New-York tribune., 1911-01-17
ASSA|LS STANDARD OIL
Mr.. Wickersham Asks Supreme
Court to Dissolve 1t.
ARGUMENT NOT FINISHED
The Attorney General and John
G.. Johnson Will Continue Oral
Presentation To-day.

ITGSeUbdbloli AO-e"J'
Washington, Jan. 16.-DeclaTlng that the
reorganization OF tho Standard Oil COM
pany OF New Jersey In 1899 riveted tosether
the control OF the subsidiary companies In
way that had not existed BEFORE Atlor-
ney General Wickersham to-day argued
before the Supreme Court OF the united
States that the defence put up by the
| Standard OIL Company against dissolution
| fell 10 the ground. 1t was the third day
of the oral argument Of the case.
Frank B Kellogg had concluded his long
argument in favor OF the dissolution as de-
creed by tho Circuit Court Of the United
States for the eastern district OF Missouri
u. T. Watson, OF Pittsburg, had centred an
attack on the form and effect OF the decree.
Mr.. Wickersham was then called upon to
| close the argument for the government. He
did not conclude. but will complete his ar
| gument tomorrow. when John @. John
son viii finish the presentation Of the en-
| tire case
The address Of Mr.. Watson paved the
wav for Mr. WickeTsham's remarks Mr..
Watson made the decree Of the lower court
the topic for his remarks. He said that
the Circuit Court held that the defendants
had done nothing after the passage Of the
Sherman antitrust law TO violate It, but
TO convey the properties held FOR years by
! n lawful body OF men TO the Standard oil
Company Of New Jersey.
Are the federal courts to sit by the
avenues OF interstate commerce" inquired
SIR. Watson. ito pass on the conveyance OF
propertles?'
He declared that the Standard OIL did
conveyance
I'VE didn't put any allen property in the
new organization" no said. "Only Joint
property was changed from the trustees 10
| a corporation. Pray tell me how the Stand
ard OIL Company OF New Jersey could re-
strain trade by such a conveyance"
Mr.. Watson contended that the proper
ties conveyed were non competitive before
1899 and remained exactly as they had been
after that year The reason he advanced
for the Circuit Court holding that the con-
veyance was Illegal was that It believed II
| had 10 follow the decision OF tho Supreme
Court IN the Northern Securities case.
But the Standard on case, Mr.. Watson
argued, differed from the Northern SecurI-
ties suit. In the latter the railroads. owing
a duty to compete, and engaged IN active
and actual competition, were concerned. In
| the former case there were concerned trade
companies owirg no duty 10 compete and
not in competition with one another be-
cause of their common ownership.
A second point that Mr.. Watson argued
was that the decree practically confscated
property. because It did not allow the sub
sidiary companies 10 pay dividends 70 the
| Standard OIL Company o, New Jersey and
| that the stock OF the company became prac-
| tically worthless
1T Is gratifying to believe" said Mr..
| Wickersham, following Mr.. Watson. that
! the defendants will at least. find some diff
| fculty In evading the decree of the lower
court, II It Is affirmed"
/ Mr.. Wickersham took up the defence az
the decree, telling the court that tho court
below had held that a conspiracy 10 re-
strain trade had been found and that the
J conveyance OF 1899 was made I'm pursuance
Of that conspiracy. After reviewing the
I history Of the Standard OIL Company to
support his claim that It's organization just
preceding the reorganization Of the Stand
ard Oil Company OF New Jersey, In 1892,
was illegal, Mr.. Wickersham answered Mr..
| Watson's question about the effect of the
step in 1929.
The effect was 10 rivet the control OF
one hand over the twenty companies,
control that neither death. taxes nor finan-
| cial ruin could rend Before. the separa-
| ton of the stock of one OF tho certificate
holders would have disintegrated the con-
troll. BY this reorganization. perpetual
! immortal element was accorded TO the con-
/ troll"
Chief Justice White asked the Attorney
| General TO test what he had been saying
by an illustration. Before Mr.. Wickersham
could comply fully with the request to
show how a more effective, perpetual con-
troll had been procured, the chief justice
! said that he had mlsconceived the state
ment, but that he then grasped the idea
/