Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1907-09-24
STANDARD is
ON DEFENSIVE
CLAIMS INDEPENDENTS FIRST
CUT PRICES
TREASURER TlLFoRD AGAIN
TAKES STAND
AGAIN
Questions of Counsel for OIL Trust In-
dicate Octopus VIII Make Hard
Fight Against Governments
Accusation

The line of defense of the Standard
Oil company of New Jersey to the alle-
cations made by the federal govern
ment in it's suit against the company
was indicated in the hearing today
when w. H. Tilford, treasurer OF the
Standard Oil company, was cross
examined on the witness stano py
John q. Milburn, chief counsel for the
defense.
Mr.. Milburn's interrogatories to the
witness were designed to show that In
the oil fight in Colorado between the
standard and the independent COM
panies, the first to cut prices was the
independent companies and that there
were no troubles made for the 1nde-
pendent companies except those wnicn
arose from natural causes.
Mr.. Tilford explained that the reason
why the supply of crude oil had been
cut down to the sixteen, independents
in the Pittsburg field just before the
agreement was made with the stand
ard was because the oil supply in that
district was diminishing. Mr.. Miiburn
developed that the oil firm of Schofeld,
Schurmer & Teagle of Cleveland, an In
dependent company, was not forceo
into the Standards control but had
been taken over after suggestions from
the officers of the Schofields Schurmer
company.
The oues tions that adduced this tes-
timony and others put to the witness
showed that the defendants intend TO
meet the government on every point
raised in the long bill of complaint.
TiIford on the Stand
w. H. Tilford, treasurer OF the
Standard, gave further testimony to-
day in the governments action against
the company. Mr.. Tilford testified
after looking over the records on
Saturday that the Manhattan Oil COM
pany of Ohio had sold to the standard
Oil company 754 tank cars between
1899 and 1901. The purchase was
made for the Standard company by
subsidiary company, the Union rank
Line. Mr.. Tilford could not say II the
Standard made any contract to supply
certain gas companies with oil when 1t
took over the Manhattan company
GAS a matter of fact don't you know
that the Standard made contract
with the Indianapolis Gas company and
| the Peoples Ga3light and Coke COM
pany of Chicago?" Yes, such con-
! tract was made in 1S99," said Mr.. TIL
| ford.
And was not that contract made be-
cause E. C. Benedict ands Anthony N.
4 t3TdQy Nt'ttQ- wv as,S,Ai -
FOIL company unless gas companies
were guaranteed a supply of oil for ten
years?"
II don't know that the contract was
made for that reason" answered Mr..
Tilford.
'I know the contract was made for
two years."
Mr.. Kellogg asked if it was not fact
that the only stock of the twenty sub
a7ia distributed between
1892 and 1899 was 742,619 out of 972,5OO
shares, which were distributed to certain
stockholders, including John d. Rookie
Teller, William Rockefeller Henry M.
Flagler, H. H.. Rogers and fourteen
others.
Mr. Tilford said he did not know. Mr..
Kellogg said he purposed showing that
in order to avoid the injunction OF the
court preventing the voting of trustees
certificates these trustees liquidated
sufficient amount of trustees certificates
for a majority of the stock of the sub
sidiary company and that they as ipdi-
vidual stockholders still maintain control
of the company. Mr.. Tilford did not IL
illuminate the issue which Mr.. Kellogg
desired to make clear, and Mr.. Milburn
interposed that the records were suffi-
cient evidence.
May Reorganize
A representative of the Standard Oil
company said today ''The statement
that a conference of Standard Oil inter-
ests has been called for the purpose of
changing the name of the company and
affecting reorganization in general Is
without foundation. We can do nothing
in this respect so long as the company Is
under investigation.
IT can say, however, that as soon as
the Standard Oil company has freed itself
from the labyrinth of litigation now in
volving it there will be reorganization.
The capital stock will be increased to an
amount more in harmony with the value
of it's assets, say $4OO, 900 or $500, ,000 900.
1--WE also purpose to issue periodical
statements as to earnings, operations,
etc. We propose to give the government
everything in the way of information
that 1t calls for, which is all we can do.
If we are guilty of certain infractions Of
the law, then practically all other cor
porations are guilty of the same offense
and should be treated accordingly, but
we are confident we will win out.
Later in the day, after this interview
had been published, John d. Archbold,
vice president of the company, said that
the statement to the effect that the
Standard Oil company is about to confer
as to changing its name, extending It's in
corporation, and so forth, is unauthor-