&5Q Standard oil OR THE PEOPLE ? BY HENRY H. KLEIN a T 6 •? ♦ \ 3'^1 K^i- • ®0meU Hmv^^^aitg Jp^tg THE GIFT OF i'rotiukrf^ . 0^^^^ A55.S.S78 " 157.)yJ.^.. 7583 4 uate Due ~w^^mF i}S^^>riyrM APR l5'M PRINTED c*?r NO. 23233 Cornell University Library HD2769.039 K64 Standard oil or the peop'e; Jfie end of c olin 3 1924 030 066 017 Cornell University Library The original of tliis book is in tine Cornell University Library. There are no known copyright restrictions in the United States on the use of the text. http://www.archive.org/details/cu31924030066017 STANDARD OIL OR THE PEOPLE THE END OF CORPORATE CONTROL IN AMERICA BY HENRY H. KLEIN AUTHOR OF "The Looting of a Great City" "How to Prevent Economic Disaster in America" PUBLISHED BY THE AUTHOR TRIBUNE BUILDING NEW YORK CITY This book is neither socialistic nor anarchistic but aims to protect society Copyright, 1914 BY HENRY H. KLEIN All rights reserved, including translation into foreign languages. PRICE - BY MAIL SO CENTS 60 CENTS Restrict Wealth - Power in America and Restore the Government to the People Limit Private Fortunes and Restore Prosperity to the People "Save your pennies," says John D. Rockefeller. Is there anything else left to save ? FOREWORD The United States is passing through an economic crisis which means freedom or slavery to the people. The present hardship is due to the fact that corporations, not the people, controlled the government. Standard Oil has been the chief factor in the afifairs of the nation and conditions are largely what Standard Oil made them. The author here endeavors to tell exactly what these conditions are. He also presents a program for the permanent cure of "hard times" in America. In t^ie hope that this cure will be adopted and that prosperity will be restored, this book is offered. Practical men are speculating to-day on the possibility that our civilization may some afternoon he -Hashed away by the tick of a telegraph. All these co-operations can be scattered by a word of hate too many, and we left, with no one who knows how to make a plough or a match, a civilisation cut off as by the Roman curse from food and fire. Less sensitive civilisations than ours have burst apart. — Henry Demarest Lloyd in "Wealth Against Com- monwealth" {published, 1894). The question is not whether monopoly is to continue. The sun sets every night on a greater majority against it. We are face to face with the practical issue: Is it to go through ruin or reform? If we wait to be forced by events, we shall be astonished to find how much more radical they are than Utopias. Louis XVI waited until 1793 and gave his head and all his investitures to the people who in 1789 asked only to sit at his feet and speak their mind. Unless we reform of our own free will, na- ture zvill reform us by force as nature does. Our evil causes have already gone too far in producing misery, plague, hatreds, national enervation. — Henry Demarest Lloyd in "Wealth Against Commonwealth." "After me the Deluge!' — Louis XV. Then came the French revolution. SUMMARY OF HEADINGS Page President Wilson is Urged to Check the Greed of Standard Oil 11 The Greed of Standard Oil is Destroying Economic Freedom in America 16 How Rockefeller Became the King of Oil 22 How Rockefeller's Fortune is Invested 23 How John D. Rockefeller, Jr., Guards His Father's Investments 24 John D. Rockefeller's Principal Financial Agents ... 28 -Standard Oil Controls the Principal Railroads in the United States Through William Rockefeller 35 What the Younger Rockefellers Represent 37 Estate of Henry H. Rogers Shows Vast Corporate Holdings 39 John D. Archbold, Active Head of the Oil Trust 41 Wealth of the Harknesses Derived from Standard Oil 42 The Wealth of the Pratts is Invested in Many Enter- prises 43 Oliver H. Payne's Great Fortune from Standard Oil . . 45 Tremendous Standard Oil Wealth of the Flaglers ... 46 The Tilfords Have Vast Standard Oil Possessions... 47 The Wealth of the Wardens Derived from Standard Oil 48 Bedford Millions from Standard Oil are Widely In- vested 49 Standard Oil Made Millionaires of the Jennings 51 SUMMARY OF HEADINGS— Continued i^i-'" Page Daniel O'Day Was Active for Standard Oil in Many Corporations 52 The Wealth of the Pouch Family is Invested Around New York 53 Standard Oil Has Made Millions for the Warings 54 Others Who Are Active and Influential for Standard Oil 55 How the Bostwick-Standard Oil Fortune Grew 59 .Standard Oil Money is Invested in Other Large Cor- " ^ porations 1jO \ Public Service Corporations Controlled by Rocke- feller and Standard Oil 64 - . Standard Oil Controls the Business and Politics of Pennsylvania 68 The Famous Dolan-Widener-Elkins Syndicate 72 Marston and Bayne, Important Standard Oil Bankers. 75 , Other Corporations in Which Standard Oil Beneficia- ' ries are Factors 77 The Standard Oil-Henry H. Rogers Combination.... 80 'Largest Private Fortunes in America are Linked ^ With Standard OU 82 Two Hundred Million Dollars of Standard Oil Money Invested in New York City 85 '-''Everything for Standard, Nothing for the People 90 The Business of America is Controlled by Standard Oil 92 ^.' The Economic Destruction of America Repeatedly Foretold 94 Standard Oil Controls the Basis of Modern Civiliza- tion - 98 Standard Oil Corrupted Politics in America 100 Is Modem Civilization Right? 102 SUMMARY OF HEADINGS— Continued Page Has Civilization Reached a Climax 103 The Decline of America Due to the Greed of Corpo- rate Monopolies 104 Private Wealth Must be Redistributed in Order that Civilization May be Preserved 106 Restriction of Private Fortunes Only Can Avert Con- fiscation 108 Suppose Rockefeller's Fortune Were Limited to Ten Million Dollars? Ill Excess Private Fortunes Could be Used to Pay Off City, State and National Debts 113 Government Control Only Can Prevent Exaction by Private Monopoly 115 How Standard Oil Has Grown with Extraordinary Profits 116 Direct Oil Trust Holdings as Disclosed by Court Records 123 Principal Stockholders in Standard Oil 126 Monopolies Controlled by Standard Oil 128 Standard Oil is Asked to Help Start New Cities to Draw Off the Surplus of Population from New York 130 One Hundred Families Who Own Half the Wealth in the United States 134 PRESIDENT WILSON IS URGED TO CHECK THE GREED OF STANDARD OIL. April II, 1914. HONORABLE WOODROW WILSON, President of the United States. Respected Sir: In view of the fact that the nation languishes under the spell of industrial depression and that continued "hard times" means ultimate financial disaster, I urge you as chief executive of the nation to act in the emergency. The economic life of the nation is being crushed out by the greed of those who control its industries and finance. The chief factor in this oppression is Standard Oil, the growth of which during the past forty-five years has imposed a hardship on the people. During that period. Standard Oil has distributed $800,000,000 in dividends to its stockholders and the value of its shares has increased from $1,000,000 to $1,300,000,000. Its annual profits are $150,000,000, the bulk of which is derived by less than twenty persons who own a majority of the stock. Standard Oil and its beneiiciaries are in control of the principal railroads, mines and public utilities. They are the leading stockholders in most large industrial corpor- ations and they control the principal banks and other ■financial institutions. With such power, the business of the nation is virtually in the hands of Standard Oil. Standard Oil beneficiaries have fully ONE BILLION DOLLARS invested in other than Standard Oil securi- ties. Their profits from these investments exceed $100,- 000,000 a year and this sum with $150,000,000 from Stand- ard Oil, must be reinvested each year. In a few years at the present rate of profit-taking. Standard Oil zuill own practically everything of value in the United States. It 12 STANDARD OIL controls the newspapers through the advertising columns and it maintains an influence over education and religion through the colleges which its beneficiaries endow and the churches and ministers they support and pension. In the face of these facts, an economic crisis confronts the nation. Big business has been permitted to develop on the theory that vast combinations in trade would ben- efit the people. The result is directly opposite. Instead of a reduction in the cost of living the price of commodi- ties has been increased to provide excess profits on grossly inflated capital. The concentration of business in the hands of a few men has produced a grave social inequality, the effect of which the people are now trying to overcome. Every trust that has been created has imitated Standard Oil by crushing independence and destroying competition in busi- ness. Twenty years ago the small tradesman earned a comfortable living and was the backbone of the nation's prosperity. To-day he is the suppliant of the large cor- porations and unable to support himself by independent means. The fault lies with the government, not with the people. If the trusts are an economic development of the times, the nation must assume responsibility for their existence. It must provide refuge for honest men unable to find employment or to establish themselves in business. The Dutch East India Company and other early exploration enterprises were aggressive, but their greed did not de- stroy the freedom of a nation. There are more Dutch East India Companies operating in America to-day than existed at any other period in history ; and they have rav- ished the country. Under the code devised by those in commercial con- trol, the present era is one of the "survival of the fittest." This assertion is untrue if based on the result of the past fifty years. The "fittest" have not been permitted to sur- vive; only the most avaricious have flourished. Their OR THE PEOPLE 13 success is due mainly to an utter disregard of the law and to depravity in business. They have subverted the cause of honesty and fair dealing. John D. Rockefeller did not excel because he produced a better oil or worked harder as a refiner. He outstripped his rivals because of secret railroad rebates which en- abled him to undersell and drive them out of business. Honorable men do not resort to such base business methods. A halt must be called to the greed of Standard Oil before it is too late. The nation is impoverished and the warning of other countries should suffice. In Sparta eight hundred years before Christ, wealth was concentrated and the people poor. Lycurgus, the lawgiver, redistributed private property and provided common eating places for all the people. Such a redistribution is impossible in America to-day. In Athens, five hundred years before Christ, Solon re- distributed the wealth of the people, and in Rome during the second century before the Christian era, a similar redistribution was attempted by the Gracchi. France was convulsed one hundred and twenty-five years ago, because the people undertook their own resuscitation. Such a step must be avoided in America. A redistri- bution is necessary, but it must come in a peaceful man- ner. Those who own great wealth must be made to realize that the safety of the nation depends on their acquiescence in the outcome. The United States is threatened with internal disorder as well as with foreign complications. This nation must not be involved in international conflict. Industrial de- pression at home must be cured so that peace and- pros- perity may again reign. There is but one way to bring this about. The nation must become the principal stock- holder in most large corporations. This result can be accomplished without the cost of a dollar to the people. If the nation, through constitutional 14 STANDARD OIL enactment, limits private wealth to $10,000,000^ all in excess of that sum is transferred back to the people. The nation becomes the principal stockholder in most of the rail- roads, mines and industrial corporations, as well as in most of the banks and other financial institutions. The nation also comes into possession of a vast amount of gov- ernment, state and city bonds which can be cancelled at once to relieve the burden of public debt. As the principal stockholder in most large corporations, the nation has no further need for excess profits and the cost of commodities is reduced. The cost of transporta- tion is also diminished as are the tolls of all public service corporations. The railroads once more become the high- zvays of the people instead of instruments of public op- pression. This remedy if adopted will prevent further hardship in America. The struggle for existence is acute and the vitality of the people almost exhausted. The bulk of the people are poor and out of work and the income of John D. Rockefeller is $70,000,000 a year. This remedy is urged so that you may see in it a cure for economic ills ; that you may exert the great power of your office to secure its adoption. The opportunity is ripe for a federal investigation of the cause of "hard times" and of the effect of great corporations on the people. The effect of Standard Oil and other monopolies must be de- termined. A commission could sit during the summer and have its report ready before Congress reconvenes. I hope that this letter will accord with your views and that a federal investigation will be instituted. To that end I have gathered a mass of important and necessary data. The records of Congress contain valuable informa- tion that could be availed of. The testimony taken in the trust prosecutions have an important bearing on the con- ditions to-day. I hope that you will see the necessity for a federal inquiry and that you will urge such a commission on OR THE PEOPLE IS Congress. The work I have in mind might be undertaken by the new industrial commission which you propose. I will be glad to co-operate with such a body. Hoping to hear from you on the subject, I am, with respect. Very truly yours, Henry H. Klein. 