $164, 400
406, leaving $7S,536,025 for the sur
plus fund
The period Of the Standards
greatest earnings has been since 1896
In the ten years its dividend distri-
buttons amount to S3S7.432,446. For
only three of those years, 1908, 1904
and 1905, are its profits known.
In 1903 1t distributed S42,S77,516
in dividends, and in that year It's pro-
fits were $Sl,30O,0OO. In 1904 il dis
tributed S35,4O1,7SS IN dividends and
its profits were 1900, 600. In 1905
II distributed dividends, S39,395,32O,
and its profits were S57000,O00.
For these three years its profits
amounted TO $199,SO0, 900, while its
divided distributions were $l17-
6S4u424, leaving I'm that period alone
$50, ,1S5-376 To be added 10 the sur
plus, an average Of $27,305,125 a
year.
Prestige Would Suffer
II the surplus additions averaged
that amount for 10 years Il would
make a total Of S273.95l,25O, which
added TO the surplus fund, up 10
1906 would make a grand total Of
S353,4ST,275.
With a surplus reserve fund Of