The Washington times., 1907-06-08

violation Of the Sherman law it went
back 10 the story of the Standard Oil
trust, which came into existence in 1882
and continued till 1889 There is no
doubt that the trust was a combination
for the restraint OF trade and suppress
sion of competition. 1t was so held by
the Ohio courts, and that decision COM
PEELED the organization Of the present
Standard oil Company of New Jersey.
Old Transactions Plea.
1t was the contention of the lawyers
for the Standard oil Company that the
Governments petition erred in reciting
transactions which dated back Of the
present organization of the Standard
Oil Company and its taking over of the
properties of the old trust This was
critical for the Government. 1t was
necessary to be able to tell the story
of tie old trust and to connect its opera
Oohs with those OF the present cor
pOrauOn and TO show that there was a
continuous and uniform policy. in order
10 establish firmly the claim of con-
Spiracy in restraint OF trade That the
Old Oil trust, which flourished from 1882
70 1893, was a conspiracy has been Judi
cially established. There is an ample
volume OF history TO prove it, To show
mat the corporation is no wise different
from the old trust except in form. was
the task or the Government. This is
permitted under the ruling the court
has made.
Trustees Enormous Power.
The Standard Oil trust was an organi-
cation under which thirty-nine corpora
tons owning oil wells, lands, reGneries,
pipe lines. etc. turned their properties
and their proxies over to nine trustees.
These trustees. empowered to manage
the business without restriction, were
John d. Rockefeller, william RockefeI-
Ter. Oliver II. Payne. j. A. Bostwick.
Henry NJ Flagler. ". G. Wardman.
Charles Pratt, Benjamin Brewster. and
John d. Archbold. OF these. Mcssrs.
John. ID. Rockefeller and William Rock
efeller Payne. Flagler, and Pratt are
still directors OF the Standard oil Com
pdny. and are among the individual de-
PENDANTS named IN the Governments pc
tition. These nine trustees under the
old rust agreement were the rulers Of
the world of oil In 1899 the Ohio SUI
preme court declared the trust arrange
ment void and compelled its dissolu-
ton. Then the Standard Oil Company
OF New Jersey took over all the CeTtifi-
Gates OF trustees hip issued its stock
IN exchange for them. elected the truS-
tees OF the old trust 10 be its direc-
tors. and continued exactly the same
policy that had prevailed before.
Judges Vote Unanimous.
The Government. however. would have
been hard put to it to prove al that IL
desired, II II had not been allowed to
go back CT 1899. The Standards law
yer. John ]. Johnson. Of Philadelphia. In
sisted that it could not go further back
than that. He excepted to pretty much
everything in the Governments bill. and
on this general LIST Of exceptions there
was long argument before the full
bench Of the eighth circuit-Judges San
forn. Nanoevauter Adams, and Hook.
Ey a unanimous voice the beuCh has
sustained the GOvernm ent's petition. re-
puired the Standard Oil Company 20
answer il. and has given the Govern
ment a sweeping victory.
Taking of Testimony Now.
The Standard will Of course appeal
from this ruling. but meanwhile the
taking OF testimony Will proceed. II win
begin July l and is likely 70 consume
many weeks. Under the ruling Of the
circuit court. the Government case
will sound like an elaborated edition or
Ida VI. TarJclTs history Of Standard
Oil. Nothing will be omitted that will
tend to show the animus Of the trustees
Oh me Ola Oll trust Their methods OF
extracting rebates from railroads, their
system Of underselling competition till
II was driven from the field and then
raising the prices high enough 10 make
back all that had been lost. their en-
ployment of railroad men to secure for
them confidential information about the
business and shipments of competitors;
all these aspects of the oil business for
q quarter OF a century and more will
be developed in the testimony for which
the Government now has secured a /
right-Of-Way.
Coming down 10 the present. Il will be /
shown that of the nine men who man
aged the old trust. five-a maJority-are
still directors of the Standard Oil Com /
pany. one OF them is its president and
another its secretary. They dominate
II completely, and have imposed upon il
the policy of the old trust. Even the
earnings have continued. year by year, |
IN about the same proportion since as
before the organization Of the corpora