10 STANDARD OIL THE GREED OF STANDARD OIL IS DE- STROYING ECONOMIC FREEDOM IN AMERICA. Three hundred thousand men and women are out of work in Greater New York out of a total working popu- lation of less than two million. Three million people are out of work in the United States out of a total working population of twenty mil- lion. Six hundred million dollars borrowed on life insurance out of a total reserve fund of less than three billion (a greater debt than ever). And more business failures due to "hard times" than ever before in the land! All because a few "great" men needed a panic in 1907 to possess themselves of wealth belonging to other and because "big business" coveted the riches of other, smaller, concerns. The "panic" achieved both ends. There is little or no "come back" left in the nation to-day, because the few who had great wealth have acquired virtually everything of value. They own the principal railroads, mines and public utilities, and they own the leading industries. They own even the money of the people, through the banks and other -financial insti- tutions which they maintain. Such is the condition in America to-day that a large part of every dollar spent goes back to these few rich men and only a small portion of it remains with the people. For that reason there is no prosperity for the masses. Standard Oil is the chief beneficiary under present strangling conditions. It produces $150,000,000 each year for the benefit of its stockholders and this money is constantly reinvested. In a few years, at the present rate OR THE PEOPLE 17 of profit-taking, they will own everything of value in the United States. They own most of it now. At least a score of Standard Oil families are worth more than $25,000,000 each, acquired during the past thirty years, and some of them have from $50,000,000 to to $250,000,000. John D. Rockefeller's private wealth is estiniated at $900,000,000, and it may exceed one thousand million dollars if fully determined! This is the greatest fortune ever accumulated by a single individual in a life time, and its power is greater than that of the government. The total amount of money in circulation in this coutry is not more than three billion, five hundred million dollars, and John D Rockefeller's personal wealth is about two-sevenths of that sum ! The fortune of William Rockefeller is second only to that of his brother John. It is estimated at $250,000,000. He and Henry H. Rogers were in full command of the forces of Standard Oil until 1909, when Rogers died. They plunged heavily into speculation and their profits •on copper alone are estimated by Thomas W. Lawson at more than forty million dollars. John D. Rockefeller withdrew from direct management of the oil trust about fifteen years ago. William Rockefeller's holdings in the oil trust are by no means as large as those of his brother, or even of other members of the Standard Oil family. While John is owner of record of more than one-quarter of the oil trust stock, William is credited with 11,700 shares, or only 1. 17 percent of the entire capital. John D. Rockefeller's holdings are 247,692 shares out of a total capitalization of 983,383, and since the latest "dissolution" of the trust. Rockefeller's holdings have been split up among the thirty-three constituent corporations. Each of these subsidiaries owns many subordinate com- panies and their profits are greater than ever. The second largest holdings in Standard Oil are those of the Harknesses, who, in 1907, before the latest disso- 18 STANDARD OIL lution suit, held 70,500 shares, or 7.05 percent of the cap- ital. The wealth of the Harknesses is estimated at $100,- 000,000. The Pratts hold 57,802 shares, and their wealth is placed at $75,000,000; Oliver H. Payne's at $75,000,000; Flagler's, $70,000,000; Archbold, $50,000,000, and the Pouchs, Bedfords, Tilfords, Bostwicks, Severance, Hous- ton, Warden, Moffett, Vandergrift Huntington Macy, Jennings and Logan, from $5,000,000 to $50,000,000 each. Henry H. Rogers left $50,000,000 when he died, and the fortunes of F. Q. Barstow, Daniel O'Day and other early associates in the oil trust, are many times a million dollars. The smallest holder of Standard Oil stock since 1870, before the trust was organised, is worth at least one million dollars to-day since each $100 share of the original capital of $1,000,000 has grown to $130,000 on the market, the total market value of all Standard Oil securities being .$1,300,000,000. Samuel Andrews, who started in the oil refining busi- ness with Rockefeller in 1865, retired from the business in 1880 (before the trust was formally organized) with $955,000 cash. His stock in Standard Oil was immediately resold for $1,225,000. The profits of the oil trust since 1880 have grown from $10,000,000 to more than $150,- 000,000 a year ! In all. Standard Oil has thus far produced more than TWO BILLION DOLLARS for those who are the fortu- nate possessors of its stock, cash dividends of $800,000,000 having been distributed. Besides the thirty-three constituent companies in the trust according to the dissolution decree. Standard Oil owns, through its officers and directors, many other cor- porations. At least 100 separate oil companies have been bought up and many times that number put out of busi- ness so that the oil trust might -flourish and maintain its monopoly. John D. Rockefeller's income from Standard Oil is estimated at $40,000,000 a year. His share of cash divi- OR THE PEOPLE 19 dends to date exceeds $200,000,000. On the basis of the present market value, his stock is worth fully $300,000,000. WITHOUT A SHARE OF STANDARD OIL STOCK, JOHN D. ROCKEFELLER IS THE RICH- EST MAN IN THE WORLD, OWNING MORE FIRST MORTGAGE RAILROAD BONDS THAN THE TOTAL WEALTH OF ANY OTHER INDI- VIDUAL ! And he owns enough of the securities of public service corporations to make him the most formid- able factor in the business life of America! If John D. Rockefeller willed it and his wishes were carried out, not a car would move in most cities and not a railroad wheel would be turned. He could cut off the light and power in every large city and night would be hideous darkness without Rockefeller illumination. He could cut off the motive power of nearly every business concern ! Rockefeller's profits from public service corporations can fairly be guessed at when it is known that the people in the cities pay more than one billion dollars a year for light, heat and local transportation and that Rockefeller and Standard Oil own the largest share in most of these corporations ! In New York City alone, the total sum paid to public service corporations each year is $152,000,000, and John D. Rockefeller is the largest individual shareholder. This sum is equal to the amount collected each year in taxes to maintain the cost of municipal government, the balance being made up by income on public property. Standard Oil has reached all over the world for in- vestment and power and its influence in other countries is almost as great as in the United States. It recently formed a business partnership with the Chinese govern- ment under which it will exploit the mineral resources of a large part of China. It has already taken millions of dollars profit out of that country and its investments there now exceed $20,000,000. Its shareholders are lending the 20 STANDARD OIL Chinese government $20,000,000 to finance an engineering contract with an affiliated company. Standard Oil spent $5,500,000 recently for more oil lands in Mexico, where it purchased the property of the Maderos, and it paid $9,000,000 for oil lands in Louisiana a few years ago. Standard Oil has more than $200,000,000 invested in countries outside the United States, and its influence and investments are constantly growing! Her fleet of ocean- going vessels is larger than the United States navy, and when ships are running through the Panama Canal, Standard Oil will supply them with fuel oil from a pipe line stretched across the Isthmus. As a financial factor, Standard Oil is the greatest power in the civilised world. The combined wealth of Rockefeller and his associates is greater than that of the Rothschilds, and it has been produced in only one genera- tion. Their influence is sufficient to overthrow the gov- ernment and destroy civilization itself! Even the mighty Morgan was subordinate to Standard Oil during the latest years of his life, no large financial undertaking being possible without their co-operation or support. Harriman, Brady and Whitney were all part of the Standard Oil money-making machine. Not one of them could survive a large financial transaction without Standard Oil backing. Ryan, Dolan, Widener and Elkins, traction and gas magnates, were part of the Standard Oil combination, and even the mighty James J. Hill, in the great northwest, must bow to the will of Rockefeller. THERE HAS BEEN NO SUCH POWER IN ALL THE CIVILIZED WORLD AS THAT POSSESSED BY STANDARD OIL, AND THE QUESTION NOW IS WHAT CAN BE DONE TO RESTORE THE BAL- ANCE IN AMERICA. STANDARD OIL AND ROCKEFELLER DOMINATE THE BUSINESS LIFE OF THE COUNTRY. THEY CONTROL EDUCA- TION THROUGH THE COLLEGES THEY ENDOW OR THE PEOPLE 21 AND THEY GUIDE THE AFFAIRS OF RELIGION THROUGH THE CHURCHES THEY SUPPORT AND THE MINISTERS THEY PENSION. THEY CONTROL EVEN THE VOICE OF THE PRESS THROUGH THE POWER OF ADVERTISING, AND NO NEWSPAPER OR MAGAZINE CAN SURVIVE WITHOUT THEIR FAVOR. Under such circumstances, what must be done to save the nation from disaster? 22 STANDARD OIL HOW ROCKEFELLER BECAME THE KING OF OIL. "The oil business is mine," said John D. Rockefeller when he started to crush his rivals in the refining business in Cleveland forty-five years ago. He obtained secret rebates from the railroads and "drawbacks" on rival shipments. By this means he was soon able to buy out most of his rivals, and those he didn't buy were crushed out by railroad "pressure." Standard Oil is what it is to-day because it has been able to "get away with the goods" since that time, in spite of every effort made to check its greedy and destructive course. Thousands of oil men suffered through Standard Oil rapacity and the oil fields of Pennsylvania and else- where are strewn with the wrecks of Rockefeller greed and violence. Each squeeze meant only added gain for Rockefeller and Standard Oil profits always leaped higher. Legislatures in a dozen states failed to stop the aggres- sions of the oil trust and each investigation only stimu- lated its progress and power. The trust has been twice broken up by decree of the highest court, and to-day Standard Oil is richer and mightier than ever, in spite of these "dissolutions." The assets of Standard Oil are a thousand times greater than they were forty years ago, and the wealth of its beneficiaries is beyond anything dreamed of at that time. Not even Rockefeller thought such riches possible. OR THE PEOPLE 23 HOW ROCKEFELLER'S FORTUNE IS INVESTED. John D. Rockefeller is the largest individual stock- holder in the Manhattan Elevated Railroad, which owns all the elevated lines in Manhattan and the Bronx. The company is capitalized at $60,000,000 and seven percent dividends are guaranteed by the Interboro Company. The franchise of the Manhattan "L" is perpetual. Rockefeller is also the principal stockholder in the Consolidated Gas Company, which owns every lighting company in Greater New York and serves five and a half million people; and he is also interested in the bonds of the surface and underground railways. The assets of the various gas and electric light com- panies in New York City exceed $550,000,000, created largely out of earnings. When the price of gas was ordered reduced from $1.25 to $1.00 and to 80 cents per thousand cubic feet, the companies protested they would be ruined. They have thrived on 80-cent gas and their profits are enormous on actually invested capital. The same condition is true with regard to the electric light companies controlled by Rockefeller. Their rates are ex- orbitant. John D. Rockefeller is heavily interested in most of the large industrial corporations and railroads, and his influence is potent in all their affairs. He owns govern- ment, state and city bonds in large amounts and now that the income tax includes railroad bonds, a large share of his income will be invested in exempt government secu- rities. He owns many valuable parcels of real estate in the City of New York and in Cleveland and he owns mort- gages in the latter city which in 1900 were estimated at $10,000,000. He also owns a large part of the lake front in that city of exceptional value for shipping, and he owns a vast estate at Pocantico Hills, N. Y. 24 STANDARD OIL HOW JOHN D. ROCKEFELLER, JR. GUARDS HIS FATHER'S INVESTMENTS. John D. Rockefeller's investments in industrial cor- porations are looked after by his son John D., Jr., and by others who have been close to him for years. John D., Jr., is director in the American Linseed Oil Company, the "linseed trust," capitalized at $34,000,000. This company controls the output and the price of its product in the United States. With him as director in this corporation are Starr J. Murphy, Rev. Frederick T. Gates, E. Par- malee Prentice and George Welwood Murray, all im- portant Rockefeller agents. Prentice is Rockefeller's son- in-law and Murray, his private attorney. Others in this corporation who are close to the Rocke- feller throne are Henry E. Cooper, Vice-President of the Equitable Trust Company, Charles O. Heydt and Edward V. Gary. Gary is John D. Rockefeller's private secretary, and Heydt is part of the Standard Oil family at No. 26 Broadway. Young Rockefeller, Cooper and Murphy are directors in the Colorado Fuel and Iron Company, a $64,000,000 corporation, and young Rockefeller, Murphy and Gates are directors of the General Education Board through which Rockefeller dispenses gifts to educational institutions. Young Rockefeller is a controlling factor in the Dela- ware, Lackawanna and Western Railroad, which owns 400,000,000 tons of unmined coal in Pennsylvania worth more than half a billion dollars, and has other assets of $70,000,000. John D. Jr. is a member of the Board of Managers of this railroad, in which a large share of the fortune of the late Joseph Pulitzer is invested. William Rockefeller is also a manager of this road as well as a member of its executive committee. The OR THE PEOPLE 25 stocks of the corporation are quoted at $400 a share, making the capital of $30,000,000 worth $120,000,000 on the market. The road pays 20 percent annual dividend and distributed an extra cash dividend of 50 percent to its stockholders in 1909. John D. Rockefeller, Jr., is director in the Merchants' Fire Assurance Corporation of New York, capitalized at $200,000, and he is trustee of the University of Chicago, which disseminates learning with a Rockefeller endow- ment of $23,000,000. Rev. Gates and Starr J. Murphy are also trustees of this institution. Young Mr. Rockefeller was director in the Lake Su- perior Consolidated Iron Mines, which his father sold to the steel trust, and he was director in the steel trust itself. His father and Henry H. Rogers were also steel trust directors. John D. Rockefeller's profit out of the sale of the consolidated mining property to the steel trust was approximately $50,000,000. Mr. Rockefeller also sold his interest in the Federal Steel Co. to the steel trust for many millions more. Young Rockefeller was director in the National City Bank, the principal Rockefeller financial institution; Fed- eral Mining and Smelting Co., a $20,000,000 corporation; Missouri, Kansas and Texas Railroad, with assets of $250,000,000; Standard Oil Company of New Jersey, the holding company of the trust, and the New York Produce Exchange Safe Deposit and Storage Company. IN ALL YOUNG ROCKEFELLER HAS REPRE- SENTED HIS FATHER IN CORPORATIONS WHOSE CAPITAL OR ASSETS AGGREGATE SEVERAL BILLION DOLLARS. Besides these various business enterprises, young Rockefeller is engaged in other ventures of an entirely different nature. The Rockefeller interests in New York City are larger than anywhere else in the world, and young Rockefeller is trying to serve them through Mayor 26 STANDARD OIL Mitchel and Chamberlain Henry Bruere, the latter having been director of the Bureau of Municipal Research before he entered public oiBce. The Bureau spends $100,000 a year, and among its most liberal contributors are John D. Rockefeller, Jr., Frank A. Vanderlip, President of the Rockefeller-National City Bank; George B. Cortelyou, President of the Consolidated Gas Company, Edward V. Harkness and others closely affiliated with Standard Oil. Young Rockefeller is keenly interested in the morality of the city, having spent $200,000 through his own vice society, with the aid of the district attorney in New York and Chicago, to determine the extent of the "white slave" traffic ; and he devoted $25,000 of his father's funds, through the Bureau of Municipal Research, to investigate the police of the city in conjunction with the counsel for the aldermanic committee. Young Mr. Rockefeller also sent Raymond Fosdick to Europe to study the police abroad, and he and his asso- ciates contributed liberally to Mayor Mitchel's campaign fund when the latter ran for office in the fall of 1913. Mr. Rockefeller's personal contribution was $5,000. All of which shows to what extent the Rockefellers are in- terested in the welfare of the people of the City of New York, out of whom they receive millions of dollars a year profit ! Among the various parcels of real estate which young Rockefeller and his father own are Nos. 4, 10, 13, 14, 16, and 19 West 54th street; Nos. 737 to 747 Tenth avenue, and Nos. 125 and 127 West 55th street. They also own from 64th to 67th streets and from Avenue A to the East River, where the Rockefeller Institute for Medical Re- search is located, and No. 680 Fifth avenue, where a ten- story apartment house will be erected. Starr J. Murphy is President of the Abeyton Realty Co., which owns Nos. 117 and 119 East 113th street, and the Rockefellers also own the Forty-fifth Street Realty Company, which owns Nos. 7, 9 and 11 West 45th street, OR THE PEOPLE 27 which they originally purchased for the Fifth Avenue Baptist Church. John D. Rockefeller's estate at Pocantico is 1300 acres, and he owns a large estate at Forest Hills, Cleve- land, besides a home on Euclid avenue there. He is also interested in many valuable parcels of real estate held by Standard Oil and by its other beneficiaries. 