The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1909-11-20

CONTINUED fl j Page One.)
''Six Of the. Individual defendants
were six of the nine trustees and these
trustees issued for the stocks the title
to which was thus conveyed to them,
trust certificates of the par value Of
$70,000,000 and between 1882 and March
II, 1892, additional certificates of the par
value Of $27, 25O, 900 SO that on the latter
day there we're outstanding certificates
for 972,500 shares in the trust"
The opinion then refers to the GUST
ing of the company from Ohio in 1882,
end how en- March 81. 1892, the trust
agreement was terminated and the
stock transferred to the Standard Oil
company of New Jersey and other
= companies go that they retained the
stocks of the 20 principal companies
end these 20 companies held the stocks
in the "a other companies. There were
outstanding trust certificates for 972,
500 shares in this trust and the owners
of these certificates were the equita-
BILE owners of the stocks in all these
companies"
Division and Distribution.
The metkod of division and distribu-
ton OF these stocks adopted by the
trustees is described in the opinion and
the court continues:
But the receipt by the assignee of
bis share of the stock Of any one of
these companies was conditioned by the
terms of all of them. This method OF
distribution appears to have deferred
many of the holders of trust certih-
Gates from surrendering them and ac-
cepting their shares of the stock. The
individual defendants however, and
their more intimate associates surren-
dered their trust certificates and took
sufficient shares of the stocks to ag-
gregate a majority of the stock of each
of the 20 companies and secured to
themselves the control and management
of ell the companies in that way until
the year 1899.
an that year the defendant, the
Standard Oil company of New Jersey
corporation, was one of the 20 COM
Tranies. The par value of its capital
stock was $10.0o0,000. Its charter was
so amended that 1t was empowered to
do all kinds of mining, manufacturing,
trading and transportation business, to
acquire, hold. vots. sell and assign
shares Of capital stock and to carry on
its business in all parts Of the world.
Its capital stock was increased to
500. 600 and the stock of the other
10 companies was exchanged for the
stock of the Standard Oil company OF
New Jersey, so that the later company
succeeded to the legal title to the ma
iorfty Of the stock OF the Is companies
and thereby to the management and
control of these companies and of all
the companies which they controlled.
Henceforth in this discussion, the
Standard Oil company of New Jersey
and the companies 1t then and there
after controlled the subsidiary COM
panies.
AS q Single Person.
Between 1899 and the filling of the
bill in this case in November 1906 the
affairs Of the principal company and
the subsidiary companies have been
managed by the former as the business
of a single person. Subsidiary COM
panies have come and gone at its bid
ding, but it still holds the control of
more than 80 of the chief companies
whose management was committed to
1t in 1899. The par value of the capital
stock 90 these companies in 1899 mas
about $100, 900 900. In 1908, it was more
than $15o,000,0 900.
From 1899 to 1907 the principal
company and the subsidiary COM
panies it has operated under this
trust produced more than one-tenth
of the crude oil obtained in this coun-
try, transported more than four-f1fths
of the petroleum derived from the
Pennsylvania and Indiana oil fields,
manufactured more than three
fourths of all the crude oil refined in
the United States. owned and operated
more than one-ha1f of all the tank
cars used to distribute its products,
marketed more than fouE-hfths of all
the Illuminating oil sold in the United
States, exported more than four-fifths
OF all the Illuminating oil sent forth
from the United States, sold more
than four-fifths of all the naphtha sold
in the United States and sold more
than nine-tenths of all the lubricating
oil sold to railroad companies in the
United States.
1.-THE principal company by means of
this trust and the commanding volume
of the oil business, which it acquired
thereby, secured. and it has since exer-
cised and is using. the power to pre-
vent competition between the compan-
nes 1t controls. to fix for them the pur-
chase price Of the crude oil, the rates
for its transportation and the selling
prices OF it's products.
''It has prevented, and is preventing
any competition in interstate and inter-
national commerce in petroleum and its
products between its subsidiary COM
pantes and between those companies
and itself.
Causes Slump in Stocks.
New York. Nov. 20.-News of the
order dissolving the Standard OIL
company caused an outbreak of
liquidation on the stock exchange and
there were general declines of from