Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1911-01-11
Fight AGAINST
TRUSTS READY
Government Has Standard Oil
and Tobacco Cases Set for
Early Prosecution.
(By Associated Press. !

WASHINGTON, D. c., Jan. l.
Prosecutions by the government de-
signed to accomplish the dissolution
of STANDARD Oil' and of the Ameri-
! can Tobacco organizations, embody-
ing the greatest thrust" fight of
the generation, will be taken up for
the second time by the Supreme Court
of the United States at the begin
ming of its work for the New Year.
Continuing its consideration of af-
FAIRS of government, the court will
Immediately afterwards give its at
tention to the constitutionality of
the corporation tax provisions of the
PayneAldrich tariff act.
All three cases attracted world
wide attention when first presented
to the court about year ago. With
the object of procuring consideration
by full bench, they were set for re-
argument on January 3. Interven-
Ing cases will cause a delay until
probably January 5, when it is be-
lieved the arguments in the Tobacco
case will begin. The Standard Oil
and the corporation tax arguments
will follow. About three days will
be required for each.
Antitrust Law Tried Out.
The Standard Oil and the Tobacco
cases put the Sherman antitrust law
to the most CRUCIAL test to which it
has been subjected during the twen-
ty years of its existence. The cor
poration tax cases place on trial the
power of the Federal government
over corporations. The contention
has been made that if the Standard
Oil and the Tobacco organizations are
dissolved the government will be
forced to license corporations in or
der to allow legitimate business to be
carried on. The corporation tax de-
cision may define the power of the
Federal government over corpora
lions so as to guide this proposed
subsequent legislation. Incidentally,
about $25, 100000 annually in taxes
depend upon the decision.
Although the Tobacco case is to be
argued first, the Standard Oil suit
has attracted more attention. Attor-
ney General, Wickersham has referred
to tho Standard Oil case as. probablyl
the most important that ever came !
before the court.
Oil SUR an Old One.
The Standard Oil suit was insti !
tuted in 1906 in the Circuit Court |
of the United States for the Eastern
Division of the Eastern Judicial Dis. +,
trict of Missouri. The Federal gov
eminent was the complaining party.
1t claimed that the Standard Oil Com
pany of New Jersey, as a holding
company, acquired since 1899 and
held by direct stock ownership, six
ty-fve companies. These sixty-five,
it was alleged, owned the stock of
A total of ia companies. The gov
asked that this organization
be dissolved under the Sherman anti
trust law.
A year was taken by the four
Judges in the Circuit Court to pass
On the case. BY unanimous agree
nent, decree was entered by the
court dissolving the organization,
both because it was in restraint of
interstate commerce" and because it
Was attempting to monopolize." Be-
'ore the decree became effective an
appeal carried the case to the Su-
)reme Court.
The Tobacco case was instituted in
1907 in the Circuit Court of the Unit
ed States for the Southern District
If New York. The government here,
90, was the complaining party. AL
les in the various branches of the
.obacco business, with combined as
sets of more than $500, 00O,0 900, con-
,tituted the organization which the
government sought to have the court
dissolve.
Combination Is Alleged.
The four judges each rendered sep
lrate opinions in the Tobacco case,
)ut three of them united in decree,