28 STANDARD OIL JOHN D. ROCKEFELLER'S PRINCIPAL FINANCIAL AGENTS. Among those who come in closest contact with John D. Rockefeller, Jr., during the course of a business day- is the Rev. Frederick T. Gates, Chairman of the Board of Directors of the General Education Board and confiden- tial agent of the senior Rockefeller for more than twenty years. It was the Rev. Gates who brought John D. the opportunity to acquire the mines and railroad owned by the six Merritt brothers in the Lake Superior region of Michigan, which were sold to the steel trust. Mr. Rockefeller, through Mr. Gates, advanced about $2,000,000 to the Merritts in their development of the mines and in construction of the railroad and docks. The railroad was the Duluth, Missaba and Northern and the mines were among the best in the Missaba district. The Merritts lost the property. They sued Rockefeller on an- other business transaction, charging misrepresentation, and obtained a verdict for a large amount, which they compromised for $525,000. Mr. Gates's office is in the Standard Oil Building. He is director in the American Shipbuilding Company, with assets of $27,000,000 and outstanding capital of $16,500,- 000. The Standard Oil Company builds its own ships and now has a fleet of one hundred and twenty-five ocean- going steamers. The American Shipbuilding Co. has yards and drydocks in Cleveland, Chicago, Milwaukee, Detroit, Lorain, and West Superior, and it has a plant in Canada. The Rev. Gates is director in the George's Creek and Cumberland Railroad, which is owned by the Western Maryland, and he is director in that railroad, which oper- ates 550 miles of track and has assets of $120,000,000. OR THE PEOPLE 29 He is also director in the Lake George Real Estate Co., and Montclair Trust Company, President of the Everett Timber and Investment Company, and Trustee of the University of Chicago. He was director in the Bessemer Steamship Company, Vice-President of the Chicago Terminal Transfer Co., President of the Duluth, Missaba and Northern Railway, President of the Everett Railway and Electric Co. and the Everett Pulp and Paper Co.; director in the Lake Supe- rior Iron Mines, Monte Cristo Railway Co., Tilden Iron Mining Co., Puget Sound Reduction Co., Spanish-Ameri- can Mines Co., and the Federal Mining and Smelting Co. ; all Rockefeller properties. He was also trustee of Vassar College. THE TOTAL ASSETS OF THE VARIOUS COR- PORATIONS IN WHICH THE REV GATES IS OR WAS DIRECTOR EXCEED $500,000,000. STARR J. MURPHY. Starr J. Murphy is another important Rockefeller agent. He is director in the General Education Board, Vice-President and director in the American Linseed Co., with young John D. ; director in the Colorado Fuel and Iron Co., Great Eastern Elevator Co., and President and director of the Tilden Iron Mining Co., He is also director in the Rockefeller Institute for Medical Research and President of the Abeyton Realty Co. GEORGE WELWOOD MURRAY. George Welwood Murray, who is John D. Rockefel- ler's personal attorney, is head of the law firm of Murray, Prentice and Howland, No. 37 Wall street. Mr. Murray is director in the American Linseed Co., Mortgage-Bond Co. of New York, National Surety Co., Montclair Trust Co., and Essex Title Guarantee and Trust Co. He is also 30 STANDARD OIL trustee of the Equitable Trust Co., to which his iirm is counsel. The firm is also counsel to the Manhattan Ele- vated Railway Co., controlled by John D. Rockefeller. E. PARMALEE PRENTICE. E. Parmalee Prentice, a member of the same law firm, is son-in-law of John D. Rockefeller. He is director in the American Linseed Co., and New York Trust Com- pany, which has deposits of $40,000,000. Otto T. Bannard, Republican candidate for mayor of New York City in 1909, is President of the trust company, and Charles W. Harkness, J. W. Sterling and Joseph Seep, all Standard Oil beneficiaries and agents, are directors in this com- pany. Charles P. Rowland, the last named member of the firm, is director in the Lawyers Mortgage Co., Mortgage Bond Co., Ogden Estates and G. Schirmer (Inc.). The Lawyers Mortgage Co. is controlled by the United States Realty and Improvement Co. It has a capital of $6,000,- 000 and surplus of $2,500,000. It pays 12 percent annual dividends. The Mortgage-Bond Co. is capitalized at $2,000,000 and has assets of $7,262,678. The National Surety Co. has assets of $7,154,187, is capitalized at $2,000,000, pays 12 percent dividends and paid a cash dividend of $250,000 in 1909 and the same amount in 1910. George B. Cor- telyou is also a director of this company. HENRY E. COOPER. Henry E. Cooper is Vice-President of the Equitable Trust Co., which has deposits of $84,000,000 and undi- vided surplus and profits of $10,747,480. He is treasurer of the American Linseed Co., and director in the follow- ing: Colorado Fuel and Iron Co., Eastern Power and Light Co., General Gas and Electric Co., George's Creek and Cumberland Railroad, N. Y. Produce Exchange Safe OR THE PEOPLE 31 Deposit and Storage Co., Texas and Pacific Railroad, Til- den Iron Mining Co., and Wabash and Western Maryland Railroads. A. L. Kramer, also Vice-President of the Equitable Trust, is also director in some of these proper- ties. The Eastern Power and Light Co. is capitalized at $20,000,000. It is a combination of the Reading Transit and Light Co., Colonial Power and Light Co., Claremont Power Co., Claremont Railway and Light Co., Clarendon Power Co., City Electric Light Co. of Vincennes, Ind., and the West Virginia Traction and Electric Co. All of these companies are under the management of W. A. Barstow & Co. of New York City. They embrace a large part of the public service corporations of Vermont, New Hampshire, Pennsylvania, Indiana and West Virginia. The General Gas and Electric Co. is capitalized at $20,000,000 and owns gas and electric light companies and trolleys in Ohio and Vermont. It is a holding concern for the Northern Ohio Railway and Power Co., Port Clinton Electric Light and Power Co., Western Vermont Power and Light Co., and Rutland Railway, Light and Power Co. CHARLES O. HEYDT. Charles O. Heydt, whose office is at No. 26 Broadway, is director in the American Linseed Co., Abeyton Realty Co. and Cleveland Steel Co. Frank Rockefeller, brother of John D., is also director in this last named company. GEORGE B. CORTELYOU. John D. Rockefeller's largest holding outside of the oil trust and outside of his first mortgage railroad bonds, is in the Consolidated Gas Company, of which George B Cortelyou is President. The assets of this company, in- cluding all subordinate companies, as previously stated, exceed 8550,000,000. Mr. Cortelyou is director in all sub- ordinate companies, including the Astoria Light, Heat and 32 STANDARD OIL Power Co., Brush Electric Illuminating Co., Central Union Gas Co., Municipal Lighting Co., N. Y. Edison Co.,.N. Y. Mutual Gas Light Co., Northern Union Gas Light Co., Northern Westchester Lighting Co., Standard Gas Light Co. of N. Y., United Electric Light and Power Co., and Westchester Lighting Co. Mr. Cortelyou is also director in the National Bond and Mortgage Co. and National Surety Co. The former is capitalized at $1,000,000 and pays large dividends. John W. Sterling, counsel to Standard Oil, William Rockefeller and Frank A. Vanderlip, are trustees of the Consolidated Gas Co. and direct its financial affairs. Mr. Cortelyou was secretary to the late President McKinley before he joined the Rockefeller forces. FRANK A. VANDERLIP. Frank A. Vanderlip is head of the principal Rockefeller financial institution, the National City Bank. It was this institution that floated Amalgamated Copper for Henry H. Rogers and William Rockefeller in 1900, when James Stillman was president. Mr. Vanderlip was assistant sec- retary of the Treasury under President McKinley, after which he became vice-president of the National City Bank. Mr. Vanderlip is an important Rockefeller agent and is director in the following corporations : Carolina, Clinch- field and Ohio R. R., Chesapeake and Ohio R. R., Clinch- field Coal Corporation, Cumberland Corporation, Hocking Valley Railway, John L. Roper Lumber Co., Mercantile Burglar Alarm Co. ; Missouri, Kansas and Texas ; Nor- folk Southern Railroad, Northern Westchester Lighting Co., Oregon Short Line R. R. ; Oregon, Washington, R. R. & Navigation Co.; Peekskill Lighting & R. R. Co.; Sea- board Air Line, Union Pacific, United States Realty and Improvement Co., and White Sulphur Springs Insurance Co. He is also director in the Farmers' Loan aad Trust Co., OR THE PEOPLE 33 National Bank of Commerce, Mercantile Safe Deposit Co. and American Surety and Trust Co., and trustee in the N. Y. University and N. Y. State Chamber of Commerce. The Carolina, Clinchfield and Ohio Railroad is the outlet for the Clinchfield Coal Corporation which owns 250,000 acres of coal lands in West Virginia. The rail- road is 229 miles long and has assets of $55,000,000. Thomas F. Ryan is also a director in this road. The Clinchfield Coal Corporation is capitalized at $17,000,000. The Cumberland Corporation operates the Carolina, Clinchfield and Ohio Railroad. The Chesapeake and Ohio Railroad has assets of $260,000,000, and operates 2,315 miles of track. It owns $53,000,000 stocks and bonds in other railroad properties. The Hocking Valley Railroad has assets of $48,000,000 and operates 351 miles. The Norfolk Southern operates 608 miles and own the John L. Roper Co., which owns 600,000 acres of land in Virginia and timber rights in North Carolina. The Norfolk Southern has assets of $35,000,000 and owns $9,000,000 stocks and bonds in other companies. The Missouri Kansas and Texas operates 3,398 miles, and has assets of $242,000,000. It owns $57,000000 stocks and bonds in other properties. The Oregon Shore Line is controlled by the Union Pacific, which operates 10,000 miles and has assets of $925,000,000. It owns 900,000 acres of unsold land, part of an original grant of several million acres from the United States government. The Seaboard Air Line operates 3,070 miles and has assets of $180,000,000. THE TOTAL ASSETS AND RESOURCES OF THE CORPORATIONS AND INSTITUTIONS IN WHICH MR. VANDERLIP IS DIRECTOR OR TRUSTEE EXCEED $4,000,000,000. 34 STANDARD OIL JOHN W. STERLING. John W. Sterling has been the Standard Oil attorney for many years. Besides being trustee of the Consoli- dated Gas Co., he is director in the following: Bond and Mortgage Guarantee Co., Central Union Gas Co., Duluth, South Shore and Atlantic Railway, Farmers' Loan and Trust Co., Mutual Trust Co. of Westchester, National City Bank, New Amsterdam Gas Co., N. Y. Edison Co., N. Y. Trust Co., Northern Union Gas Co., Peekskill Light and Railroad Co., Standard Gas Light Co., United Electric Light and Power Co., Virginia Railway and Westchester Light Co. The Farmers' Loan and Trust Co. has resources of $135,000,000 and the assets of the Mortgage and Bond Guarantee Co. are $10,000,000. The company pays 16 per cent, annual dividend. The National City Bank has re- sources of $274,000,000 and deposits of $214,000,000. OR THE PEOPLE 35 STANDARD OIL CONTROLS THE PRINCI- PAL RAILROADS IN THE UNITED STATES THROUGH WILLIAM ROCKEFELLER. Next to John D. Rockefeller, the most important mem- ber of the Standard Oil family is his brother William. William Rockefeller is seventy-five years old, two years younger than John, and is director in the most important railroads in the country including the New York, New Haven and Hartford; New York Central, and Southern and Union. Pacific Railroads. He is trustee in the Con- solidated Gas Co., director in the N. Y. Edison Co., and member of the Board of Directors of the Delaware, Lacka- wanna and Western Railroad. He is also director in the Amalgamated Copper Co., Anaconda Copper Mining Co., Brooklyn Gas Co.; Car- thage and Adirondack R. R. ; Cincinnati, Chicago and St. Paul; Dinkirk, Alleghany Valley and Pittsburg; Corning and Southern; Hartford and Connecticut; Lake Shore and Michigan Southern; Michigan Central, Mohawk and Ma- lone ; New Jersey Junction R. R. ; New Jersey Shore Line R. R. ; New York and Harlem ; N. Y. and Putnam ; New York, Chicago and St. Louis ; New York Connecting Rail- road ; New York, Ontario and Western ; New York, West- chester and Boston; Oregon Short Line; Pittsburg and Lake Erie; Poughkeepsie Bridge Railroad; Rutland Rail- road; St. Lawrence and Adirondack and Walkill Valley R. R. William Rockefeller is also director in the City and County Contract Co., a railroad construction company; Milbrook Co., a subordinate holding company for the New Haven R. R. ; New England Navigation Co., which owns all the steamship lines running from New England and which is owned by the New Haven road. 36 STANDARD OIL He is director in the Hanover National Bank with de- posits of $117,000,000, New York State Realty and Terminal Co., Northern Westchester Lighting Co., Peeks- kill Lighting and Railroad Co., United Electric Light and Power Co., United Metals Selling Co., United States Trust Co., and the Westchester Lighting Co. THE COMBINED CAPITAL OR ASSETS OF THESE CORPORATIONS AND BANKS EXCEEDS FIFTEEN BILLION DOLLARS. The Amalgamated Copper Co. is capitalized at $155,00,- 000. The Anaconda Co. has assets of $120,000,000. The New Haven has assets of $525,000,000 ; New York Central, $650,000,000; Southern Pacific $650,000,000, and Union Pa- cific $925,000,000. Each of the other corporations has as- sets from $5,000,000 to $50,000,000, and the resources of the United States Trust Co. are $77,000,000 and deposits $60,000,000. William Rockefeller owns valuable real estate parcels including Nos. 3 to 9 East 54th street, 12 East 55th street, Nos. 689 and 691 Fifth avenue, 40 West 55th street and No. 136 West 58th street. He also owns a tract of land on Jekyl Island, where he maintains a winter home. OR THE PEOPLE 37 WHAT THE YOUNGER ROCKEFELLERS REPRESENT. Next in importance to William Rockefeller are his sons William G. and Percy A. William G. is regarded as his father's worthy successor in point of financial avarice. He is director in the Amalgamated Copper Co., Brooklyn Union Gas Co., Inspiration Consolidated Copper Co., Lin- coln National Bank, N. Y. Mutual Gas Light Co., Oregon Short Line Railroad, and Union Pacific. Inspiration Cop- per has 45,000,000 tons of 2 per cent, ore and other assets of $21,000,000. Percy A. Rockefeller is director in the Chicago, Mil- waukee and St. Paul Railroad, Farmers' Loan and Trust Co., Mechanics and Metals National Bank, Second Na- tional Bank of N. Y., and Star Seal Co., and he is trustee of the Provident Loan Society of N. Y. The Mechanics and Metals bank has deposits of $69,- 000,000, and among its directors are C. M. Pratt, H. H. Rogers, V. Everit Macy and E. L. Marston, all Standard Oil stockholders or representatives. The Provident Loan Society does a pawnbroking business on a select scale and makes 12 per cent, on all pledges. V. Everit Macy is also a trustee. The Second National Bank has deposits of $15,000,000. FRANK ROCKEFELLER. Frank Rockefeller has been estranged from his brothers John and William since he testified against them twenty- five years ago. His testimony was damaging to the oil trust. Frank Rockefeller in 1899 was director in the Standard Oil Company of New York. He was also direc- tor in the Cleveland, Akron and Columbus Railway, Kern Incandescent Gas Light Co., International Banking and 3« STANDARD OIL Trust Co., First Municipal Bond Assurance Co. and Union Sulphur Co. The Union Sulphur Co. owns sulphur mines in Lake Charles, La., and produces 80 per cent, of the sulphur sup- ply of the world. Its capital is $400,000. L. H. Severance, one of the largest stockholders in Standard Oil, is now director in the Union Sulphur Co. as is Frederick W. Whitridge receiver of the Third Avenue Railroad, N. Y. City. The dividends of the company are not reported, but the profits are said to exceed one thousand per cent, a year. OR THE PEOPLE 39 ESTATE OF HENRY H. ROGERS SHOWS VAST CORPORATE HOLDINGS. Next in importance to William Rockefeller in the affairs of Standard Oil was Henry H. Rogers, who died in 1909. His estate was appraised at $47,000,000 at the time of his death. Rogers had lost many million dollars before he died in his effort to finance the Virginian Rail- way with his Own money. He was compelled to sacrifice gilt edge securities in a bad market. The appraisal of his estate shows he owned 15,000 shares of the Standard Oil Co. of New Jersey, then worth $9,763,000. His oil hold- ings to-day are worth about $15,000,000. His other holdings included Butte Coalition Co., $4,400,- 000; Brooklyn Union Gas Co., $1,401,099; Atlantic Coast Electric R. R. (bonds) 822,300; International Navigation Co. (bonds), $278,800; International Mercantile Marine (bonds), $441,700; National Starch Co. (bonds), $297,500; Richmond Light and Railroad Co. (bonds), $162,000; Amalgamated Copper Co., $115,500; American Express National Bank, $84,770; American Telephone and Tele- graph Co., $42,000; Atlantic Coast Electric R. R. (stock), $273,800 ; Atlas Tack Co., $434,750 ; Buffalo Gas Co., $165,- 000; Butler Mill Co., $50,400; Butte and Boston Consoli- dated Mining Co. $117,450; Dartmouth and Newport Street Railway, $115,900; Union Street Railway Co. of New Bed- ford, Mass. (bonds), $75,250; United Lead Co. (bonds), $67,600. Guaranty Trust Co. of New York, $191,800; Interna- tional Smelting and Refining Co., $575,000; Investment Co., $112,200; Loup Creek Col. Co., $40,000; National Cop- per Bank of N. Y., $440,000; National City Bank, $259,- 625; National Fuel Gas Co., $530,145; Pennsylvania Salt Manufacturing Co., $65,000 ; Pittsburg Trust Co., $94,800 ; 40 STANDARD OIL Richmond Light and Railroad Co., $94,800; San Rita Mining Co., $171,426; Sun Printing and Publishing Co., $10,000; Union Paciiic Railroad, $68,997; Union Street Railway of New Bedford, Mass. (stock), $583,200; United Metals Selling Co., $827,200 and U. S. Industrial Alcohol Co., $37,500. Mr. Rogers invested more than $20,000,000 in the Vir- ginian Railway of which his son-in-law. Urban H. Brough- ton, is President, and in financing this property he con- tracted a debt of $5,157,500 from William Rockefeller, which was paid out of his estate. John W. Sterling, Standard Oil attorney, Edgar L. Marston, of Blair & Co., Standard Oil banker, and W. R. Coe, W. E. Benjamin, and S. L. Fuller representing Mr. Rogers, are directors in the railroad, which is 474 miles long and has outstanding capi- tal of $59,000,000. The assets of the company are $91,- 221,723. Mr. Rogers controlled all the electric, gas and transpor- tation companies on Staten Island, inchiding the Staten Island ferry, which was sold to the City of New York for $1,000,000. The boats belonging to the ferry company were discarded as junk by the city after they were pur- chased. OR THE PEOPLE 41 JOHN D. ARCHBOLD, ACTIVE HEAD OF THE OIL TRUST. John D. Archbold is the most important factor in the Standard Oil company to-day. He is President of the Standard Oil Company of New Jersey and was treasurer when the letters of credit were so liberally dispensed to statesmen in Washington from Standard Oil funds. Mr. Archbold owned 6,000 shares of Standard Oil stock valued at $4,050,000 in 1907. These holdings are now worth $6,500,000. Mr. Archbold is director in the National Fuel Gas Co., which is a combination of the Commercial National Gas Co.of Bradford, Pa., United Gas Co. of Oil City, Pa., and Franklin National Gas Co. of Pa., which supplies a dozen towns in the northern part of Pennsylvania as already told. He was director in the International Navigation Co. and National Transit and N. Y. Transit Companies, both Standard Oil subsidiaries. He is trustee in the N. Y. Pro- duce Exchange Safe Deposit and Storage Co., with other members of the Standard Oil family. 42 STANDARD OIL WEALTH OF THE HARKNESSES DERIVED FROM STANDARD OIL. Next to John D. Rockefeller the largest shareholders in Standard Oil are the Harknesses, with 70,500 or 7.05 per cent, of the capital stock. The Harknesses and Rocke- feller have been associated since 1867. In 1907 Charles W. Harkness held 43,400 shares valued then at $29,295,000; W. L. Harkness 14,000 shares, at $9,450,000, and L. V. Harkness 13,100 shares, valued at $8,842,500, a total of $47,629,500. These securities are to-day worth about $75,000,000. Charles W. Harkness is director in the Chicago, Mil- waukee and St. Paul Railroad, Southern Pacific, and N. Y. Trust Co. The Chicago, Milwaukee and St. Paul has as- sets of $570,000,000. He was director in the Huntington and Big Sandy R. R., Iron Belt Mining Co., Tilden Iron Mining Co., Ohio River Railroad, Spanish-American Iron Mining Co., Morningside Realty Co., Puget Sound Reduc- tion Co., N. Y. Produce Exchange Safe Deposit and Storage Co., and trustee of the Continental Trust Co. Edward Harkness, whose office is No. 26 Broadway, is director in the Atlantic Insulated Wire and Cable Co. and the Fidelity Bank. The Atlantic Insulated Wire and Cable Co. is capitalized at $300,000. OR THE PEOPLE 43 THE WEALTH OF THE PRATTS IS IN- VESTED IN MANY ENTERPRISES. Next to the Harknesses the largest share holders in Standard Oil are the Pratts of Brooklyn, who sold out to and joined the oil trust forty years ago. Henry H. Rogers was a member of the Pratt company. In 1907 the estate of Charles Pratt and Charles M. Pratt held 57,802 shares, or 5.78 per cent, of the capital. These shares were then valued at $39,000,000. They are now worth about $55,000,000. Charles M. Pratt is director in the American Express Co., with assets of $60,000,000 and gross earnings of $44,- 000,000 a year. He is also director in the Boston and Maine R. R., Brooklyn City Railroad, Huntington & Big Sandy R. R., Ohio River R. R., Long Island Railroad, and N. Y. Glucose Co., which is part of the Corn Products Refining Co. He is director in the Brooklyn Trust Co., Mechanics and Metals National Bank, United States Mort- gage and Trust Co., Metropolitan Trust Co., Self-Winding Clock Co., Insurance Co. of North America with assets of $18,000,000, and a member of the firm of Pratt & Lambert. John T. Pratt is member of the firm of Charles Pratt & Co., with offices in the Standard Oil building. He is director in the Central Park, North and East River Rail- road Co., which is the 59th street belt line, and in the J. G. White Co., which received a contract from the Chinese government for the construction of dams to prevent floods in the Hwai River valley. The contract was obtained through the instrumentality of the American Red Cross Society and is undertaken as a "humanitarian" project, financed by the Chinese government with a loan of $20,- 000,000 from Standard Oil beneficiaries. J. G. White & Co. has assets of $4,500,000 and owns the Engineering 44 STANDARD OIL Securities Corporation, General Securities Corporation, J. G. White & Co., Ltd., and General Securities Co., Ltd. The aim of those interested in this engineering project is to create a fertile territory in China on which to produce farm and agricultural products for the United States. John T. Pratt is also director in the J. G. White Man- agement Corporation and Motor and Gear Improvement Co. He is trustee of Pratt Institute, and director in Thrift, which owns 1,400 mortgages on property in this city. Herbert L. Pratt is director in Frederick Loeser & Co., Standard Oil Co. of N. Y., People's Trust Co., Pratt Insti- tute and Thrift. The Pratt investment in Loeser & Co. amounts to several million dollars. Harold I. Pratt is treasurer of the Morris Building Co., of which Alfred C. Bedford is President, and which owns Nos. 44 to 50 Broadway and Nos. 41 to 47 New street. He was director in the Ransome Concrete Co., Club Building Co., Chelsea Mills Co., Pratt Institute and Thrift. The Club Building Co. is capitalized at $200,000 and owns No. 52 Broadway and No. 136 West 34th street. Walter C. Teagle, Vice-President of Standard Oil Com- pany of N. J., is director in this company. The building at No. 52 Broadway was torn down to reduce the tax assessment and the lot is now vacant. Frederic B. Pratt is President of the Chelsea Fibre Mills Co., director in the Ladd & Tilton Bank of Portland, Ore., and Thrift, and trustee of Pratt Institute. Dallas B. Pratt was director in the Atlantic Mutual Insurance Co., with assets of $15,000,000; Bank of America, N. Y. Warehouse and Security Co., and trustee of Geranaa Saving Bank and Mt. Venson Trust Co. OR THE PEOPLE 45 OLIVER H. PAYNE'S GREAT FORTUNE FROM STANDARD OIL. Next to the Pratts the largest stockholder in Standard Oil is Oliver H. Payne, who lives at No. 852 Fifth avenue. Mr. Payne was for years treasurer of the oil combination and started in business with Rockefeller in 1867, having been an oil refiner prior to that time. Mr. Payne held 40,000 shares in 1907 valued at $27,- 000,000, now worth more than $40,000,000. He was direc- tor in the American Tobacco Co. and in the Continental Tobacco Co., Havana Tobacco Co., and International Cigar Machinery Co., and was with Thomas F. Ryan, James B. Duke, William C. Whitney and Anthony F. Brady in most of their speculative tobacco and traction ventures. Whit- ney's first wife was Oliver H. Payne's sister. Mr. Payne owns 15,000 shares of stock in the Reading Railroad, which owns half the available coal supply of Pennsylvania. Mr. Payne was director in the Chase National Bank, Chihuahua and Pacific Railroad, Chihuahua Mining Co., Great Northern Paper Co., Helena Mining Co., Interlake Pulp and Paper Co., N. Y. Loan and Improvement Co., Coal Creek Mining and Manufacturing Co., Manhattan Trust Co., Tennessee Coal and Iron Railroad, Croesus Gold Mining and Milling Co., Virginia and South Eastern Railway Co., International Railway Co., International Traction Co., and Tintic Copper Co. THE TOTAL CAPITALIZATION OR ASSETS OF THESE CORPORATE AND BANKING INSTITU- TIONS EXCEEDS ONE BILLION DOLLARS. 46 STANDARD OIL TREMENDOUS STANDARD OIL WEALTH OF THE FLAGLERS. Henry M. Flagler was one of John D. Rockefeller's earliest associates. He was part of the Rockefeller oil comBiriation in Cleveland in 1865 when the Rockefellers, Andrews, Payne and Flagler formed the Standard Oil group. In 1907 Henry M. Flagler held 30,500 shares of Standard Oil valued then at $20,587,500. TEis same hold- ing to-day is worth more than~$30,ooo,oooo. Flagler was director in the National Fuel Gas Co., the Standard Oil offshoot, and he built the Florida East Coast Railway with his own money. He was 3irector~Tri~tEe Jacksonville Terminal Co., The Cuba Co., Morton Trust Co., National Transit and New YorkTransit CompaSies (both Standard Oil subsidiaries) and the Peninsula and Occidental Steamship Co. He was also director in the Western Union Telegraph Co. He died in 191 3, leaving most of a fortune of $60,000,000 to his son Harry Harkness Flagler. John H. Flagler is director in the American-La France Fire Engine Co., which sells automobile Hre apparatus to New York and other large cities. Its assets are $3,852,082, and it is capitalized' at $1,450,000. Its sales in 1912 totalled $2,100,000. John H. Flagler is also director in the Riker-Hegeman Corporation, Bank of Washington Heights, Consolidated Arizona Smelting Co., Credit Clearing House, Home In- surance Co., and Eastern Mausoleum Co. of Buffalo. The Home Insurance Co. has assets of $35,000,000 and surplus of $15,000,000. Its capital is $3,000,000. The Credit Clear- ing House is capitalized at $600,000, and is a consolidation of the Credit Clearing House of Illinois and Bankers' Agency. OR THE PEOPLE 47 THE TILFORDS HAVE VAST STANDARD OIL POSSESSIONS. Wesley H. Tilford held 6,000 shares of Standard Oil stock in 1907. These securities at that time were worth $4,050,000. They are now worth more than $6,000,000. Mr. Tilford was treasurer of the Standard Oil Co. several years ago, and president of director of the Union Tank Line Co. and other Standard Oil subsidiaries. Frank Tilford, a member of the oil family, has been active in many lines of business. He is president of Park & Tilford, grocers. He was director in the Consolidated Gas Co. of N. Y., Consolidated Gas Co. of Baltimore, Boston and New York Telephone Co., Consolidated Rub- ber Tire Co., Erie Telephone and Telegraph Co., New- town and Flushing Gas Co., Gas Industries Co., New York and Queens Electric Light and Power Co., Standard Gas Light Co. of New York, Telephone, Telegraph and Cable Co. of America, Atlantic Match Co., Henry Weissinger Tobacco Co.; Havana Commercial Co., National Match Co., New York Realty Corporation, Quincy Gas and Elec- tric Light Co., Williamsport Gas Co., Universal Tobacco Co., Henry Clay and Bock