Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-11-26
STATES OIL KING ACTED
IN. PHILANTHROPIC ROLE
Did Not Solicit Consolidation of
T. Mesaba Ore Properties.
ENRICHED MANY OF DEBTORS
Carried Their Loans for Years on
Request and Paid the Mer-
ritts Par Value for All
Stock.

NE" YOEk, November H.-I have
to say that not one syllable Of the words
which Leonidas Merritt put In my mouth
was ever uttered by me- declared the
Rev. Frederick T. Gates. in q statement
issued late today replying to the testi
mony given by Merritt recently before
the Stanley investigating committee.
with all the emphasis I can command 1
wish to deny these outrageous charges"
Mr.. Gates statement was issued. as
was John D. RockefeIler's. on Thursday
evening, from No. 26 Broadway. In 1t
the man whose name figured SO largely
in the testimony Of the Merritt brothers
regarding the manner in which Mr..
Rockefeller gained control Of the Nesaba
ore properties and the railroad to de-
velop them goes much more into detail
than did Mr.. Rockefeller In his reply to
the charges.
Mr.. Gates says that while the Merritts
were testifying before the Stanley COM
mittee he was on an inspection tour
Of the Western Maryland railroad and
only this morning received a stenographjc
report Of the Merritt testimony. After
registering his emphatic denial. Mr..
Gates continues:
Same Denials Years Ago.
II have further to say that not ons Of
the wrong acts which Leonidas Merritt
says Mr.. Rockefeller committed or that
committed in his behalf were ever done
by either Mr. Rockefeller or me. and both
Mr. Rockefeller and on oath denied
all the wrong acts specifically and in de-
tail eighteen years ago. / need not add
that every one Of the Mefritts who had
made the charges or had Joined In max
sins them Withdrew the charges over his
r. rsR RasS ss s ass1ass ss Ms. vsn
Associated Press from this ONCE only
day or two agc,
But wish once more, specifically. and
with all the enphasis can g. Sommaad e I'D. 70
those outrageous charges Of Leonidas
Merritt L0antdas Merritt wael never In
vited ito come 70 New York by Mr..
Rockefeller or hts agents When Mr..
solicited by Mr.. Rockefeller or his agents
to remain In New York. Neither Mr..
Rockefeller nor his agents ever solicited
Leonidas Merritt or any one else to
unite In q consolidation Of iron proper
ties,
Never Dunned the Merritts.
'The consolidation was conceived and
effected by Mr.. Merritt and his friends
without solicitation from Mr. Rockefeller
VI AilS OtISc. H11. ISOCACLClCk ucScA aidac
demand or call loan OF any kind to
Leonidas Merritt or any Of the Merritt
brothers. All the loans made oy Mr..
Rockefeller to the Merritts were time
loans with specific dates of maturity
named In the notes, and neither on the
dates Of maturity nor any other time did
Mr.. Rockefeller ever demand payment
for these loans. They were permitted to
run on indefinitely. At no time was Leon
idas Merritt told that he must pay these
loans either In twenty-four hours or on
any other date. Not the slightest pres
sure was ever put upon Merritt or any OF
his brothers at any time to pay their
loans Mr.. Rockefeller was perfectly
willing to carry them. They know Well
that the pressure upon them came from
other creditors Of long standing-not Mr..
Rockefeller"
Mr.. Gates says that Mr.. Rockefeller
accepted an offer from the Merritts in
February. 1894. to sell 10000 shares of
stock for 100000 and gave them an
s per cent sInore than half the stock"
The Merritts, he adds. were so pleased
that two weeks later they urged Mr..
Rockefeller to buy $4,000 shares more
at the same price. which he did. fact
Mr.. Gates says to which the Merritts
had forgotten to testify
"If the Merritts felt" continues Mr..
Gates, that they had made q mistake
in selling this stock to Mr.. Rockefel-
Ter at SO why did not they go into
the market as they could have done
any time during 1894 and 1895 and re-
couped themselves by buying the stock
for less than $40. or why did they not
exercise their option to buy back from
him at $10T'
Enriched by Philanthropy.
Mr.. Gates goes on to say that Mr..
Rockefeller failed to extend the option Of
the Merritts from year to year because
they never asked him, but, instead, be-
gan q 'baseless'' suit against him. Two
Of the Merrttts," he says, however. land
likewise several Of their most intimate
friends in Minnesota and elsewhere to
whom Mr.. Rockefeller had also loaned
money and were not In position to pay,