The Vinita daily chieftain. [volume] (Vinita, Indian Territory [Okla.]) 1902-1913, 1910-04-12
Brief Resume of Prosecutions of What is Styled
America Most Powerful "OctopLs" First
Fight Directed Against Standard of Ohio
Was First Assignment for Luestiga-
tiOn by Bureau of COrpOrations.--
Case is Now Pending in
United States Supreme
Court.

in the circuit court, the four judges
who had been called in to pass on
the suit announced the decree of the
court.
That decree upheld nearly every
contention the government had made.
1t did, however, dismiss some of the
defendant companies. 1t decreed that
the reorganization of the Standard
Oil company of New Jersey in 1899
constituted a combination and a con-
spiracy in restraint of commerce
iamong the states and with foreign ma.
tions, and combination and conspir-
lacy to uonopolize that commerce in
lviolation of sections one and two re-
lspectively Of the Sherman antitrust
lact
The principal or holding company
Twas enjoined from directing the af-
fairs Of the subsidiary corporations,
and the subsidiary corporations were
prohibited from paying dividends to
the holding company. The defendants
lwere enjoined from engaging in inter
state commerce, until the Illegal com
lbination was discontinued.
Lest the defendants get around the
decree IN some manner the court en-
Joined them from carrying the CON-
lbination into further effect either by
the use of liquidating certificates given
to trustees, or by an agreement or ar
arrangement like that adjudged Illegal
1t did, however, grant permission
specifically for the distribution rata
IDLY to the shareholders of the holding
ccmpany of the shares in the subsid-
liary corporations.
Then the suit was brought to the
supreme court of the United States
on the appeal of the Standard. On ac-
count of the great Importance Of the
case, it was advanced for an early
hearing.
On March IA Of the present year, the
final argument of the case began. 1t
lasted three days For the STANDARD
Oil. the most brilliant lawyers obtain
able pleaded its cause. John j. Jonn-
son, of Philadelphia, headed the list,
and associated with him were John G.
Milburn, of New York, and d. T. Wat.
son, of Pittsburg. For the govern
ment, Attorney General Wickersham
in person and Frank B. Kellogg, of st.
Paul, directed the fight.
The government dwelt upon what it
termed the Standards enormous pro-
fits and high prices, the pipe lines as
an aid to monopoly, numerous con
tracts in restraint of trade" railroad
rebates and determinations in con-
nection with the alleged monopoly by
the Standard of railroad fabrication
and various forms of unfair methods
of competition"
The circuit court based its decree
on the single finding that the re-or-
ganization of the Standard Oil in 1899
was a violation of the Sherman anti
trust law. In its fight before the SUI
preme court the government argued
that even if this were not violation
of the law, other acts were. For in
stance there had been a continuing
conspiracy to monopolize the trade,
the government claimed. In support
of this contention of existing mOr-
opoly, it pointed to the finding of the
circuit court to the effect that the
Standard, from 1899 to 1907:
Produced more than 1-1O of the
crude oil obtained in this country.
Owned and operated more than 1-2
: of all the tank cars used to distribute
its products.
Manufactured more than "a of all
: the crude oil refined in the United
States.
Transported more than 4-5 of the
petroleum derived from the Pennsyl-
: vania and Indiana oil fields.
Marketed more than 4-5 of all the
Illuminating oil sold in the United
States.
, Exported more than As of all the
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