Heppner gazette. [volume] (Heppner, Morrow County, Or.) 1892-1912, 1909-11-25
STANDARD OIL KNOCKED OUT
Dissolution Ordered by Federal Court.
Evasion Prohibited.

st, Paul, Mimi, Nov. 23,--In al
opinion written by Judge Walter H
Sanborn Of st. Paul, and concurred in
by Judges Vandeventer,> Hook and
Adams, with a special concurrine
opinion by Judge Hook, the United
States circuit court for the eastern dis
trict of Missouri today handed down
an opinion declaring the Standard Oil
company of New Jersey an illegal com.
bination operating in restraint Of trade
and ordered its dissolution.
The opinion was filed simultaneously
in st, Louis and in st. Paul.
In this decision the government of
the United States gains sweeping
victory. According to Frank j. ,Kel,
logg, special prosecutor, the govern,
ment has won every point for which
| it contended
The decree filed by Judge Sanborn
is comprehensive and enjoins the
Standard company, its directors, Off
GERS, agents, servants and employees
from voting any stock in any of the
subsidiary companies, and from eXer-
cising or attempting TO exercise any
control over the acts of these subsidiary
companies.
The subsidiary companies are en-
joined from declaring or paying any
dividends to the Standard company and
from permitting the latter company to
vote any stock in, or direct the policy
of the subsidiary companies.
But the defendants are not prohib-
tied from distributing rateably to the
shareholders of the principal company
the shares to which they are equitably
entitled in the stocks of the defendant
corporations that are parties to the
combination.
The defendants are enjoined from
continuing or carrying into further eff
feet the combination adjudged to be il,
legal and from entering into any like
combination, the effect of which is to
restrain commerce in petroleum or to
prolong the unlawful monopoly.
The case will be appealed direct to
the supreme court of the United States,
the Judges who signed the decree are
III tlltti lHt .utlStS VI lHt I hIlcu
States circuit court of appeals, although
they were sitting for the purpose of
trying this case as the circuit court
for the eastern district of Missouri
The decree becomes eeffctive in 80
days, when no doubt a stay will be
granted for the purpose of an appeal.
When the decree takes effect, unless
a stay is granted, an injunction will
issue restraining the Standard Oil com
pany from a further continuance of
its business under its present forma
tion.
It appears from the concurring opin-
ion written by Judge Hook that the
company cannot do business under any
other form with the object of sitting
competitions He says on this subject |
that it is thought that with the end
of the combination the monopoly will |
naturally disappear, but should it not
do so and the members of the combina.
tion retire from it, except one who |
might perpetuate the monopoly by the
aggregation of the physical properties
and instrumentalities. it would consti
tute violation of the decree of the
court.
In the trial the point was made that
the Standard Oil company was a ben
Efficient corporation in that it, by rea
son of economy in operation, reduced
the price of its product This, Judge
Hook holds, can have no weight.