Mexico Missouri message. (Mexico, Audrain County, Mo.) 1899-1918, 1909-04-15
MILBuRN, OPENING sTANpARpAani
DEFENSE, SAYS RAILROADS
THREATENED INDUSTRY.
DENIES COMBINE IS ILlEGA[
Rockefeller Did Not Conceive coaiI.
tlOn, but Entered u ~ Request,
Ne says-cours to ignore
Testimony.

feher ana MS associates, at the incep-
ton OF the Standard OIL company,
were lighting for their lives and to
prevent ruin Of the entire oil Industry
OF the country, instead OF sitting down
in the shades Of the night and con-
cocting this conspiracy with whicW
they are charged" was the openiI8
shot fired by John q. Milburn for Up !
defense at the resumption "Wednesday
OF the governments dissolution suk
against the alleged monopoly OF oil i'm
terests. The trial, which Is expecteA
to be concluded Saturday evening. isN
before the United States circuit court
judges en- bane.
Milburn. In the course OF his argu-
meut reviewing the early history OF
the alleged combine in restraint Of
trade. entered denials to the charges
OF the government that the cobbina-
ton was not legal one. He touched
again on the question OF admissability
OF evidence and brought forth q state
ment from Judge sanborn, the senior
Justice, TO the effect that II II was diff
ncult for the attorneys. as Milburn
stated, to go through the 81 volumes
of testimony and weed out the incom-
petent evidence. Il was equally diff
cult for the court.
Court to Ignore Certain Testimony.
Judge sanborn said he presumed
that as no reference had been made
TO the inadmissabillty of evidence be-
fore the trial began, that Il was not
challenged. However. the court would
not take cognizance of any evidence
which II knew to be inadmissable. he
said. Under the circumstances there
was no other course the defense could
pursue as the evidence had been al
lowed, declared Milburn.
These young men had the whole
Pennsylvania railroad to fight with
its rates and favors TO other oil inter-
ests." declared Milburn. Their bat
tie was to keep Cleveland refining
section. The Pennsylvania road want
ed to shift the refining section TO an
other point. Everything was In state
of chaos. Producers were getting
nothing. every refiner was cutting the
throat of every other refiner. Rail-
roads were doing the same and get
ting rates which were unremunera-
tive. The trouble was that the refin-
Ing capacities we're three or four
times as great as the supply Of crude
oil.
with this state of affairs, a set Of
men conceived the idea OF co-ordinat-
ing the various branches OF the oil
industry so the producer, reflner and
railroads should get fair compensa.
tons. The Philadelphia and PIttsburg
refiners and several men came to
Rockefeller with this plan OF forming
the Southern Improvement Associa-
ton in 1870. Rockefeller said he con.
sldered Il utterly impractlcable; but
he consented 10 go into H. II failed.
That was the history OF the Southern
Improvement Association.
"The plan was to adjust railroad
rates, all reflners were to come In 80
that fair remuneration. for the re-
Aning system, would be established.
Such q scheme for independent peo-
pie 10 combine to protect great in-fl
dustry today would be conslderedl
criminal. We are living under the
law Of great competition. But In those
days they saw that great evils were T
coming TO the oil business and could
only be prevented in that way.
'sThe scheme realk originated with
the railroads, backed up by the re-
lneries. Standard OIL simply aasent-l
ed. But the great Excitement and the
burning OF torches and the Indlgna-
ton meetings caused e TO so TO
nnught. II never went into operation.
"Then Rockefeller and hts aaso-
ciates saw their only hope lay in
strengthening themselves in the vol.
ume Of business they transacted. The
faith Of Rockefeller amounted 70 gem
ius. II was force. He had the cour.
age Of his convictions In those early
days Of troable IN the oil business. So
the standard OIL company bought re.
fineriea IN Cleveland and increased lts
capitalization from el.000.O0o to ST.,
100000. For the relinerios half cash
was paid and the rest in stock. The
company made bona ode purchases
No one. AZ 10 alleged IN this case. was
coerced or forced 70 sell. There Il
mot a aplIa1sia ~ truth In that at{ass.f, %