The Washburn leader. [volume] (Washburn, McLean County, N.D.) 1890-1986, 1907-10-04
owned by the parent

usSi ny INC pdlcLl
company, as well as from those of the
subsidiaries controlled by it. This was
the first time in the history of the oil
trust tina Il record Of it's earnings en-
tire had been made public. Acting
Comptroller Fay of the Standard said
there We're nineteen subsidiary compa-
MES and gave their names. The evi.
denee is being taken for use in the cir
cMt court at st. Louis. where the disso-
lition suit under the antitrust law is
to be prosecuted. Mr.. Kellogg. among
other things, wanted the company to
produce the minutes of the various
meetings at which the absorption of
snater companies was arranged. but
this counsel for the company was in-
cllned to resist.
The examination of Charles NJ. Pratt,
secretary Of the trust, brought out the
fact that the parent company had
transferred it's $4,OOO.OO0 holdings in
the Waters-Pierce Oil Company Of
Texas to Il son-in-law of Vice President
Archbold from 1904 to 1907, during the
custer proceedings brought against the
subsidiary by the state of Texas, and
that only $125,0O0 in cash was paid for
the stocks. the remainder being In the
form of a note which was never fully
taken up. the profits Of the Waters
Pierce company going toward the pay
ment of the note. Mr.. Pratt admitted
that this transaction did not appear on
the books of the Standard. the accounts
being kept under the title &C. M. Pratt
Investment" Mr.. Pratt explained hat
by this arrangement he held the stocks
for the trust merely as a convenience,
and when asked if it was not done to
avoid the antitrust laws of Texas he
replied, "Not that l know Of"
Tabulations were also verified show
ing enormous earnings of subsidiaries.
among which those of the Standard Oil
eompany of Indiana appeared most
remarkable. This corporation on a cap
italization of $1,O0O,OOO made profits in
1906 amounting to $1O.516,OS2 and last
year paid to the parent company $4,-
495, 500. This amounted. for ut least
one year, to the remarkable profit of
1000 per cent. Mr.. Kellogg also
brought out evidence showing how the
New York branch had been systemat.
ically drained by saddling upon it enor-
nous liabilities at the same time that
its assets greatly increased. Coun-
sci Milburn disclosed zone line Of de-
Tense by giving notice that the trust
would object to any testimony bearing
upon acts committed prior to July .,
1890. when the Sherman law went into
effect.
indicted For Giving Passes.
Every railroad in the state Of Mis-
sissippi was indicted by the grand
jury at Jackson for failure to furnish
tie state railroad commission with a
list Of passes issued by them. This
action is In line with the indictments
issued last week against the Yazoo
and Mississippi Valley and Illinois
Central railronds: The antipass law
thus invoked was enacted In 1884 and
i said to be the first antkpass law en-
scted In this country. 1t had long
keen a dead letter, but was ~resurrected
by Prosecuting Attorney Harris, who
ID now pursuing members OF the legis-
.Iature and state officers for accepting
passes.
Rogers Pleads lilnsss.
The suit for S6O.00O.Oo0 damages
brought against Henry b: Rogers Of
the Standard OH company by q. NJ.
Raymond Of sSomerYille, Mass. for the
alleged conversion Of royalties In 9
Mection wifi the 5pr0duction Of oil when
il WAS brought I'M before the supreme