The Washington herald., 1909-02-26

New York, Feb. S.-In his article ap-
pearing in the March number OF the
Worlds Work, John D. Rockefeller
breaks the silence of thirty-ons years 70
defend himself against q tale figuring
prominently in the writings Of those who
take an unfriendly view OF him and OF ths
Standard Oh Company. ard which. II Il
were true. would represent q shocking
instance "a cruelty IN crushing a de-
fenselczs woman"
Mr.. r ,kefeiler refers 70 the Backus
purchase made by the company Of which
b was the head in ISIS. and often cited
IS example Of the relentless cruelty
Of % Standard company.
The story. as told. is one which makes
the strongest appeal 70 the sympathies.
writes Mr. Rockefeller 1t is probable
that its wide circulation and its accept
ance as true by those who know nothing
Of the facts has awakened more hostility
against the STANDARD OIL Company and
against me personally than any charge
which has been made. This is my reason
for entering so much into detail in this
particular case. which I am exceedingly
reluctant 10 do, and for many years have
TefraiHed from doing"
Widow Made Request.
8Ir Rockefeller then proceeds to. tell
how the widow Of T. Il. Backus. who had
been engaged n the iubricstiug oil busi-
ness. had personally requested Mr.. Rock
efeller 10 conduct negotiations with her
in reference 70 the purchase by the
Standard OH Company OF the property
left her by her husband This. Mr. Rock
efeller SAYS. he declined 70 Go. because
% his ignorance of the details Of tbe
.lubrcsting oil business at that-T1lss Is
advised ber II, -s7iE5 matters carefully
T before she sought TO sell her refinery. but
( when she persisted in a desire % dispose
I Of her property negotiations for the sale
F were taken Up by one Of the Standards
+ officers.
The only thing had 20 DO with it
writes 8Ir Rockefeller. was when our
I experts reported that in their Judgment
( the value Of the works. good viii. and
/ successoTship. which We had decided 10
buy. were worth a certain sum, asked
them to add S1a.eao in order 10 make
doubly sure that she received fun value.
/ The sale was consummated. as We sup
! posed 10 the entire satisfaction Of Mrs
+ BackuS. and the purchase price which
I had been agreed upon. was paid.
/ Mr Rockefeller continues 20 say that
{ he was greatly surprised shortly after
+ ward 70 receive a very unjust letter from
+ Mrs. Backus. which complained that she
was uniustly treated. The reply that he
made TO this letter the writer Of this Sc
+ ries Of memoirs Incorporates in the cur
! rent articles. IN part the letter says:
offered Restoration
Wishing TO take a liberal view Of Il
/ fthe purchasel urged the proposal OF
! paying S6e.oco. which was thought much
I too high by some OF our parties IN view
! Of what seems 70 be your present feeling
( I now offer TO restore TO you the purchase
made by us, you simply returning the
amount Of money which we have invest
I ed. and leaving Us as though no purchase
has been made.
Should you not desire TO accept this
/ proposal ! offer 20 you 100. 90, OF 80
shares OF the stock at the same price that
we paid for the same with this addition,
that If We keep the property We are under
/ engagement 10 pay into the treasury OF
/ the Backus OF Company any amount
would make the total Of Sl09ooo. and
] thereby. make the shares S1e0 each
/ Mr. Rockefeller also includes in his
! statement Of the true nature Of the trans
action between Mrs. Bacilus and the
I StqRdard Oil Company letter which
was written TO him By II. n. Backus-
/ hrotrer OF Mrs. Backus' husband, with
o1r solicitation. The letter says that Mrs
Backus thinks YOU have literally robbed
ber Of millions. and feeds her children
on that diet three times a day. more OF
less principally more. until Il has be
cozsse a mania with her. and no argument
( that any one else can suggest viii have
any effect upon her
Answers Arguments.
/ A great portion Of Mr.. Roekefeller's ar
ticIe i taken up with answers 20 the
common arguments brought TO bear
against the Standard OIL Company The
question Of dividends Of the company,
which appeared IN some Of the hearings
conducted before a referee by Special
Prosecutor Kellogg in this city 2 year
ago. IS one Of these explained by him.
He says:
Now these dividends run Up 70 % Per
cent or the capital stock Of Sio0. 90 00a.
b,.t that does not mean that the profit Is
40 Der cent on the capital invested As
/ a matter Of fact. It represents the results
Of The savings and the surplus gained
through all the thirty-lve or forty years
of The workings OF the companies
The capital stock could be raised sew
erai hundred per cent without a peEny of
! lovercapitalization or water the actual
value IS there. II this Increase had beer
made. fhe rate would represent 2 mod
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