The San Francisco call., 1910-03-17
SEES NATIONAL
SCANDAL IN OIL
TRUST HISTORY
Attorney General Wickersham
UphOIds Decree of Court to
Dissolve Corporation
Defense Denies Monopoly and
Likens Competition to Sher-
mans Word for War

NASHINGTON, March 1e-Final ar
gument Of the government suit to dis
solve the Standard oil company of New
Jersey as a conspiracy and as mo-
nopoly in violation OF the sherman
antitrust law was made today and
the supreme court took the matter
under consideration.
Rules of the court prohibiting spec
tstors standing in its presence were
stood around the wall of the room.
Not in years have so many persons
been packed into the little chamber.
II fell 70 Attorney General Wicker
sham, on the side of the government.
and 70 John @. Johnson, for the de-
tense, TO make the closing remarks.
In addition. .. T. Watson, another
standard oil counsel, addressed the
court earlier in the day.
WICKERsHAM SCORES OCTOPUS
Wickersham said in part:
7 can well understand the desire
OF the defendants 10 cast a veil of
oblivion over the past, but what
does the court hold2
II holos that the acts previous to
1890 did not violate the Sherman
antitrust law. because this law
was not passed until 1890. But it
did say those acts had been con-
sldered as evidence of con-
unulng conspiracy
He then considered the early history
OF the Standard oil as throwing light
on the combination of 1899, and said:
II brought one of the proudest
railroads IN the world to its knees.
II compelled terms never be-
fore heard of in the world. 1t not
only required rebates on its own
shipments, but ii levied tribute on
the shipments of its competitors.
What wonder 1T grew! What
wonder IL became richi 1t grew
richer and richer until IL became a
national scandal: until the courts
and the legislatures were appealed
10. Then and only then did II con-
sent that the railroads might carry
other peoples business on the same
- terms as its own That was the
period OF acquisition Milburn told
you about Monday.
ATTEMPT TO LIMIT COURT
Watson. who began his argument
late yesterday, undertook to convince
the court. If possible, that the only
act OF alleged conspiracy before it was
the combining of corporations in 1899.
This was the only act the circuit court
of the United States for the eastern
district OF Missouri had decreed against
and, as the government had not ap-
pealed, he argued that the supreme
court could consider none of the other
alleged mOnopolistic activities talked
about by opposing counsel
Scarcely had Watson taken up the
thread Of his argument when Justice
1fcKenns interrupted:
DO you say there is before this
court only the question of combining %
efNnrhf1r- hefnre nnThine
ing, replied the counsel. The lower
court put the case purely and simply
on that fact"
Why did they decree the distribu-
tion Of this stock?" insisted Justice
McKenna-
SECURITIES CASE QUOTED
~Ah. that's what / want to know
said Watson. They said they did so
because you ordered them to do so in
the Northern Securities case"
Watson then went on to argue that
fhe Northern Securities case did no
such thing
Justice McKenna asked: do you
mean that facts recited in the decree
by the circuit court are the only ones
before us?"
-'Oh, no." said Watson. adding that as
the government had not appealed from
The finding Of fact in the opinion and
=
now to bring up other things the court
did not pass on.
Justice Harlan suggested if there was
8 question Of disputed fact, the court
would have to go into the record.
1t Will take you six months, then.
10 read those 10000 pages" suggested
Watson.
The closing address by johnson was
partly a reply TO Wickersham He paid
his rlirnnnfS 70 ~ L
author OF the petition of the govern
Inent. on which the decree of dfsso-
luton before the court was based.
REFERS TO WITCHES CAULDRON
johnson told the court the petition
reminded him of the contents of the
witches cauldron in Macbeth. as if an
peared 10 have been made up of q col
lection from the scrapbooks of disap-
pointed oil producers and ''magazinjsts
female or otherwise" The best part
about it, he told the court. was that il
ended with 2 prayer.
Johnson interpreted what he desig-
mated as "the new doctrine of potential
competition" as an attempt to require
each individual TO compete with him
self
Turning TO another phase of the
controversy, he asked:
How on earth could we monopo-
--zV t-C ulo-l u LaSlOie Ol Ienneo oil.
Wnen we control only IL per cent
Of the crude oil output?
But they complain with our enor-
nous amount of wealth we drive
our competitors out of business
Are you going to conduct busi-
ness on the race track principle
and put a handicap on the man
who possesses wealth? Are YOU
going TO taboo wealth?
SURPRISED BY INIQUITIES
With a sarcastic smile on his face
as he walked back and forth before
the bench Johnson expressed his sur
prise that such iniquities as had been
complained OF existed in this country.
and said:
We do have pipe lines We do
nave engines and boilers, but is
that any reason why our competi-
tors should get heat and steam from
us2 There is no federal law re-
curing that thank Cod as We.