The evening star and Newark advertiser. [volume] (Newark, N.J.) 1907-1908, 1907-10-18
Answers Questions About
Millions TO Interests
Other Than Standard"
REPLY IS MOST PROSAIc
Says N Y. Financial Institutions
Got Great Suni..Knows Moth
ing Of "Trainor-.charge to
Expense Account" Entry.
Told to Find Out.

NEW YORK. Oct. 1S.-William G..
Rockefeller, assistant treasurer of the
STANDARD Oil Company of New Jersey.
was witness today in the Federal
suit for the dissolution of the oil COM
bine, and gave testimony regarding
the large loans which appeared on the
company's books as having been made
to Interests other than Standard"
Mr.. Rockefeller testified that these
loans had been made TO financial in
tcrests in this city.
After being sworn as witness Mr..
Rockefeller said he had been treasurer
of the Standard Oil Company of New
York for seven years and was assistant
treasurer of the Standard Oil Company
of New Jersey. Mr.. Rockefeller said
he knew nothing about the account of
James Mcdonald, who, according TO the
standards books. had been loaned
large Sums of money from 1900 to 1904
do you know anything Nabout the
Manhattan OIL Company of Ohio2' was
asked
Only what have read in the news
papers," replied Mr.. Rockefeller.
Mr.. Rockefeller said the Anglo-Amer-
lean company had sent money to the
STANDARD Oil Company of New York.
which had been paid to Mr. Mcdonald
That was all he knew concerning the
payments. he said.
THE balance sheets of the Southern
Pipe Line Company from 1899 to 1900
show that loans amounting TO many
millions were made to p. =. Trainor
and charged to expense account. Do
you know anything about these loans?'
was asked.
Il really do not answered Mr.
Rockefeller.
Mr.. Rockefeller was directed by the
governments counsel, Mr.. Kellogg, to
look up these loans and find out for
what purpose they were made.
Mr. kellogg then took UP the loan
account of the Standard Oil Company
Of New York in 1906. which reached
s32, ,761, $50
MIR. Rockefeller, l find here among
the items a loan to T. M. Barnsdale of
s7.6S0.044 What was that loan for?"
"The money was paid out from time
to time to Mr. Barnsdale at the direc-
ton of John d. Archbold. The coll
lateral was stocks and bonds of oil
and gas companies in West Virginia
and Pennsylvania. Mr.. Barnsdale lives
in Pittsburg. 1 have heard he was in
terested in the production Of oil. We
received per cent. on Mr.. Barnsdales
loans
"Of the whole loan of $32 1000, 900 made
last year what amount was loaned to
Wall Street brokers and what to in
dividuals?"
"Weli, about $19, 100000 was loaned to
Wall Street brokers and the rest to
Mr.. Barnsdale and to individuals" re-
piled Mr.. Rockefeller.
Mr.. Rockefeller said that in the sum-
ner of 1706 the amount of money
loaned in Wall Street amounted to
nearly $25,000000. He said the Standard
Oil Company of New York was in close
touch with financial interests in this
city because of its large foreign ex-
change. Mr.. Rockefeller said:
THE Standard some times has large
sums in the street and again II has
little out at interest. The collateral is
safe stock exchange securities. We re-
quire a margin Of 20 per cent. at all
times"
Mr.. Rockefeller said that the Stand
./ard ca Company of New Jersey did not
loan money in Wall Street
Mr.. Rockefeller testified that he didn't
know why.
Mr.. Rockefeller testified that he did
not know Why the subsidiary pipe lines
kept on deposit such vast sums of
money. except perhaps that it might
be used In construction work"
"But, Mr. Rockefeller, these sums ag-
gregate Millions" said Mr.. Kellogg.
Mr.. Rockefeller disclaimed familiarity
with the accounts of the pipe line COM
panies. He said he is a stocKholder in
the STANDARD Oil Company of New Jer-
sey, but that his stock stands in his
fathers name. That concluded his ex-
animation.