The Birmingham age-herald., 1909-04-06
KELLOGG'S ATTACK
 ON STANDARD OIL Special Attorney Files a Brief
 of Great Length TWO YEARS PREPARATION Attorney Tells of Profits of Standard Oil Company and Will Try to Prove
 That These Were Made
 By Illegal Methods.
TWO YEARS PREPARATION

St. Louis, April 5.-For the first time in the courts of this country a President of the United States was quoted as a prevailing legal authority today, during the close of Special United States At torney General Frank B. Kellogg's argu- ment in the United States circuit court in the governments case to dissolve the Standard oil company of New Jersey as violator of the Sherman act. MT. Kelolgg read at length from a de- cision rendered by the President when a judge, in the Addiston Pipe case in Cincinnati, the issue in the case involved being an alleged restraint of trade. The federal lawyer hurried through his argument today in very rapid man. her, promising to conclude his opening remarks at noon tomorrow, leaving his associate, c. B. Morrison, to finish with an argument covering the alleged un- fair competition of the defendants. As one of the four judges of the court is to leave St. Louis Saturday, MT. Kel- logg will insist on the defense complet- ing its argument by Friday evening. This would leave John G. Milburn of New York. Mortiz Rosenthal of Chicago, John
 
 Watson of Pttsburg but two and a half hours each to open their defense with Friday for the Standards concluding argument and Saturday for MT. Kel- logg's. This the defense will bitterly op- pose. In all likelihood the arguments will run well into next week, as fully five days will be required by the de- fendant's lawyers in stating their de- fense. t
 kelloge's Brief.
 United States Attorney General Frank B. Kellogg filed his brief of 1400 print ed pages with the clerk of the United States circuit court of this city and com menced his argument, after two years of evidence taking, in the governments suit to dissolve the Standard Oil cor poration of New Jersey for alleged viola ton of the Sherman act.
 The argument was heard by the full circuit court bench, Judges Sanborn, Wander Venter, Hook and Adams. With MT. Kellogg for the government was Assistant Attorney General c. B. Mor- rison of Chicago, who will argue certain phases of the case. The defense had half score of counsel present. including it's principal attorneys, Messrs. Milburn of New York, Rosenthal of Chicago, John- son of Philadelphia. and Watson of Pitts burg. The importance of the case to lawyers and laymen alike resulted in crowded court room.
 To tell more clearly the story of Stan dard oil, MT. Kellogg divided the alleged conspiracy into three periods-the first from 1870 to 1882, when 1t was, he said, simple combination acting in harmony with its stock interests pooled in the hands of three trustees From 1882, con- tinued MT. Kellogg, to 1899, the defendants infarn9fo in hn af 4,-,,c controlled by three trustees. This trust, declared illegal-by the Ohio courts, was liquidated, and from 1899 to the present time said MT. Kellogg has taken the form Of holding company, the Standard oil company of New Jersey controlling sub- sidiary corporations in alleged restraint of trade and otherwise.
 Profits In Oil.
 Following recess, MT. Kellogg told of the wonderful profits of the Standard Oil company. For the ten years ending with 1906 the concern had earned, he asserted, the comfortable sum of S59S, ,226,525 on a capitalization of S97, ,250,000.
 The Standard Trust and the Standard oil company had paid dividends of $54S,- 436,446 between 1882 and 1906.
 And yet" exclaimed MT. Kellogg "Mr Rockefeller, while. on the witness stand, talked of hazard of the business"
 lndL the ueIenQant 8 prO1tS had aver aged about cents gallon for ten years was another of MT. Kellogg's assertions. Between 1903 and 1907, he said, the prices of oil and gasoline had increased from 8 to 65 per cent
 The only place where oil is cheap is where independents sell it," observed MT. Kellogg, ''and if this court gives the Standard oil company carte blanc to do as it pleases there will not be an inde- pendent company in this country in two years"
 The attorney next took up the defend- ants transportation properties, consisting of its pipe line systems and discussed the various state requirements that made the pipe lines common carriers. The state line terminals between New York, Pennsyl- vania, and New Jersey, Mir Kellogg in- sisted had been so arranged that a com- mon carriage by independent shippers was impossible. One pipe line was cited which cost, according to the Standard Oil com pany's books, he said. $S4,OO0 to construct, and it was earning an annual dividend of $1,250,000.