Democratic messenger. [volume] (Snow Hill, Md.) 1869-1973, 1912-09-07
TRUST VIOLATED
OIL DECREE
klIege Dissolution Order Has
Not Been Obsyed in Texas.
SEVEN PERSONS INDICTED
Government Charges Conspiracy In
Plot to Destroy Business OF Rival
Firm--Archbold In Net


The first move OF the government
against the Standard Oil Co. since II
was dissolved last November under the
mandate oil the supreme court oil the
United States TO its thirty-three com
ponent parts 10 restore competition,
was brought when the federal grand
jury for the northern district OF Texas
returned an indictment against several
oil men as representatives oil the oil
trust.
Restraint of trade and commerce
and unlawful conspiracy and combina-
ton in violation of the antitrust laws
are alleged in the indictments.
II is charged that the individual de-
PENDANTS. the Standard Oil company
and the Magnolia Petroleum company,
,onspired 10 destroy the business or
the Pierce Fordyce Oil association. OF
Texas. The specific onense is alleged
to have occurred on June 20, 1912.
The names OF the following persons
appear in the indictment: Calvin n.
Paine, Titusyille. Pa; John d. Arch
bold, New York. Henry c. Folger. Jr,
New York, John Sealin. Galveston,
Tex: A. C. Ebie. Dallas. Tex; l.. X.
Brown, Corsicana, Tex; w. 5. Teagle.
Plainfeld. \. j., Standard Oil Com
pany of New York; Standard Oil Com
pany OF New Jersey; Magnolia Petro-
leum Company OF Texas.
At the department OF justice II was
said that the indictment was the re.
suit OF a three months investigation
OF charges that the decree dissolving
the trust has been violated. The govern
ment, II was added, had not decided
whether or not II would proceed on
the question of the violation of the de-
cree, which would involve contempt
proceedings. The question was con-
sidered under the criminal feature OF
the Sherman law by the Texas grand
jury.
Contempt proceedings would have to
be undertaken directly before fed
eral court Such action lis beyond the
function OF grand jury. The indict'
ment. il Is pointed out. will not bar
the government from prosecuting for
contempt of court in case that course
is considered desirable. oficials OF the
department OF justice believed II was
declared, that the initial move In the
case should be made through a grand
jury, and then II 1t developed that an
indictment did not promise to satisfy
the laws demands. they could resort
to contempt proceedings as well.
The special grand jury which re-
turned the indictment had been work
ing on the case since last Tuesday.
when II was convened to consider the
governments allegations and evil
dence. The celebrity with which II con
cluded the inquiry surprised officials
in Washington
A fight between Standard Oil inter
ests and the Waters-Perce Oil com.
pany. now pending in the federal court
at St. Louis, involves the faithfulness
of the Standard Oil in carrying out the
decree OF dissolution.
The federal government Is not u
party TO this suit, which was brought
nominally by the state of Missouri TO
compel the inspectors of the election
OF officers OF the Waters-Pierce Oil
company at st. Louis last February TO
vote the proxies OF the Rockefeller and
other Standard Oil interests which
are said To have named Standard Oil
men as officials of the company.
The inspectors refused on the
ground that 1t would violate the disso.
luton decree.