Omaha daily bee., 1910-04-12
BIG TRUST CASES
TO-BE REARGUED
(contInued from First Page.l

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three years after the. filing of the petition
in the circuit. court, the four judges. who
had heen called in to pass on the suit an
nounced the decree. of-the court. - >., d;
That decree upheld nearly every eonten-
ton the government had made. 1t did.
however, dismiss some of the defendant
companies. 1t decreed that the reorgsniza-
ton of the standard oil company of New
Jersey in 1893 constituted a combination
and conspiracy in restraint Of commerce
among the states and with foreign nations,
and a combination and conspiracy to
monopolize that commerce in violation OF
sections one and two respectively, of the
Sherman antitrust act.
The principal or holding company was
enjoined from directing the affairs of the
subsidiary corporations, and the sub
sidiary corporations were prohibited from
paying dividends to the holding company.
The defendants were enjoined from en-
gaging in interstate commerce until the
Illegal combination was discontinued.
Lest the defendants get around the de-
cree in some manner the court enjoined
them from carrying the combination into
further effect either by the use of llquidat-
ing certificates given to trusees, or by an
agreement or arrangement like that ad-
judged illegal.
1t did, however, grant permission specific
ally for the distribution rotabiy to the
shareholders of the holding company Of
the shares in the subsidiary corporations.
Then the suit was brought to the su-
preme court Of the United States on the
appeal of the Standard. on account of the
great Importance OF the case It was ad-
vanced for an early herring,
Argument Last Month.
On March "a of the present year the final
argument of the case began 1t lasted three
days. For the Standard OIL the most
brilliant lawyers obtainable pleaded its
case. John G. johnson of Philadelphia
headed the list, and associated with him
were John G. Milburn of New York and
d. T. Watson OF Pittsburg For the gov
ernment Attorney General Wickersham,
in person. and Frank B. Kellogg of st.
Paul directed the fight.
The government. dWelt upon what II
termed the Standards enormous profits
and high prices the pipe lines as an aid
to monopoly numerous contracts in re-
straint of trade" railroad rebates and
determinations in connection with the al
legged monopoly by the Standard of rail-
road fabrication and various forms OF "un-
fair methods Of competition"
BASIS of Circuit Decree.
The circuit court based It's decree on the
single finding that the reorganization OF
the Standard Oil In 1899 was a violation OF
the Sherman antitrust law. In its fight
before the supreme court the government
argued that even IL this were not a vIo-
lation of the law, other acts were For
instance. there had been a continuing con-
spiracy to monopoize the trader the gov
ernment claimed In support of this con-
tention, OF existing monopoly It pointed
TO the finding of the circuit court 70 tho
effect that the Standard from 1893 to 1907
Produced more than one-tenth Of the
crude oil obtained in this country.
Owned and operated more than one-half
Of all the tank cars used to distribute its
products.
Msnufactured more than three-fourths Of
all the crude oil refined In the United
States
Transported more than four-fifths OF the
petroleum. derived from the Pennsylvania
and Indiana oil fields.
Marketed more than four7fifths 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-ffths Of all the
naphtha sold in the United States.
Sold more than nine-tenths Of all the
lubrlcatlng oil sold to railroad companies
in the United states.
Throughout the fight The reorganization
OF 1899 was the storm center. ami in de-
fense Of thet action the legal talent OF the
Standard directed It's energy.
The claim was set up that the reorganiza-
ton Of 1883 did not restrain trade by re-
dueing competition, because the properties