New-York tribune., 1907-09-18

company OF New Jersey. and Mr.. Fay The
counsel for the Standard OIL Company present
et the hearing were John G Milburn and Moritz
Rosenthal. of Chicago.
e. {. BENEDICT ON STAND.
Mr Kellogg was particularly eager to discover
how the Standard Oil Company OF New Jersey
came to be formed by the exchange of its shares
in 1898 for the certificates of the liquidating
Standard Oil Trust. which had been formed in
1892 AS predicted in The Tribune some weeks
ago he started on his line of inquiry with E c
Benedict, the banker.
Mr.. Benedict has been present at the two pre-
In1inary sessions which have been held in TINS
city. and was glad enough yesterday TO take the
stand and to get through with the task. He
told Of incorporation together with Anthony n
Brady. Of the Manhattan Oil Company. Mr.
Benedict admitted that Mr.. Brady and himself
owned three-quarters Of the stock of the com
peny and that on October "a, 1898 he had sold
his portion. 5.175 shares. at par. together with
bonds to the amount of S2S6.oo0.
Mr. Benedict couldn't say that the purchaser
was the Standard OIL Company, but testihed
that he had received SSS9.342 for the sale Of his
stock TO foreign companies through the Cen
rral Trust Company and Brown Bros & Co,
Of this city. These companies were the General
Industrial Development Company, Limited. and
the Commercial Trading and Investing Com
pany. both OF London. but the commodore would
allow that he had heard afterward that the
oontro, of his stock in the Manhattan Oil Com
pany had passed TO the Standard OIL Company
through the Solar Refining Company. all but six
OF the shares Of which owned outright by the
big New Jersey corporation.
So far as he was concerned. he didn't seem 10
care who bought the stock. for he wasn't op-
posed 70 the STANDARD oil Company getting it
Later, 'fust out OF curiosity he had sought in
formation, and found out that the Standard was
III actual control Of his former interests in Man
lhattan Oil.
CHARLES VI. PRATT ON STAND.
Charles NJ. Pratt. secretary Of the Standard
Oh Company of New Jersey. was next called to
the stand. Mr.. Pratt is one Of the seven indi-
tvidual defendants named in the government $
suit Mr.. Pratt was made OF the trustees
when the Standard Oil Company was forced into
liquidation by action of the State OF Ohio in
1892 Since 1899 Also he has been secretary
and director OF the Standard Oil Company Of
New jersey. as well as an officer in half dozen
or more Of its subsidiary corporations. He has
been identified with the oil business during all
his business career, his particular duties in the
office of secretary being the keeping of a minute
book, stock books and a stock register.
Mr. Kellogg. who the alert to find out
show the Standard incorporated by the ex-
change Of its shares for the liquidating trust
certificates. began to launch ar the witness the
documents which had been secured from the
company by the governments attorneys. But
Mr. Pratt would venture answer until he had
lconsuited the documents given to him by Mr..
Kellogg
In of the typewriter documents mention
twas made of the c. NJ. Pratt investment. The
witness said it the stock Of the Waters
Pierce Oil Company which was held by him as
an investment for the Standard Oil Company Of
New Jersey. Mr.. Pierce remembered that the
Waters Pierce Company had done business in
Texas where it had difficulty with the state Off
icials He said also that the Standard controlled
274o Of the 1000 shares in the company. but
he could give few details as 10 stock owned in
various companies by the corporation OF which
he is secretary. He couldn't say whether the
business Of the parent company any Of its
subordinate or component corporations were
looked after by committees.
CONCERNING SHARE ALLoTMENTs.
Then came urgent attempts by Mr.. Kellogg
70 find out why 972.5e0 appeared as the de-
noninator Of fraction in share allotments
which were made TO the companies of which
big corporation was made up in 1899. Mr..
Kellogg was trying hard TO show that the CON-
paay had found q legal way exchange its
shares for nquidattng certificates pro rata, and
that the 912,5o0 shares represented the total
number Of shares that had been issued by the
nineteen conpanis in charge Of the liquidating
trust
These were the Anglo-Arnerican Oil Company,
the Atlantic Refining Company. the Buckeye
Pipe Line Company, the Eureka Pipe Line Com
pany, the Forest Oh Company, the Indiana Pipe
Line Company. the National Transit Company,
the Onion Tank Line Company, the New York