Co., Pennsylvania Sugar Re- fining Co. of Philadelphia, City Investing Co., Combustion Utilities Co., Dallas Gas Co., Queens Investing Co., Bank of New Amsterdam, Fifth Avenue Trust Co., Greenwich Bank, New York Security and Trust Co., Madison Safe Deposit Co., and People's Institute. Mr. Tilford is now active only in educational institutions besides Park and Tilford. THE TOTAL ASSETS OR CAPITAL OF THE CORPORATIONS IN WHICH HE HAS BEEN AN ACTIVE FACTOR EXCEEDS ONE BILLION DOL- LARS. 48 STANDARD OIL THE WEALTH OF THE WARDENS DE- RIVED FROM STANDARD OIL. W. G. Warden, of Philadelphia, joined the oil trust in the early seventies with his partner, William Frew. They owned the Atlantic Refining Co., the stock of which is now quoted at $800 a share. In 1907 the Wardens held 5,858 shares of oil trust stock valued at $3,954,150. The stock is now worth about $5,500,000. A large part of the Warden wealth is invested in the United Gas Improve- ment Co., of which S. T. Bodine, Mr. Warden's son-in-law, is President. This company owns the gas, electric plants and railways in more than forty large cities and has assets of $250,000,000. S. T. Bodine is director in the Public Service Corpor- ation of New Jersey, which owns all the gas and electric plants and most of the trolleys in the state of New Jersey. He is also director in the Pennsylvania Company, which operates all the lines of the Pennsylvania Railroad west of Pittsburg. The company owns $264,659,312 stocks and bonds in various railroads. It is capitalized at $80,000,000, the capital having been increased from $60,000,000 in 1910 by a stock dividend of $20,000,000. The Pennsylvania Com- pany also own a majority of the capital stock of the Penn- sylvania Steel Co., capitalized at $50,000,000, and the Cam- bria Steel Co., also capitalized at $50,000,000. Mr. Bodine is also director in the Welsbach Co., cap- italized at $5,500,000 ; Guarantee Co. of North America, Franklin National Bank and Commercial Trust Co. He is also trustee of the estate of Wm. G. Warden. OR THE PEOPLE 49 BEDFORD MILLIONS FROM STANDARD OIL ARE WIDELY INVESTED. In 1907, the principal Bedford holdings in Standard Oil were those of E. T. Bedford, who had 3,300 shares, valued at $2,227,500. These securities are to-day worth more than $3,000,000. Mr. Bedford is president of the Colonial Oil Co., a Standard Oil subsidiary, and of the Corn Pro- ducts Refining Co. He is trustee in the Title Guarantee and Trust Co. of N. Y., and Southport (Ct.) Trust Co.; di- rector in the Bush Terminal Co., Thompson-Starrett Co., Long Island Safe Deposit Co. and U. S. Lloyds. He was director in the Bank of the State of New York, Manu- facturers Trust Co., National Bank of North America, Wall Street Exchange Association, American Ice Co., and Bedford Petroleum Co. of Paris, France. THE ASSETS OF THESE CORPORATIONS EX- CEED $250,000,000. Alfred C. Bedford is vice-president and director of the National Fuel Gas Co., and director in the Portland Rail- way Light and Power Co., which owns the street railway companies of Portland (Oregon) and vicinity, and which supplies commercial light and power to Portland, Oregon City, Troutdale, Cazardo and Bull Run. It supplies power to other interurban railways entering Portland and to street railway companies in Salem and Vancouver. It also supplies water power to large mills. The company is cap- italized at $35,000,000 and has assets of $62,000,000. The National Fuel Gas Co. is a combination of smaller com^ panics which supply gas to various cities in the oil region of Pennsylvania. A. C. Bedford is also director in the Electric Bond and Share Co., which was organized in 1905 to purchase secu- rities in railway, light, power and water companies. Mars- so STANDARD OIL den J. Perry is chairman of the board of directors. Mr. Perry was active for Henry H. Rogers in Massachusetts utilities and Rogers held stocks and bonds in the Union Street Railway of New Bedford, Mass., when he died. A. C. Bedford is president and director of the Self- winding Clock Co., in Thrift, and in the Gilbert and Bar- ker Manufacturing Co., a Standard Oil offshoot, capital- ized at $250,000. Frederick T. Bedford is treasurer of the Corn Products Refining Co., director in the National Starch Co., and special partner in Pouch & Co., a brokerage concern, owned by other members of Standard Oil, his partnership being for $50,000. Charles E. Bedford, vice-president of the Vacuum Oil Co., a Standard Oil subsidiary, is president of the Grieve Grate Co. OR THE PEOPLE 51 STANDARD OIL MADE MILLIONAIRES OF THE JENNINGS. The families of Walter and O. B. Jennings held 8,ioo shares of oil trust stock in 1907, valued at $5,000,000, now worth $7,500,000. Walter Jennings is president of the National Fuel Gas Co., truestee of the N. Y. Trust Co., and president of the Hunting^ton Club Company. He was di- rector in the Continental Trust Co., and St. Bartholomew Loan Association. Oliver G. Jennings, who owned 2,300 shares in 1907, is director in the Signature Co., capitalized at $500,000, and the Condon Autostop Co., capitalized at $50,000. Percival J. Mcintosh, of Standard Oil, is director in both these companies. 52 STANDARD OIL DANIEL O'DAY WAS ACTIVE FOR STAND- ARD OIL IN MANY CORPORATIONS. Daniel O'Day, who died a few years ago, held 2,655 shares of Standard Oil stock in 1907, valued at $1,792,125. They are now worth $2,500,000. Mr. O'Day joined the oil trust in the early seventies, and was in charge of trans- portation from the oil fields. He was director in the Atlantic Coast Electric Railroad and Atlantic Coast Realty Co., director and president of the Buffalo General Electric Co., director in the Buffalo Natural Gas Co., Buffalo, Thousand Islands and Portland Railroad; International Steam Pump Co., Henry R. Worthington (Inc.), Lanyon Zinc Co., National Tube Works, National Transit Co., N. Y. Transit Co., Telephone, Telegraph and Cable Co., Northern Ohio Natural Gas Co., Buffalo Railway, Nia- gara Falls Power Co., Crosstown Street Railway of Buf- falo, Venango Power and Traction Co., Cataract Power and Conduit Co., International Railway Co., Oil City Boil- er Works, Brooklyn Dock and Terminal Co., and National Fuel Gas Co. Mr. O'Day was also director in the Colonial Safe De- posit Co., Colonial Trust Co., N. Y. Produce Exchange Safe Deposit and Storage Co., People's Bank of Buffalo, Seaboard National Bank, New Amsterdam National Bank, Federal Trust Co. of Newark, and Windsor Trust Co. THE ASSETS OR RESOURCES OF ALL THESE CORPORATIONS EXCEED $500,000,000, AND O'DAY REPRESENTED STANDARD OIL IN ALL OF THEM. OR THE PEOPLE S3 THE WEALTH OF THE POUCH FAMILY IS INVESTED AROUND NEW YORK. Alonzo B. Pouch was one of the largest stockholders in Standard Oil. He left each of his five sons $2,000,000. A. B. Pouch is president of the American Dock Co., which owns 30 acres of waterfront at St. George, S. I., including five piers and twenty-six warehouses. The cap- ital of the company is $1,000,000 and the directors are A. B., Frederick H., William H. and Edgar D. Pouch and William H. Hascy. A. B. Pouch is director of the Riker-Hegeman Corpor- ation, Stapleton National Bank, and United States Title Guarantee Co. He was director in the Newburgh Elec- tric Railway Co., Secretary of the Orange County Trac- tion Co., and trustee of the Staten Island Savings Bank. The U. S. Title Guarantee Co. has assets of $1,616,624 and surplus and undivided profits of $827,759. Its capital is $625,000. Frederick H. Pouch is vice-president of the American Dock Co., treasurer of Riker-Hegeman, trustee of the Hamilton Trust Co., director of the Assurance Company of America and Bank of Washington Heights. The As- surance Co. of America has assets of $487,000; surplus of $176,866 and capital $200,000. William H. Pouch is director in the American Dock Co. and Concrete Steel Co. Edgar D. Pouch was director in the American Dock Co. and Orange County Traction Co. 54 STANDARD OIL STANDARD OIL HAS MADE MILLIONS FOR THE WARINGS. Richard S. Waring was one of the organizers of the oil trust, and his heirs have derived several million dollars from his trust holdings. Orville T. Waring is director in the Standard Oil Co. of N. J., president of the Hillside Cemetery Co., and Plain- field Trust Co., vice-president of the Marsh Lumber Co. and Rosendale Raddaway Belting and Hose Co. He was director in the Chesebrough Manufacturing Co., a branch of the oil trust. Orville G. Waring is president of Borne and Scrymser, an oil trust subsidiary; director in the Guiler Engraving Co. and in Marcus Mason and Company, manufacturers of coffee machinery. L. E. Waring was director in the Plainfield Trust Co., Stone & Eddy, Interboro Bank of N. Y., and Poly Phase Ignition Co. OR THE PEOPLE 55 OTHERS WHO ARE ACTIVE AND IN- FLUENTIAL FOR STANDARD OIL. Walter C. Teagle, vice-president of the Standard Oil Co. of N. Y., is related to John Teagle, one of the earliest oil trust members. He is director in the Club Building Co., which owns No. 52 Broadway and No. 136 W. 44th street; in the Gilbert & Barker Manufacturing Co., Locke Steel Belt Co., Tidewater Oil Co., Tide Water Pipe Line Co., and the V. & O. Press, which manufactures tools and machinery supplies. The Tidewater companies are not included in the thirty-three constituent oil trust companies, but Standard Oil owns 31 per cent, of the stock. The Tidewater Oil Co. has assets of $27,000,000 and its President is R. D. Benson of New Jersey. The company came under the influence of the oil trust about 1898 after a stifif fight to keep out of its clutches. R. D. and W. S. Benson are largely interested in other properties. They are directors and officers in the fol- lowing: East Jersey Railroad and Terminal Co., Guaran- tee Mortgage and Title Ins. Co. of Passaic, Magnetic Iron Ore Co., Passaic Investment Co., People's Bank and Trust Co. of Passaic, Piatt and Washburn Refining Co., Musko- gee Electric Traction Co., Shawnee-Tecumseh Traction Co., and the Associated Producers Co. HORACE A. HUTCHINS. Horace A. Hutchins held 2,067 shares oil trust stock in 1907, valued at $1,395,225. The stock is now worth more than $2,000,000. He is director in the Chattanooga Plow Co., which is owned by the Molina Plow Co., capi- talized at $18,000,000. Harold McCormack, son-in-law of John D. Rockefeller, and his brothers, control this com- 56 STANDARD OIL pany, which manufactures plows, planters, cultivators and all implements for farm and agricultural use. The McCor- macks are also the largest factors in the International Harvester Co., the harvester trust, organized by George W. Perkins for Morgan & Co., the cost of whose products is now almost twice what it was before the combination was formed. Mr. Hutchins is also director in the Assurance Co. of America, National-Standard Insurance Co., Mason City and Fort Dodge Railroad Co., Riker-Hegeman, Morris- town Trust Co. and Unique Box Folding Co. HENRY C. FOLGER, JR. One of the principal members of the Standard Oil family to-day is Henry C. Folger, Jr., President of the Standard Oil Co. of N. Y., which recently made an ad- vantageous contract with the Chinese Government to ex- ploit the mineral resources of two Chinese provinces. Mr. Folger is trustee of the Hamilton Trust Co. He lives in Brooklyn. He was director in the Tidewater Oil Co. and Tidewater Pipe Line Co. The Standard Oil Co. of N. Y. paid a 400 per cent, dividend in 1913 by increasing its capital stock from $15,000,000 to $75,000,000 out of surplus earnings. Mr. Folger's father is secretary of the Thomson Meter Co., which manufactures water meters used in New York City for measuring water in houses. HENRY A. McGEE. Henry A. McGee is director in the Standard Oil Co. of N. Y., vice-president of the Plainfield Trust Co., and trustee of the N. Y. Produce Exchange Safe Deposit and Storage Co. He was formerly member of the board of managers of the N. Y. Produce Exchange, which fixes the price of oil for the trade and in the Bowling Green Trust Co. OR THE PEOPLE 57 W. C. McGee was director in the Plainfield Trust Co., N. Y. Petroleum Soap Co., and Central Electric Construc- tion Co. His Office is in the Standard Oil building. PERCIVAL J. McINTOSH. Percival J. Mcintosh is an important member of the oil trust. His office is No. 26 Broadway. He is director of the Chicago, Milwaukee and Puget Sound Railway Co., Condon Autostop Co., Signature Co., U. S. Industrial Al- cohol Co., and President of the General Gas Appliance Co. The Chicago, Milwaukee and Puget Sound Railway is capitalized at $100,000,000 and is owned by the Chicago, Milwaukee and St. Paul, in which William Rockefeller is director. The U. S. Industrial Alcohol Co. owns the capi- tal stock of the Republic Distilling Co. and Wood Products Co., and is capitalized at $18,000,000. It has assets of $22,000,000. The company is controlled by the Distilling Co. of America, the "whisky trust." Henry H. Rogers was a large stockholder in the U. S. Industrial Alcohol Co. The Condon Autostop Co. is capitalized at $50,000 and the Signature Co. at $500,000. Oliver G. Jennings is director in both these companies. RICHARD C. VEIT. Richard C. Veit, secretary of the Standard Oil Co. of New York, is director in the Gas Engine and Power Co. and Charles L. Seabury Consolidated, capitalized at $600,- 000. The concern manufactures power boats and ships on the Harlem River at University Heights. E. B. WALDEN. E. B. Walden, of Standard Oil, is director in the Corn Products Refining Co., and National Starch Co., and Frederick 'T. Fischer is secretary of both companies. 58 STANDARD OIL F. J. LOVATT. F. J. Lovatt, of No. 26 Broadway, is director in the American Linseed Co., and vice-president of William H. Knox & Co., capitalized at $300,000. JOHN T. LEE. John T. Lee, secretary of Swan and Finch, a Standard Oil subsidiary, is director in the Salisbury and Harvey Railroad, which operates 40 miles in New Brunswick, Canada. LEWIS WARFIELD. Lewis Warfield of Standard Oil was director in the Detroit River Terminal Co. ; Rochester, Charlotte and Manitou Railway; United States Long Distance Automo- bile Co. ; Occidental Construction Co., and President of the Topia Mining Co. B. A. TOWL. B. A. Towl of Standard Oil is director in the Hall Printing Co. of 50 Church street, capitalized at $50,000. JOHN A. HANCE. John A. Hance of Jessup and Lamont, Standard Oil brokers at No. 26 Broadway, is director in the N. Y. Pro- duce Exchange Safe Deposit and Storage Co. and trustee in the North River Savings Bank. OR THE PEOPLE 59 HOW THE BOSTWICK-STANDARD OIL FORTUNE GREW. An illustration of how Standard Oil money grows is found in the trust fund created in 1890 for Albert C. Bostwick. The fund at that time consisted of Standard Oil stock worth $296,171. In 1912 — twenty two years later — ^the market value of the stock was $1,642,611 and the dividends paid amounted to $1,032,227 — a total of $2,674,838, an increase of 900 per cent. Albert C. Bostwick died in 1910 at the age of thirty- three. His estate totalled $3,000,000 and consisted of the original trust fund Standard Oil stock and the profits which had been reinvested in other profit-producing con- cerns. Young Bostwick spent money liberally during most of the years of the trust fund's existence. At the time the trust fund for Albert was created, the Bostwick family held 16,300 shares of Standard Oil stock worth to-day about $12,000,000. Dividends on this stock have totalled $8,000,000. Jabez A. Bostwick joined the oil trust in 1870. He was one of the organizers of the South Improvement Co. with John D. Rockefeller, by means of which they sought to control the output of refineries and oil wells in Pennsyl- vania. The exposure of the contract between the South Improvement Company and the railroads caused a serious panic in the oil business. 