Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1910-03-16
STANDARD OIL
NATIONS DANGER
Big Corporation Called This and Other
Bad Things By Frank B.
Kellogg.
COMPANY MUST BE ERADICATED
Federal Attorney Says Organisation
Must be 0usted from Business.
BLACK FLAG WAVED BY JOHN D.
Men Likened to Pirates During Gov
ernment Argument.
MILBURN DEFENDS CORPORATION
OIL Lawyer Claims Matter Of Profits
Has Been UniustIy Computed
Federal Attorney Says Organization
Must be 0usted from Business.
BLACK FLAG WAVED BY JOHN D.
Men Likened to Pirates During Gov
ernment Argument.
MILBURN DEFENDS CORPORATION
OIL Lawyer Claims Matter Of Profits
Has Been UniustIy Computed
and That Uncle Sam Favor
is Too Great.

WASHINGTON, March 15.-Holding up
the Standard Oil company Of New Jersey
as a danger to the country and its organi-
zaton as a commercial precedent that must
be eradicated from the business world.
Frank b. Kellogg today arraisned the cor
poration before the supreme court OF the
United states with all the power Of his
eloquence.
1t was the governments turn to be
heard I'm the argument over the dissolu-
ton of the company as decreed by the
circuit court Of the United States for the
eastern district of Missouri
Black Flag of Rockefeller.
They have waved the black flag over
the land as others have done over the
ocean. DO / deny they have demonstrated
their ability? No. They have competed
with an ability unequalled in this coun-
try"
In these words Frank b. Kellogg. for
the government, srraigned the Standard
Oil company before the supreme court of
the United States today in the second
days argument of the case for the disso-
luton of the New Jersey corporation as
decreed by the United States circuit court
for the eastern district of Missouri.
with it's ramifIcation, it's money power,
give 1t carte blanche, let 1t combine. as Mr..
Watson suggests, and let It cut prices as
Mr. Milhurn speaks about and i predict
T. will control every industry in this coun-
try in ten years, yes, in five years"
Hits Big Corporation.
What makes great country" he asked
mot great corporations. 1t is the indivi-
dual; the independent proprietor with the
star of hope that has always been held
out to men before him. Your honors. It Is
but step from combination to socialism
and but another from socialism to anarchy"
Except about twenty minutes that John
Mllburn consumed at the beginning of the
sitting in the conclusion OF his opening
address and about equal length OF time
occupied by d.. IT. Watson at the close of
the day. both in defense OF the Standard
OH, all the time was taken up by Mr.
Kellogg
His object was to give history Of
the Standard oil and its activities, which
he characterized. as monopolistic, but fire.
quently he was led off into the law of the
case He seemed inclined to leave many
Of these points for the discussion of At
| torney General Wickersham who is to
close the case for the government tomor-
| row. Particularly was this true as to
the point of common ownership of Standard
OIL property urged by the defense to have
existed both before and after the organ
ization Of the alleged Illegal cobination of
! 1899.
Court Interested in Ownership.
Time and again the court manifested it's
keen interest in the case by subjecting the
counsel before 1t to a series of queries.
| They were particularly anxious to know
about the common ownership claimed by
the Standard OIL counsel and to get the
| various interpretations OF the meaning
which should be given to monopoly, as used
/ in the Sherman antitrust act
: The day brought out a shorp conflict
of purposes by the government and tho
Standard Oil. Mr. Kellogg on behalf Of
the government dwelt upon the activities
of the corporation with a view of at
tempting to prove an intent to monopollze,
in addition to the reorganization OF 1899.
On the other hand. the Standard OH
/ counsel contended that such matters we're
not before the court for review. The only
question they claimed was whether the
alleged illegal combining of 1899 was a
violation of the law as held by the lower
court. This they base on the fact that
the government did not appeal from the de-
oision of the lower court. The plan to-
| nlBHL - TOT mF. watson 10 continue his
address when the court meets at noon
tomorrow. He is followed by Mr.. Wick
ersham for the government while John G.
Johnson is to close at the end Of the day
for the corporation.
Milburn Defends Corporation.
| Mr.. Miburn devoted himself to some OBJ
servations on the income of the Standard
OIL. He complained that the government
unjustly computed the percentage Of per-
mits on the original capital. He argued
that capital assets had been the basis of
this computation. This would show the
net profit to be 25 per cent per annum
during the years 1SOO-lsO6 when there was
such great development OF the by
products. He also spoke briefly of prices.
claiming the tables he presented showed
there was no arbitrary action.
This company has been under search
as no other concern has ever been" said
Continued on Second Page)