Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1912-09-29
MOTHER COMPANY STILL CON
Trolls THE MINOR COR
PORATION.
MANIPULATE Pipe Lines
Pipe Line Used for Benefit Of Sub
salaries and for No Other
Companies.


that both the spirit and letter Of the
decree dssolying the Standard on
company OF New Jersey are being
violated. were sent to the depart
ment Of justice today by $. W, For
dyce, counsel for the Waters Pierce
OIL company.
The charges are contained in a
memorandum submitted by Mr., For
dyce and are based on testimony ad-
duced at hearings in New York and
elsewhere In the litigation involving
the right Of the Standard OH TO name
officers and directors of the Waters
Pierce OH company.
80 far as We have proceeded with
our testimony" declares Mr.. Fordyce,
I'VE have shown that every subsd-
airy company Is absolutely dominated
and controlled by the majority own
ers OF the stock OF the Standard Oil
company Of New Jesey and that the
same men who were put in these
subsidiary companies at the time Of
dissolution by the leading men in the
New Jersey company were all re-
elected at the subsequent annual
meeting by the proxies held NJ the
principal stock holders of the STAN
dard oll'company of New Jersey. We
have also shown that there has been
no real or substantial difference In
the method of doing business OF any
OF these companies since the dissolu-
ton"
Mr.. Fordyce asserted that the
testimony has proved that the Stan
dard Oil company of New Jersey is
still a holding company and owns
and controls many oil companies en-
gagged in interstate and foreign COM
merce and that 1t has used at least
two comprehensive American Petro-
leum and the Deutsche-Amerikan-
ische- Petroleum Gellschaft to assist
Texas refineries agalnst which the
United States obtained a decree"
The Texas refineries, Mr.. Fordyce
sets forth, were consolidated under
the name Of the Magnolia company
in which, according to testimony,
John d. Archbold and H. C. Folger,
Jr., are large stockholders and whose
bonded Indebtedness was until re-
Gently held by the Standard Oil COM
pany of New York.
1T is significant" says Mr.. For
dyce. that the New York company
continued to hold the bonds Of the
Magnolia company until April /, 1912,
when the Investigation Of the
department OF justice had already
commenced"
"Juggled accounts" are mentioned
by the attorney in connection with
loan transactions involving Messrs.
Archbold and Folger In ownership OF
the Magnolia company. THE action
Of the New York company" Mr.. For
dyce continues, "in lending money to
Mr.. Archbold, president Of the New
Jersey company, and the fact that
Messrs Archbold and Folger, the
presidents Of the two most important
and most potentially competitive
companies are borrowing money from
the New York company on Joint ac-
count indicates a decided degree Of
harmony In the management OF these
companies.
at has been proven Mr., Fordyce
further charges, that the marketing
companies that were formerly subsi-
diary to the New Jersey company
and the New Jersey company itself
maintain with utmost strictness the
territorial division that they had be-
fore the dissolution. 1t has been
proven that they supply their mark
citing stations from the refineries most
advantageously located to such sta
Il ms. regardless of the ownership of
these refineries. We have also shown
that the' pipe lines are managed for
the common If,s Of all the subsidiary
companies ani = others and that the
Union Tank Line has practically
identical contracts with all the sup
posedly independent companies, all
executed on or about the same date"
Other actions which were taken
prior to the date OF the supreme
courts decision, were intended to
and did not limit and to certain
extent nullify the effect OF the de-
cree" are cited In the memorandum.