The Caucasian. (Clinton, N.C.) 188?-1913, 1912-01-04
A SPLENDID RECORD
The Prosecution of Trusts add
Unlawful Combinations
During 1911
FEDERAL AUTHORITIES BUSY

While the stale cos~rum~as HAs
iaoae Nothing to Curb the Trusae-
During the Y~ar 1911 the Nasaoaaal
Republican Administrator Has
Made a Wonderful Record for the
Enforcement of the sherman .anti-
Trust Law and ether Reforms.
The most interesting. and. per-
haps. most important. OF the federal
activities OF the year has been the
Gorernnent's wcli-dsfined dixposl-
t!cn - subject the vast business coxn-
h'na'!ons Of the country 10 the test
Of the Sherman anti~trus; measure
The year was in It's fourth dsy
ahen the Government brought suit
under the Sherman act 10 dissolve
the Atlantic steamship combine. Five
days later. the re-argument OF the
Governments suit 10 dissolve the
american Tobacco Company was be-
gun in the United States Supreme
Court. and the suit 10 dissolve the
Standard oil Company was brought
up for re-argument three days after
wards. May 18th the court unani-
uously declared the Standard oil
Company. to be a combination In re-
s1raint Of trade and ordered its dis
solution within six months. Two
weeks later the court upheld the
Governments contention, that the
American Tobacco Company was a
combination in violation OF the Sher-
man law and ordered its dissolution.
On October 18th the company filed
with the United States Circuit Court
of the Southern District of New
York, as directed by the Supreme
Court. its plan OF dissolution by
which it proposed to surrender its
monopoly of both the domestic and
the foreign tobacco trade and bring
about lawful conditions.
On November Sth, with a few
slight notifications suggested by the
Attorney-General of the United
States, the Circuit Court handed
down an opinion approving the COM
pany's plan. This plan, In brief. d.
vides the business among fourteen
separate and independent compa-
nies, no one of them having control
of or dominance in the trade as 10
any of the products manufactured by
it; no one of them having any domi-
nance or controlling position as TO
the purchase of raw material of any
kind: no one of them having any in
terest, by way Of ownership or stocks
or otherwise, in any other of them.
and each OF them being a company,
ed under the plan, in which the
American Tobacco Company will
/ have no interest" For each share
of stock in the tobacco trust each
/ shareholder will receive so many
/ 401 ,S24th Of share of a subsidiary
/ On November 18th it was an
nounced that the splitting up OF the
| subsidiaries of the Standard OIL
/ Company of New Jersey had been
completed and that the stockholders
/ fractional lots were ready for distri-
/ button. For each share of stock In
the holding company, a stockholder
/ received so many 9S3,3S3ds OF
share Of each subsidiary.
Following the dissolution OF the
trust, John D. Rockefeller resigned
as president and director, and all the
other Rockefellers likewise resigned
their Official positions. The stock
control, however, remained unchang
ed. John D. Archbold now heads the
Standard Oil Company.
Another trust which came 70 an
end during the year. as a result OF
government prosecution, was the Ma
tinoal Electric Lamp Company. the !
holding concern for the General Elec /
trio Company and thirty-five subsidi |
aries, and controlling practically tbs
entire trade of the country fn wha' /
are known as carbon fIament' !
lamps, of which more than $4,000.
900 are known as carbon flament' /
Standard Oil and Tobacco decision |
were handed down the electrical peo /
pie indicated their desire to submit /,
to decree. By Il the Nationa
Lamp Company and all OF the susi /
daries are ordered dissolved and tn /
General Electric Company IL forbid /
den hereafter TO conduct any busi
ness in the manufacture or sale
electric lamps except In its ow1 /
name. Freedom OF competition l. /
the future Is insured. first. by put
ting an end to the practice OF fxin /
the resale prices, wholesale or re
tail, on all lamps manufactured; ser /
ond. by forSidding all contracts wit /
dealers. jobbers, or consumer
throug which IL had been possible l.
continue the monopoly In certal
styles OF lamps long after the pa
ents on them had expired: and, thirf
by enjoining the companies from en
tering into agreements by which in
dependent manufacturers OF parts o