Perth Amboy evening news., 1911-05-16
TO PROSECUTE
STANDARD OIL
Continued from page II

Once before the institution Of the
present suit the Standard on company
was dissolved by the courts and forced
to rsorganize. This was In 1892. when
the company was an Ohio corporation.
As a result Of the reorganization the
Standard OIL Company Of New Jersey.
against which the present suit was
aimed, was formed.
TIE present suit against the Standard
on Company Of New Jersey was fled
by the government on Nov. 10. 1905,
by Attorney General Moody under the
direction Of President Roosevelt. The
form the suit took was a petition in
equity against the Standard OIL Com
pany Of New Jersey and It's seventy
constituent corporations. It was filed
In the United States circuit court at
St Louis. The fling Of this sult
came six months after Commissioner
Of Corporations Garfield had made &
report on the company to the presi-
dent, declaring it to be a monopoly.
In reply to this report the company in
a long statement made to its stock
holders on May 10, 1905, declared that
1t was a "palpable absurdity' to call
the company q monopoly,
In it's fight against the government
the company employed such legal
lights as Moritz RoseBthal of Chicago,
John G. Milburn Of this city, John G.
Johnson of Philadelphia and many
others. In January, 1907, the com
pany, through its lawyers, tried unsuc-
cessfully to have the service revoked
On all the companies except the one In
Missouri, the Waters-Pierce OIL com
pany, on the ground that the others
were nonresident. This was over
ruled, as were also many exceptions
which the company subsequently fled.
Nov. 20, 1909, Judges Sanborn, Van
DeTantsr, Hook and Adams Of the
federal circuit court of appeals hand
ed down their decision in st. Louis, In
which they held that the company was
In restraint Of trade and stihed com
petition In violation Of the antitrust
law. This decision was unanimous on
the part Of the four judges, the opin-
Ions being written by Judge Walter Il.
Sanborn. There was a separate IN
curing opinion by Judge Hook.
Standard Oil stock on the receipt OF
the news Of this decision fell ten
points, reaching 800. Steps were i'm
mediately taken by the lawyers for
the company to take the case to the
supreme court, and on March 10, 1910,
n aarta IN +ha ornna1 haran knrora
that tribunal in Washington. Attor-
ney General Moody had become a
member of the court himself at this
time, but did not sit in the case.
1t has been estimated that the assets
Of the Standard Oil company, which
the highest court has now ordered TO
be dissolved, amount to 100000 900 In
plants and properties. Since the COM
pany took owe the stocks Of the vari-
Gus subsidiaries 1t has lever issued IN
nual reports, and its earnings have
never been made public, except when
brought out in court proceedings. For
the last seven years It has paid dlvi-
dends of $40 q share. In 1900 and 1901
1t paid S48 a share, Its lowest diyi-
dend was 80 per cent in 1904. These
dividends were paid on an outstanding
capitalization of $~98,938,000. While
the capitalization Of some of the sub
sidy companies has been increased, no
change has been made In the holding
company's stock, though about the
time Of the beginning of the govern
ment suit it was reported that such a
plan was in contemplation. Serious
consideration of such an increase,
however, was put over until the re-
suit of the suit was known.