The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1927-08-01
TEAGLE GAMDL.ED
ON SOVIET FALL
IN OIL SWINDLE
Wanted New Car to
Protect Interests
BULLETIN.

BERLIN, July 31.-The outstand-
ing event in Germany's industrial
life this week was the threat of an
oil price-cutting war between the
U. S. S. R. Naptha Syndicate and
the Royal Dutch Shell interests,
which would draw Germany into the
controversy emanating for the dis
agreement among the units of the
Standard Oil family in the United
States as regards the policy to be
pursued in trading with Soviet Rus
sia.
''Derunaft," the German Russian
company which retails oil products
in Germany, initiated the price-cut-
ting campaign by reducing the price
of gasoline by four cents a gallon.
This challenge is indicative of the
purpose of the Soviet Union to pur-
sue the advantage which they have
gained by their newly achieved re-
lations with the Standard Oh! of
New York and the Vacuum Oil.
Wall Street is interested in the oil
war that is raging between the Stan
dard Oil of New York and Vacuum
Oil on the one hand and the Royal
Dutch Shell and New Jersey Standard
Oil on the other. The combination in
the second group, that is the one be-
tween the Royal-Dutch, the British
oil trust, and the Standard of New
Jersey, is not one of mutual interest,
but question of competition between
the two. Of all the Standard group
the New Jersey concern is the one
that comes into the keenest competi-
ton with the British trust, hence Wal
ter Teagle, head of the Jersey branch
of the Standard lines up with Sir
Henry Deterding, head of the British
trust, against the New York Standard
Oil concern and the Vacuum Oil con-
Germ.
A Many-Sided Warfare.
Again Walter Teagle and the New
Jersey concern tried bit of specula-
tion on the collapse of the Bolshevik
revolution in Russia and bought an
equal partnership with the Noble
brothers, Russian citizens, WI O e
great oil holdings were nationalized
by the revolution. Unable to realize
the money they desired from their
nationalized oil fields, the Noble out
fit sold a half interest to Teagle and
the American capitalist thought he
would be in on the ground floor when
the Soviet government fell and some
relative of the czar ascended the
throne made vacant by action of the
workers and peasants of Russia.
Mr.. Hughes Steps In.
One of the ironic facts of history is
the fact that Mr.. Charles Evans
Hughes, former United States su-
preme court justice, later secretary
under the Harding Coolidge Daugher-
ty administration and who was one
of the most fanatic opponents of rec
ognition of Russia, is now the attor-
ney for the New York and Vacuum
concerns. Hughes has long been a
lackey of Standard Oil. While he was
secretary of state the policy of Stan
dard Oil was the same as that of the
New Jersey branch--to carry on in
ternational intruges against the Sow
lets. That policy failed and the ma
jority of the Standard group realizes
The futility of longer fighting along
the old lines. Standard of New York
and Vacuum Oil are doing business
with the Soviet Union anl have a dis
tinct advantage over Deterding. and
his Royal-Dutch.
Hughes Opposes Teagle.
About year ago the Standard Oil
cf New York and the Vacuum Oil
conferred with Hughes on the legal
questions involved in purchasing Rus
sian oil. Hughes job was to safe
guard them in their desire to enter
the Russian field.
At that conference Walter Teagle,
president of the Standard Oil of New
Jersey, was present. He presented
there the same argument that was
presented by the Standard Oil of New
Jersey and Dutch Shell in their public
statements the last two weeks: that
no good American company ought to
purchase "stolen" oil.
Hughes reply was that as execu-
tives of companies with large mum.
bers of shareholders they should con-
Germ themselves solely with the ques.
ton of whether the business would
be profitable to their stockholders.
British Courts Decision.
Mr.. Hughes probably remembered