60 STANDARD OIL STANDARD OIL MONEY IS INVESTED IN OTHER LARGE CORPORATIONS. Standard Oil money is invested in many other corpo- rations besides those already mentioned. One of these is the American Coal Products Co., which is a combination of the National Coal Tar Co., Union Coal Tar Chemical Co., W. H. Rankin Co., N. Y. Coal Tar Chemical Co., Barrett Manufacturing Co.', Warren Chemical and Manu- facturing Co., Commonwealth Roofing Co., Eastern Granite Roofing Co., and United Roofing and Manufactur- ing Co. It is capitalized at $20,000,000. The combination was dissolved in 1913 by the federal government. The directors of the company were Eversley Childs and W. H. Childs, E. H. Ridder, Stephen Peabody, W. L. Mcllray, T. M. Rianhard, Charles S. Sargent, Jr., Wm. M. Elkins, H. S. Ehret, F. B. Foster and A. T. Perry. Mr. Rianhard represents Standard Oil money in other investments and he is director in the American Coke and Gas Co., German-American Coke Co., McKeesport Gas Improvement Co., Pittsburg Gas and Coke Co., and United Coke and Gas Co. The Barrett Manufacturing Co. furnishes wood paving to the city of New York and other companies in the com- bination supply rooUng material for the subway. William H. Childs, of the Barrett Manufacturing Co., and director of the American Coal Products Co., is the main -financial support of the Progressive Party in Brooklyn, and he and Eversley Childs contributed several thovisand dollars to the "Fusion" mayoralty campaign in 1913. Standard Oil controls the Babcock and Wilcox Com- pany, which manufactures water tube steam boilers and which purchased the plant of the Stirling Consolidated OR THE PEOPLE 61 Co. in Barberton, Ohio, in 1906, and the patterns of the Rust Boiler Co. in 1908. The company has branch offices in all large cities and in Cuba and Porto Rico. The capi- tal is $15,000,000 and dividends seven per cent. John E. Eustis, Public Service Commissioner in the first district embracing Greater New York, is secretary of the company and Edward R. Stettinius vice-president. Mr. Stettinius is President of the Diamond Match Co., capitalized at $16,000,000, which pays 10 per cent divi- dend annually and which owns vast tracts of timber land in Massachusetts, New Hampshire, Vermont, Maine, and California. He is also director in the International Agri- cultural Corporation, Fidelity-Phenix Fire Insurance Co., Irving National Bank and Model Fire-proof Tenement Co. The International Agricultural Corporation is capital- ized at $36,000,000 and owns the stock of several allied corporations. It manufactures and sells fertilizers and farm implements. Its assets are $46,000,000 and surplus $6,085,700. The Fidelity-Phenix Fire Insurance Co. is capitalized at $2,50,000, has assets of $15,000,000 and surplus of $4,599,000. It pays annual dividends of 10 per cent. The Model Fireproof Tenement Co. is capitalized at $200,000. Mr. Stettinius is trustee in the American Surety Co., which is capitalized at $5,000,000, has assets of $9,000,000 and surplus of $1,270,000. It paid an extra dividend of 100 percent, in 1912 in addition to the regular dividend of 15 percent. Grant B. Schley, one of Henry H. Rogers' brokers, is trustee in this company as is R. A. Smith, Dock Commissioner of New York, and J. B. Duke of the To- bacco Trust. Standard Oil money is invested in the American Cotton Oil Company, which is a combination of twenty leading corporations supplying useful household articles, including soap, washing powder, salad oil, etc. The company is 62 STANDARD OIL capitalized at $30,400,000 and has assets of $42,000,000. Among the directors are Bradish Johnson, Wm. J. Matheson, Wm. Nelson Cromwell, H. F. Fahnestock, A. B. Hepburn, F. L. Hine and Charles Lanier. The monopoly is based on savings in the transportation of cotton oil, which is the basis of most of these commodi- ties, and which is shipped from the companies' plants in the South to various parts of the country in Standard Oil tank cars. Up to the time the combination was formed, Standard Oil cars were returned empty after their delivery of oil to Southern points. Standard Oil devised a way to steam the cars after each oil cargo, and reloaded with cotton oil to save the extra freight charge. Cotton oil is frequently used as a substitute for olive oil. Bradish Johnson, one of the directors in this company, which controls the price of cotton oil, is director in the Equitable Life Assurance Society, trustee in the Equitable Trust Company, trustee in the Greenwich Savings Bank, President of the N. K. Fairbanks Company and State In- vesting Company, director in the Commonwealth Insur- ance Co. of N. Y., director in the W. J. Wilcox Lard and Refining Co. and President of the Bradish Johnson Co. of Louisiana. W. J. Matheson, whose lead company is controlled by Standard Oil, is director in the following: American Cot- ton Oil Co., Bank of N. Y., Corn Products Refining Co., Fidelity & Casualty Co., Continental Insurance Co., Home Life Ins. Co., Title Guarantee and Trust Co., Benzol- Products Co., Cassella Color Co., General Chemical Co., Read Phosphate Co., Biological Laboratory and Hoagland Laboratory, and Five Hundred and Forty Park Ave. Wm. Nelson Cromwell is counsel to the National City Bank, the Rockefeller Standard Oil institution. Standard Oil money is invested in the Great Western Power Co., capitalized at $27,500,000, with assets of $50,- OR THE PEOPLE 63 000,000, which is developing electric power in California from water. A. C. Bedford is director in this company. Standard Oil money also controls the Boylston Manu- facturing Co., capitalized at $650,000, which manufactures shoe machinery ; the International Railway Co., capitalized at $16,320,500, and the International Traction Co., capi- talized at $15,000,000, which own the traction lines in Buffalo and part of Canada, and the Matheson Lead Co., capitalized at $1,000,000, which is part of the National Lead Co., known as the lead trust. The capital of the National Lead Co. is $50,000,000, and it owns the principal lead companies in the United States, including the United Lead Co., U. S. Cartridge Co., Carter White Lead Co., and Heath and Milligan Manu- facturing Co. of Chicago. 64 STANDARD OIL PUBLIC SERVICE CORPORATIONS CON- TROLLED BY ROCKEFELLER AND STANDARD OIL. John D. Rockefeller and his associates are the con- trolling factors in the principal gas and electric light and most of the trolley companies in the United States. He and other beneficiaries of Standard Oil control the United Gas Improvement Company, which owns the gas and elec- tric plants in miore than forty cities including Allentown, Chester, Reading, Philadelphia, Pa., and Charleston, S. C, Concord, N. H., New Haven, Des Moines, Newark, N. J., Atlanta, Kansas City, Mo., Minneapolis, Omaha, Paterson, Passaic and Jersey City, Nashville, Tenn., St. Augustine, Fla., Savannah, Sioux Falls, Syracuse, Vicksburg, and Watertown, N. Y. The United Gas Improvement Co. has assets of $250,- 000,000. Its main office is in Philadelphia. The company was organized by the Elkins-Widener and Dolan combina- tion, and Standard Oil controlled it from the beginning. Samuel T. Bodine, son-in-law of William G. Warden, one of the original Standard Oil associates, is President of the company, and he is director in most of the subordinate companies including the Public Service Corporation of New Jersey, with assets of $85,000,000. This company controls practically all the gas, electric light and trolley companies in New Jersey. William G. Warden and his partners owned the Atlantic Refining Co. before it went into the oil trust. The stock of the company is quoted at $800 a share. The Rockefeller-Standard Oil group control the Public Service Corporations in New England through Marsden J. Perry, the traction financier, and through Nelson W. Aldrich, father-in-law of young John D. Rockefeller. Mr. OR THE PEOPLE 65 Aldrich was former U. S. Senator from Rhode Island and a large factor with Thomas F. Ryan in the rubber ex- ploitation of Africa. Mr. Perry is director in the Providence Banking Co., and Chairman of the Board of Directors of the Union Trust Company, that city. He was a close friend and business associate of Henry H. Rogers and is director in the Norfolk Southern R. R., a Rockefeller property, in the American-La France Fire Engine Co., with A. C. Bed- ford and John H. Flagler, both of Standard Oil ; in the John L. Roper Co., American Screw Co., Denver & Northwestern R'y, Electric Bond and Share Co., Electric Securities Corporation, General Electric Co., Nicholson File Co., and United Traction and Electric Co. The Electric Bond and Share Co. was organized in 1905 to purchase securities in street railway, light, power and water companies. A. C. Bedford is director in this company, which has assets of $16,000,000. A dividend of $1,500,000 was added to the common stock in January, 1913. The capital stock is $5,000,000 and $5,000,000 pref. Standard Oil money is invested in the People's Gas Light and Coke Company, capitalized at $100,000,000. The company owns a dozen smaller corporations and controls the Union National Gas Corporation, capitalized at $10,- 000,000, which is a combination of a dozen separate il- luminating companies in Ohio. The People's Company furnishes gas to Chicago and to other cities in Illinois and Indiana, the fortune of C. K. Billings having been derived from the company. T. E. Murray of the N. Y. Edison Co. is director in the Indiana Natural Gas and Oil Co., which is part of the People's Company. The Union National Gas Corporation is composed of the Warren and Chautauqua Gas Co., Buckeye Gas Co., Logan Gas Co., Newark Gas Co., Athens Gas Light and Electricity Co., Freemont Gas, Electric Light and Power 66 STANDARD OIL Co., Marion Gas Co., Bellevue Gas Co., Clyde Gas Co., Citizens' Gas Light and Coke Co. of Findlay, and Citizens' Gas and Electric Co. of Lorain and Elyria, O. It also owns half of the Reserve Gas Co. and Connecting Gas Co. Joseph Seep, of Standard Oil, is a director in the Union National Gas Corporation. A. C. Bedford, of Standard Oil, is director in the East Ohio Gas Co., capitalized at $20,000,000. The company owns the Cleveland Gas Light and Coke Co., Mohican Oil and Gas Co., People's Gas Light and Coke Co., and other similar organizations. The Ohio Fuel Oil Co., capitalized at $500,000, and the Ohio Fuel Supply Co., capitalized at $15,000,000, which is a combination of several smaller companies, are also con- trolled by Standard Oil. The assets of the latter company are $26,000,000. It paid a dividend of 50 percent, in de- benture bonds in 1910. The Hope Natural Gas Co., capitalized at $500,000, is owned by Standard Oil. It has a contract with the Blue Creek Coal and Land Co. for oil and gas rights on 40,000 acres in West Virginia. Other gas companies owned or controlled by Standard Oil are Clarksburg Light and Heat Co., capitalized at $100,000; Lawrence Natural Gas Co., capitalized at $450,- 000; Mahoning Gas Fuel Co., capital $150,000; Northern Ohio Natural Gas Co.. capitalized at $2,775,250; Mountain State Gas Co., capital $500,000; Pittsburg Natural Gas Co., capital $310,000; River Gas Co., capital $190,000; Faylorsville Natural Gas Co., capital $10,000. Rockefeller-Standard Oil money was invested in the gas and electric light corporations in Boston, Henry H. Rogers having wrested control from J. Edward Addicks in OR THE PEOPLE 67 1896, and they are interested in subordinate gas and elec- tric light companies in Massachusetts. Henry H. Rogers' estate shows ownership of several hundred thousand dol- lars bonds of the trolley lines in New Bedford, Mass. 68 STANDARD OIL STANDARD OIL CONTROLS THE BUSINESS AND POLITICS OF PENNSYLVANIA. Besides owning the output of the oil wells in Pennsyl- vania, Standard Oil and its beneficiaries own or control most of the railroads, mines, gas, electric light and local transportation companies in the state. They also control most of the banks and other financial institutions. P. A. B. Widener, Wm. L. Elkins, Thomas Dolan and Samuel T. Bodine are the principal Standard Oil factors in the state, while Senators Matthew Quay and Boise Pen- rose were their leading political representatives. James I. Buchanan, President of the Washington Oil Company, a Standard Oil subsidiary, is also an important business factor. Mr. Buchanan is Vice-President of the Big Meadow Gas Company, Blacksville Oil and Gas Company, Cameron Gas and Oil Co., Citizens Light and Heat Co of West Middletown, Citizens' Natural Gas Co. of Beaver Co., Franklin-Washington Gas Co., Jefferson Gas Co., Manufacturers' Light and Heat Co. of Pa., Manufacturers' Gas Company, Manufacturers' Gas Co. of Ellwood City, Manufacturers' Light and Heat Co. of West Va., Montour Gas Co., Natural Fuel Co., New Cumberland Water and Gas Co., Ohio Valley Gas Co., Rochester Fuel Co., Se- wickeley Gas Co., Tri-State Gas Co., Western Pa. Gas Co., Wetzel Gas Co. and Wheeling Natural Gas Co. Mr. Buchanan is also President of the Pittsburg Trust Co., trustee of the estate of J. J. Vandergrift, one of the early Standard Oil associates, member of the Board of Education in Pittsburg, director of the Keystone National Bank, and President of the Pittsburg Terminal Warehouse and Transfer Co. and of the River and Railroad Terminal Co. The Manufacturers' Light and Heat Co. is a combina- OR THE PEOPLE 69 tion of most of the other illuminating companies in which Mr. Buchanan is Vice-President and director. It is capi- talized at $25,000,000 and supplies the entire Ohio Valley with gas from New Martinsville, W. Va., to Pittsburg. It leases 304,506 acres of natural as lands in Pennsylvania, West Virginia and Ohio, and it owns 2,500 miles of pipe to distribute the gas. It has assets of $31,000,000. General Charles Miller, Chairman of the Board of Directors of the Galena-Signal Oil Co., another Standard Oil subsidiary, is director in the American Locomotive Co., American Steel Foundries Co., Franklin Railway Supply Co., and President of the First National Bank and Y. M. C. A. in Pittsburg. J. French Miller, Secretary of the Galena-Signal Oil Co., is President of the Keystone Carbon Paper Manu- facturing Co. and Buckingham Coal Mining Co.; Vice- President of the Alsace Realty Co. and director in the First National Bank, Franklin Manufacturing Co., and General Manifold and Printing Co. George C. Miller, superintendent of the Galena-Signal Co., is President of the Fulcoum Oil Co., Hygienic Baking Co., Sibley Soap Co., and Kahler & Miller Co. of Buffalo, and director in the Van Winkle Pen Co., Oil and Waste Saving Machine Co., and General Manifold and Printing Co. Le Roy G. Miller, manager of the Railway Department of the Galena-Signal Co., is director in the Franklin Manu- facturing Co., General Manifold and