The Republican journal., 1908-12-03
Witho ut Morphine or
Dangerous Drugs, Cures
Colds and all Throat and
Lung Troubles, Prevents
Pneumonia. so Years in
Use.
STANDARD OIL SECRETS
MIR. Rockefeller Reveals Many on the
Stand


NEW YORK, November 26. Since the
hearing in the case OF the government
against the Standard Oil Company was
resumed on Wednesday, November 10,
six sessions have been held, thousands of
words Of testimony heve been taken
and two witnesses have been examined.
These witnesses, John D. Rockefeller,
president of the trust, and John D. Arch
bold, vice president, were called by the
corporation lawyers.
The former was subjected to search
ing cross-examination at the hands of
Chief Prosecutor Kellogg of the federal
forces, many hidden secrets of the COM
pany were laid bare, and many facts
were established for which the prosecu-
ton has long been on hunt. The more
salient facts brought out during the six
sessions are hereby presented:
1t was established that the Standard
Oil Company was not pioneer in the
Oil field. 1t was not the first discoverer
of oil, it was not the first builder of
barrels in which the oil was transported,
nor the first to attempt pipe line trans
portation or tank storage. 1t reached
its present prosperity by borrowing vast
sums at low interest and buying and i'm
proving the holdings of weaker corpor-
ationS.
AS member of the firm of Andrews,
Clark & Co, John D. Rockefeller started
in the oil business with $4,000; that the
business progressed, until in 1907 alone
the profits amounted to $50, 0O0 600, be-
hind which was reserve fund of $500,
900, 900. In eight years the earnings
amounted to $57, 100000. Dividends in all
amounted to 1891 ZOO, 900.
Enormous sums, sometimes as high as
S32, 600, 900, have been kept in Wall st
and loaned on stocks and bonds. By
adroit questioning Mr.. Kellogg drew out
the fact that the present stock of the
Standard is 1893, 33S, 600, Mr.. Rockefeller
himself began as a personal borrower,
getting $4,000 with no other collateral
than his rudy cheeks and frank man
ner from T. H. Handy. a banker Of
Cleveland.
No sooner had the Standard oil com
pany become prosperous than it watered
its stock. In 1882 the appraised value
of the properties of the various compan-
les was $55, 710,6S8. Immediately trust
certificates were issued for $40, 900, 900.
1t was established that the Standard
began buying up oil-producing proper
ties in 1893, shortly after the ''shut-in''
movement, and that it joined with others
in attempting to restrict the production
and failed. 1t now produces IA, 052, ll3
barrels annually, or II percent of the
country's total. Of the country's con-
sumption the Standard consumed 64,..
95S, 300 barrels out of the total national
production of 126, 900, 900 barrels.
1t developed that Mr.. Rockefeller was
not in favor~ of his company placing
enormous sums in Wall st to be loaned
on collateral, but he seemed to have no
objection if the amount was not larger
than $23, 900, 600 or therebouts.
Some interesting facts were discov-
cred as to the ''oil kings" personal in
vestments He admitted that his securi-
ties included stocks and bonds in rail-
roads, but could not name all of the
corporations in whose stock he had in
vested He was sure that he had not
ventured to put his money in E. H.
Harriman's Union Pacific and Southern
Pacific railroads, which have lately en-
joyed substantial rise.