Printing Co., Key- stone Carbon Paper Manufacturing Co., and Topia Mining Co. George W. Crawford, director in the Penn Mexican Fuel Co., controlled by the South Penn Oil Co., a Standard Oil subsidiary, is President of the Fayette County Gas Co., 70 STANDARD OIL Natural Gas Co., Oblong Gas Co., Ohio Fuel Oil Co., Ohio Fuel Supply Co., and Point Pleasant Natural Gas Co. He is also a director in the Alleghany Safe Deposit Co., De- vonian Oil Co., United Fuel Gas Co., and Lone Star Gas Co. J. W. R. Crawford is vice-president of the People's Natural Gas Co. and United Fuel Gas Co. E. E. Crocker and R. W. Cummins, Vice-President and Secretary of the South Penn Oil Co., are directors of the Hazelwood Oil Co. Others who are identified with Standard Oil in these various enterprises are Harry C. Reeser, who is Secretary and Treasurer of many of them, and M. C. Treat, who is Secretary of the National Transit Co. and of the New Do- main Oil and Gas Co. E. H. Jennings, of the Pure Oil Company, formerly Standard Oil's principal rival in this country, is director in several of the gas companies in Pennsylvania controlled by Standard Oil, and in several banks and trust companies in Pittsburg. The United Fuel Gas Co., of which A. C. Bedford and the Crawfords are directors, is capitalized at $10,000,000; Fayette County Gas Co., at $1,600,000; Ohio Fuel Supply Co., $15,000,000; Devonian Oil Co., $500,000; Keystone Carbon Paper Mfg. Co., $5,000,000 ; General Manifold and Printing Co., $1,000,000; East Ohio Gas Co., $10,000,000; Lone Star Gas Co., $3,500,000; Oblong Gas Co., $100,000; Ohio Fuel Oil Co., $500,000; Western Pa. Gas Co., $100,- 000; Citizens' Natural Gas Co. of Beaver Co., $100,000. The American Steel Foundries Co., of which General Charles Miller is chairman of the board of directors, is capitalized at $17,184,000 and has assets of $27,000,000, and the American Locomotive Co., of which General Mil- ler is also director, is capitalized at $50,000,000, with assets of $80,000,000. OR THE PEOPLE 71 The Standard Oil trust before dissolution owned 70 per cent, of the common and 84.37 P^r cent, of the preferred stock of the Galena-Signal Oil Co., which supplies lubri- cating oil to all the railroads in the United States and to most of them in Canada, South America and France. Standard Oil money is also invested in the People's Natural Gas Co., which owns the Pittsburg Natural Gas Co. and Conemaugh Gas Co., which pipes gas from wells in Armstrong, Westmoreland and Alleghany Counties, Penn., and supplies natural gas to Pittsburg. The capital stock of the company is $11,300,000, and A. C. Bedford is its President. The Pennsylvania Gas Co. supplies gas to Clarendon, Warren, Corry, Erie, Faulkner and Sheffield, Pa., and Jamestown and Elliott, N. Y. The company has assets of $13,000,000 and pays dividends of 10 per cent. The Presi- dent is Walter Jennings, of Standard Oil, and L. B. Dryer and Joseph Seep, both of Standard Oil, are also directors. Seep is also director in the Seaboard National Bank with deposits of $36,000,000, and he is director in the Mines and Smelters Supply Co., capitalized at $1,500,000. Standard Oil money is also invested in the Franklin National Gas Co. of Pa., United Gas Co. of Oil City, Pa., and New England Gas and Coke Co. 72 STANDARD OIL THE FAMOUS DOLAN-WIDENER-ELKINS SYNDICATE. Standard Oil capital, besides their own fortune, was in practically every venture in which this combination was engaged. When they organized the United Gas Improve- ment Company thirty years ago. Standard Oil money was largely behind them. Elkins was part of Standard Oil for several years prior to that time, and his fortune originated with the oil trust. The United Gas Improvement Com- pany, as already told, owns and controls the light, heat and traction companies in more than forty large cities, be- sides most of the traction companies in New Jersey. Do- lan, Widener and Elkins also acquired control of the sur- face railways in New York, Chicago, Philadelphia, Pitts- burg aand Baltimore. P. A. B. Widener is the largest stockholder in the Read- ing Railroad, owning 100,000 shares out of a total of 1,400,000, or one-fourtteenth of the stock, valued at $8,- 250,000. Oliver H. Payne ,of Standard Oil, owns 15,000 shares. The Reading Company owns half the available coal supply of Pennsylvania. Mr. Widener was director in the Pennsylvania Railroad, United States Steel Corpo- ration, International Mercantile Marine Company and American Tobacco Company, all leading factors in the commercial life of America. He was also director in the leading traction corporations, including the Metropolitan Street Railway Co. of New York. Thomas Dolan was director in the Metropolitan Street Railway, Continental Tobacco Co., William Cramp and ,Son, United Gas Improvement Co., and a score of other important corporations in which he, Widener and Elkins were jointly interested. THE FORTUNE OF EACH OF THESE MEN EX- CEEDS $50,000,000. OR THE PEOPLE 73 CLEMENT A. GRISCOM. Clement A. Griscom, who died several years ago, was an important Standard Oil factor. He was President of the National Transit Company, the Standard Oil pipe line subsidiary, of which Henry H. Rogers was afterwards official head. He was also President of the International Navigation Company, which was absorbed by the Interna- tional Mercantile Marine Co. (the shipping trust). The bonds of the Navigation Co. — $18,143,000 — are guaranteed by the trust. Mr. Griscom was also director in the Atlantic Mutual Insurance Co., of which Charles M. Pratt is director ; Bank of North America, Commercial Trust Co. of Philadelphia, Insurance Company of North America, of which Charles Pratt is director Mercantile Trust Co., Pennsylvania Rail- road, N. Y., Philadelphia and Norfolk Railroad, and United Gas Improvement Co., of which S. T. Bodine is now President. Mr. Griscom was also director in the Long Island Rail- road and U. S. Steel Corporation, and in William Cramp and Son Ship and Engine Building Co., besides other cor- porations. His son, Lloyd, was chairman of the republican .county committee in New York County in 1910 and 1911. HENRY CLAY PIERCE. Standard Oil has owned the majority of stock in the Waters-Pierce Company, which was prosecuted and con- victed as a branch of the oil trust in the state of Texas. After the conviction a formal sale of 2,747 shares of Waters-Pierce stock was made by John D. Rockefeller to Mr. Pierce at $1,500 a share. Standard Oil acquired con- trol of the Waters-Pierce Company twenty-five years ago, so the fortune of Henry Clay Pierce, acquired since that time, must be linked with the oil trust. Mr. Pierce is the controlling factor in many important corporations in Mexico. In 1910 he was director in the 74 STANDARD OIL Mexican-American Steamship Company, Mexican and Northern S. S. Co., Mexican National Construction Co., Mexican Pacific Railway Co., National Railways of Mexico, Bank of Commerce and Industry, City of Mexico, Tennessee Construction Co., and Title Guarantee and Trust Co. Prior to 1910 Mr. Pierce was director in the American Central Insurance Co. of St. Louis, Baltimore and Ohio Southern Railroad, International Banking Corporation, Kansas City Southern Ry. Co., Mercantile Fire and Ma- rine Ins. Co. of Boston, Mexican Central Ry. Co., Missis- sippi Valley Trust Co. of St. Louis, National Bank of Commerce of St. Louis, St. Louis and San Francisco R. R., Seaboard Air Line R. R., and Water-Pierce Oil Co. OR THE PEOPLE 75 MARSTON AND BAYNE, IMPORTANT STANDARD OIL BANKERS. Standard Oil has many important agents besides those already mentioned. One of these is Edgar L. Marston of Blair and Co., Standard Oil bankers, and another is Samuel G. Bayne, President of the Seaboard National Bank. Mr. Bayne's son Howard is Vice-President of the Columbia-Knickerbocker Trust Co. Mr. Marston is head of the Rockefeller General Edu- cation Board, and he acquired the $3,550,000 bonds of the Magnolia Oil Co. of Texas, owned by Standard Oil, when the Magnolia company was prosecuted as part of the oil trust. Mr. S. G. Bayne, who was President of the Security Oil Co. of Texas, also owned by Standard Oil, took the bonds of the Magnolia Company to Europe, turned them over to the London Commercial Trading and Investment Co., which transferred them to the American Petroleum Co. Mr. Marston transferred $2,400,000 of the bonds to John D. Rockefeller, $500,000 to Lewis Cass Ledyard, $400,000 to Charles W. Harkness, and $250,000 to Charles M. Pratt. Mr. Marston is director in the Clinchfield Coal Corpo- ration with Frank A. Vanderlip, and in the Western Maryland R. R. with the Rev. F. T. Gates. He is also director in the Texas and Pacific with Henry E. Cooper, in the Title Guarantee and Trust Co. with E. T. Bedford, and in the following: Borden's Condensed Milk Co. and Borden's Condensed Milk Co. of Canada, Brown Ware- house Co., Central Vermont Railway Co., Davis Coal and Coke Co., Denver and Rio Grande Railway Co., Lehigh Coke Co., Madison Ave. Co., Missouri Pacific Railway, Pond's Extract Co., St. Louis, Iron Mountain and South- ern Railway Co., Sussex Realty Co., Texas and Pacific Coal Co., Texas-Pacific Mercantile Manufacturing Co., and 76 STANDARD OIL Western Pacific Railway Co. He is also director in the Astor Trust Co., Aster Safe Deposit Co., Bankers' Trust Co., City National Bank of Dallas, and trustee in Brown University and Vassar College. Edward S. Marston, of Blair & Co., is director in the American Sugar Refining Co., East River Gas Co., Fort Wayne and Jackson Railroad Co., Lackawanna Steel Co., New Amsterdam Gas Co., New Jersey Zinc Co., N. Y. Mutual Gas Light Co., N. Y. Railways Co., which operates surface lines in Manhattan and the Bronx, and the Vir- ginian Railway built by Henry H. Rogers. He is Presi- dent of the Farmers' Loan and Trust Co., and Detroit, Hillsdale and Southern Railroad Co., and trustee in the Greenwich Savings Bank and Mutual Life Insurance Co. SAMUEL G. BAYNE. The Seaboard National Bank, of which Samuel G. Bayne is President, has deposits of $36,000,000. Joseph Seep, of Standard Oil, is director in the bank. Mr. Bayne has been affiliated with Standard Oil and John D. Rocke- feller about forty years. He was originally an oil pro- ducer in Pennsylvania; then he organized national banks in various parts of the country in financing oil enterprises. Mr. Bayne is director in the N. Y. Produce Exchange Safe Deposit and Storage Co., with other members of the Standard Oil family. He is also director in the Bankers' Trust Co., Columbia-Knickerbocker Trust Co., and Presi- dent of the Atlas Co. Howard Bayne, besides being Vice-President of the Columbia-Knickerbocker Trust Co., is director in the Federal Light and Traction Co., McCall Co. and McCall Corporation. The Federal Light and Traction Co. con- trols lighting and trolley companies in Arizona, New Mexico, Washington, Colorado, Oklahoma and Arkansas. The McCall corporation owns the McCall Fashion Book and the McCall Company owns the McCall Magazine. OR THE PEOPLE 77 OTHER CORPORATIONS IN WHICH STAND- ARD OIL BENEFICIARIES ARE FACTORS. V. Everit Macy, who in 1907 held 7,300 shares of Standard Oil valued at $5,000,000, is director in the Al- bany Southern R. R., American Cold Storage and Ship- ping Co., Century Mortgage Co., City and Suburban Homes Co., Corliss Macy & Co., Parish, Stafford Co., General Lubricating Co., Hewlitt Bay Co., Manufacturers' Commercial Co., N. Y. Dairy Demonstration Co., Provi- dence Engineering Co., Provident Loan Society, Queens Boro Gas and Electric Co., and Southern Improvement Co. of N. Y. He is also director in the Union Mortgage Co., Bank of Long Island, and Mechanics and Metals Na- tional Bank with Charles M. Pratt, Percy A. Rockefeller and H. H. Rogers. HENRY S. THOMPSON. Henry S. Thompson, former Commissioner of Water Supply, Gas and Electricity in New York City, is a large Standard Oil beneficiary. Mr. Thompson's father sold out to the trust and retained a large block of stock in it. Mr. Thompson is director in the Belnord Realty Co., which owns the Belnord Apartment House on Amsterdam ave., Broadway, 86th and 87th streets; president of the Boule- vard Realty Co., capitalized at $500,000, which owns the Hotel Marie Antoinette; vice-president of the Globe and Rutgers Fire Insurance Co., president of the Golden Hill Building Co. which leases Nos. 59 to 65 John street, presi- dent of the Permutit Co. capitalized at $12,500,000, and director in the Union Exchange National Bank. John D. Rockefeller, Jr., is understood to he interested with Mr. 78 STANDARD OIL Thompson in the Permutit Co., which owns a patent for the chemical purification of water. THE BREWSTER FAMILY. George S. Brewster, who held 2,565 shares of Standard Oil in 1907, is director in the Atlantic Safe Deposit Co., American Trading Co., Chattel Loan Society of New York, U. S. Industrial Alcohol Co., and Brewster & Co. Robert S. Brewster, who owned 2,540 shares of Stand- ard Oil in 1907, is director in the Atlantic Insulated Wire & Cable Co., Brearley School Ltd., Stirling Oyster Co., and Brewster & Co. Benjamin Brewster was one of the original members of the Standard Oil trust, and a large block of Standard Oil stock is held by Elmira D. and F. F. Brewster. The American Trading Company is capitalized at $5,000,000, and Brewster & Co. at $2,000,000. JOHN E. BORNE John E. Borne, former president of Borne and Scrym- ser Co., a Standard Oil subsidiary, who died recently, was president of the Nassau Electric Railroad in Brooklyn and director in the following: Audit Co. of New York, Citi- zens Water Supply Co. of Newtown, Colonial Safe De- posit Co., Cord Meyer Development Co., Five Hundred and Forty Park avenue, Griswold Worsted Co. of Phila- delphia, Home Life Ins. Co., International Steam Pump Co., Lanyon Zinc Co., Mt. Morris Bank, Mutual Bank, Plaza Bank, Traction, Gas and Electric Finance Co., Trust Co. of America and Western N. Y. and Pcnn Trac- tion Co., with assets of $6,000,000. JAMES A. SCRYMSER James A. Scrymser is director in the Central and South American Telegraph Co., president of the Mexican Tel- OR THE PEOPLE 79 egraph Co. and trustee in the Norwich-Union Fire Insur- ance Society. John G. Milburn, special counsel to Standard Oil, is director in the American Express Co. with Charles M. Pratt, Manilla R. R., National Park Bank and trustee in the New York Life Insurance Co. S. C. T. Dodd, late attorney for Standard Oil, was director in the Sussex Zink and Franklemite Co. and the Trust Company of America. A group of young men who have profited out of Stand- ard Oil are the members of the Doremus family on Staten Island, nephews of the late William T. Wardwell, one of the original Standard Oil group. Mr. Wardwell was director in the Colonial Trust Co. and Greenwich Savings Bank. A. J. and Harry Doremus are directors in the General Oil Co. 80 STANDARD OIL THE STANDARD OIL-HENRY H. ROGERS COMBINATION. Henry H. Rogers controlled the public service corpor- ations along the New Jersey coast and on Staten Island and associated with him as representatives were S. F. Hazelrigg of Staten Island; William R. Coe, and William Evarts Benjamin, besides his son-in-law, U. H. Brough- ton. Hazelrigg is president of the Atlantic Coast Railway Co. ; director in the New Jersey and Staten Island Ferry Co., vice-president of the Richmond Light and Ferry Co., president of the Southfield Beach Railroad, Staten Island Midland Railway Co., West End and Long Branch Rail- road, Asbury Park and Sea Girt Railway, and director in the Sea Coast Traction Co., Seashore Electric Railway, Atlantic Coast Electric Light Co., and Sea Coast National Bank of Asbury Park. Benjamin, who was related to Rogers, was director in the Atlas Tack Co., in which Rogers had large holdings, and the Virginian Railway, built by Rogers. The Atlas Tack Co. is capitalized at $1,000,000 and has a large fac- tory in Fairhaven, Mass., which is a consolidation of six- teen plants. Coe is director in the Atlantic Coast Railway Co., Staten Island Midland Railway Co., Atlas Tack Co., Vir- ginian Railway, and President of Johnson and Higgins, insurance underwriters. Urban H. Broughton is director in the Anaconda Mining Co., Atlas Tack Co., Staten Island Midland Rail- way Co., Virginian Railway Co., and vice-president of the Shone Co. of Chicago. Henry H. Rogers, who succeeded his father, is director in the Amalgamated Copper Co., Anaconda Copper Co., OR THE PEOPLE 81 Virginian Railway, United Metals Selling Co., Brooklyn Union Gas Co., Atlas Tack Co., Atlantic Coast Electric Railway, Mechanics and Metals National Bank, and Shone Co. 82 STANDARD OIL LARGEST PRIVATE FORTUNES IN AMERICA ARE LINKED WITH STANDARD OIL. Standard Oil is the most important financial factor in the United States if not in the world, and the fortunes of the richest famihes are Hnked with it. The Rockefellers and their associates control most of the railroads formerly owned by the Vanderbilts, Goulds and Huntingtons, and the fortunes of these families are tied with theirs. The fortunes of Harriman, Schiff, Blair and Astors are also tied with the Rockefellers and the fortunes of the leading bankers in America are based on Standard Oil investments. IN FACT THE ENTIRE BUSINESS STRUCTURE OF AMERICA TO-DAY RESTS ON A ROCKEFEL- LER FOUNDATION, THE FORTUNES OF ALL THE RICHEST FAMILIES BEING INTERTWINED. THEY ARE INVESTED IN SECURITIES IN WHICH THE STANDARD OIL GROUP ARE THE LEADING FINANCIAL FACTORS. Besides those whose fortunes are tied with Standard Oil in business, some of the richest families are related by marriage to the Rockefellers. John D. Rockefeller, Jr., is married to Abbey Greene Aldrich, daughter of former U. S. Senator Nelson W. Aldrich, of Rhode Island. Mr. Aldrich was the leader of the Senate when McKinley was President and when the Senate was classed as the repre- sentative of the money oligarchy. Aldrich is interested in rubber with Thomas F. Ryan and in traction in New England and his wealth is estimated at more than $25,- 000,000. Edith Rockefeller, daughter of John D., is married to OR THE PEOPLE 83 Harold F. McCormack, who, with his brother, inherited the millions of his father and grandfather made out of reaper machines. They are the controlling factors in the International Harvester Company, the harvester trust, or- ganized by George F. Perkins, and capitalized at $70,000,- 000. The capital was double this amount when the trust was organized. The harvester trust imposes a heavy tax on all farm and agricultural products because of the high price of its implements. William G. Rockefeller, son of William Rockefeller, is married to Elsie Stillman, daughter of James Stillman, organizer of the National City Bank. Mr. Stillman lives in Paris, and is estimated to be worth $100,000,000. He is director in a score of banks and insurance companies, and in many of the leading railroads and industrial cor- porations. His daughter Isabel G. Stillman is married to Percy A. Rockefeller, another son of William Rocke- feller. Emma Rockefeller, daughter of William Rockefeller, is the wife of Dr. David Hunter McAlpin, who inherited part of the millions of the McAlpin family, made out of to- bacco. The ground on which the McAlpin Hotel stands, at Broadway and 34th street, is owned by the McAlpin family and David Hunter McAlpin is director in the Gree- ley Square Hotel Company, which operates the McAlpin Hotel. He is also director in the First National Bank of Morristown and John J. Crooke Co. Other members of the McAlpin family are directors in the Dupont Co., Hygeia Distilled Water Co., Kelley Ticket Machine Co., Mac-a-Mac Corporation, Great Eastern Casualty Co., and the Woman's Hotel Co. Ethel Geraldine Rockefeller, daughter of William Rockefeller, is married to Marcellus Hartley Dodge, who inherited the millions of his grandfather Marcellus Hart- ley, derived from firearms and cartridges. Mr. Dodge is president of the Remington Arms Co., vice-president of the Union Metallic Co., director in the Lincoln Bank and trus- 84 STANDARD OIL tee in Columbia College. He was also trustee in the Equitable Trust Co., International Banking Corporation and M. Hartley Co. The leading fortunes in the United States are linked by marriage to other Standard Oil families, the aggregate wealth of all of them being several billion dollars. THE IMPORTANCE OF STANDARD OIL AND THE ROCKEFELLERS AS CONTROLLING FINANCIAL FACTORS CANNOT, THEREFORE, BE EXAGGER- ATED. OR THE PEOPLE 85 TWO HUNDRED MILLION DOLLARS OF STANDARD OIL MONEY INVESTED IN NEW YORK CITY. A large share of Standard Oil millions besides those of the Rockefellers, is invested in and around New York City. While John D. Rockefeller is the largest shareholder in Consolidated Gas and Manhattan Elevated Railroad, other Standard Oil beneficiaries are drawing large profits out of other business ventures in New York. AT LEAST $200,000,000 OF STANDARD OIL MONEY IS INVESTED IN AND AROUND NEW YORK CITY, THE ANNUAL PROFITS EXCEEDING $25,000,000— .4iV AVERAGE OF $5 A YEAR PROFIT FROM EVERY MAN, WOMAN AND CHILD IN THE CITY. TITLE GUARANTEE AND TRUST COMPANY. The Title- Guarantee and Trust Co., which owns mil- lions of dollars of mortgages on New York City property and has disposed of several hundred million dolla/rs of mortgages to investors, is dominated by Standard Oil. E. T. Bedford, of the Standard Oil family, is director in the company, which has assets of $45,000,000 on a capital of $5,000,000, and pays 20% annual dividends. The Title Guarantee and Trust Company owns the Realty Associates, with assets of $12,000,000, and the Bond and Mortgage Co., through which it loans money on city real estate. These mortgages are either held by the company or sold to investors. The Realty Associates own many parcels of property in New York City, some of which it has sold for extravagant sums to the City of New 86 STANDARD OIL York, notably a piece of water front in South Brooklyn, for which it received $800,000. The Realty Associates also owns the Neponsit Com- pany, which recently sold a tract of land at Rockaway Park for $1,225,000 to the City of New York. The Title Guarantee & Trust Company owned the mortgage on Dreamland, for which the city is paying $1,000,000, and it owns the mortgage on a parcel of land in South Brook- lyn which is being acquired by the city for several million dollars for use as a barge canal terminal. The Title Guarantee and Trust Company owns a con- trolling interest in the Thompson-Starrett Construction Co., which does an annual gross business of $20,000,000 and which erected the city's municipal building. E. T. Bedford is also director in this company. U. S. REALTY AND IMPROVEMENT COMPANY. Standard Oil money is invested in the United States Realty and Improvement Co., capitalized at $16,162,000, with assets of $34,000,000. Frank A. Vanderlip, president of the National City Bank, is director in this company, the net earnings of which in 1912 were $2,078,062. The com- pany owns the Trinity, Whitehall, Fuller and U. S. Realty Building and many other smaller parcels throughout the city. It also owns the Plaza operating Company, which owns and operates the Plaza Hotel, and it controls the Alliance Realty and Broad-Exchange Realty Companies, which own other large office buildings. It controls the Lawyers' Mortgage Company, capital- ized at $6,000,000 and which pays 12 percent dividend. Through the bond and mortgage companies which they control and through the banks and insurance companies which lend money on real estate, Standard Oil beneficiaries control the disposition of most of the real estate in New York City. The Pratt miortgage institution known as Thrift, holds more than 1,400 mortgages on city property. OR THE PEOPLE 87 CHILDS' RESTAURANT COMPANY Standard Oil money is invested in the Childs Restau- rant Co. and draws large profits. The company is capi- talized at $3,500,000 preferred and $4,000,000 common stock. The preferred pays 7 and the common 10 percent dividends. One million dollars was added to the common stock of the company a feiv years ago by the payment of a dividend of 33 1-3 percent. The assets are $10,000,000. The company operates 100 restaurants in large cities. Among the Standard Oil beneficiaries in this company are H. M. Tilford and Chas. Sweeney. BUSH TERMINAL COMPANY. Standard Oil money created the Bush Terminal Stores in South Brooklyn, Irving Bush having inherited several million dollars from his father, who sold out to the oil trust. E. T. Bedford is director in the Bush Terminal Company, which is capitalized at $12,000,000 and claims assets of $18,884,261. The company owns a chain of ware- houses and operates a freight line connecting the ware- houses with the Bush docks, seven of them. The Bush Company agreed to sell its railroad and franchises to the city provided the city also bought its docks for $10,000,000. John Purroy Mitchel, as president of the Board of Aldermen, agreed to purchase the railroad property and docks, at an approximate cost of $15,000,000, his recommendation being rejected by the Board of Esti- mate after Mr. Mitchel became mayor. Mr. Bush is director in the Estates of Long Beach, controlled by former State Senator William H. Reynolds, who sold the city Dreamland Park, at Coney Island. The purchase of this property was accepted by the Board of Estimate, during the administration of Mayor Gaynor. The city will pay about $1,000,000 for the property, the 88 STANDARD OIL report of the condemnation commissioners not yet being complete. BORDEN CONDENSED MILK COMPANY. Edgar L. Marston, of Blair & Co., and chairman of the Rockefeller General Education Board, is director in Bor- den Condensed Milk Co. and the Borden Condensed Milk Co. of Canada. Mr. Marston is also director in other Rockefeller properties, including the Merchants Fire As- surance Corporation, in which John D., Jr., is director, Mechanics and Metals National Bank, in which Percy A. Rockefeller, H. H. Rogers and C. M. Pratt are directors. Title Guarantee and Trust Co. and several of the Rocke- feller railroads. The Borden company controls the price of milk in New York City, where it sells 2,000,000 gallons daily. The company is capitalized at $29,000,000 and is known as the "milk trust." The price of milk has advanced steadily in New York City during the past ten years and the sale of milk from cans has recently been prohibited. The Bor- den Company sells only in bottles. RIKER-HEGEMAN CORPORATION. Standard Oil money is invested in the Riker-Hegeman corporation, which owns and conducts forty drug stores in New York City and forty outside the city known as the Jaynes stores. John H. Flagler is president of the company and F. H. and A. B. Pouch are directors. W. A. Barstow is also a director. The United Cigar Stores recently acquired control of the company and formed a combination for the sale of United Cigar Stores product in the drug stores. The capital of the Riker-Hegeman corporation is $15,000,000 and of the United Cigar Stores, $35,000,000. The growth of Riker-Hegeman is crowding out independent druggists in N. Y. City. OR THE PEOPLE 89 Standard Oil money is invested in many other large corporations in New York City and in the railroads run- ning out of the city. It is also invested in casualty and in- surance companies doing business in and out of the city, in telephone and telegraph lines, in banks, in fire extin- guishing companies, in docks and warehouses, and in many concerns that supply food and other necessities to the people. 90 STANDARD OIL EVERYTHING FOR STANDARD, NOTHING FOR THE PEOPLE. Everything for Standard, was the motto of John D. Rockefeller in the early stages of the oil trust career. This was on the assumption that the oil business belonged to him and that no one should be permitted an independent and profitable existence. First, the independent refiners in Cleveland were com- pelled to give up through unjust railroad discrimination. Then refiners in Pennsylvania and other parts of the country were obliged to yield. Rockefeller bought them up at his own price or took them into the oil. combination; others were forced out of business. In order to escape the oppression of the railroads, in- dependent producers and refiners constructed pipe lines from the oil fields to seaboard. One after the other of these lines were forced to sell out because they were un- able to compete with the reduced rates granted to Rocke- feller, his agreement with the railroads being that no form of rivalry should be permitted. His rebates on freight charges during the period of pipe line competition was sometimes as much as the entire freight charge itself. By buying up the pipe lines, Rockefeller came into pos- session of the only instruments with which he was able to oppose the railroads; and he obtained them at his own price. STANDARD OIL TO-DAY OWNS 100,000 MILES OP PIPE LINE AND A TELEGRAPH SYS- TEM THAT RIVALS THE LEADING PUBLIC TEL- EGRAPH LINES IN AMERICA. Everything for Standard, demanded Rockefeller, and the men in the oil fields who invested tens of millions of dollars in hazardous ventures to strike oil, were forced to succumb. No sooner did Rockefeller control the refineries and the railroads, than he began to apply pressure on the oil producers, and his acquisition of the pipe lines made OR THE PEOPLE 91 him master of the products in the field. He could Hx his own price at the well and regulate the output just as he did that of independent refiners before he bought them up. Independent oil men were wiped out and those who re- mained did business only on a Rockefeller scale. They produced oil as Rockefeller wanted it and Standard Oil has controlled the output and the price ever since. Everything for Standard, was the dream of Rockefel- ler, and from refineries, pipe lines, railroads and oil wells it has advanced to the control and ownership of two hundred by-products of oil in essential use by the people. Standard Oil fixes the price of these commodities not only in Amer- ica but elsewhere throughout the world. Standard Oil is to-day a combination of at least five hundred separate business organizations, each producing or selling oil, or supplying light, heat, power and trans- portation all over the world. At the rate of profit-taking during the past forty years, its income forty years hence is inconceivable. Standard Oil distributed in dividends during 1913, $107,795,377 *** cash; $81,900,000 in stock, and $2,500,000 in rights, or a total of $192,195,377. Everything for Standard, yearned Rockefeller, and he has indeed fulfilled his yearning. Scarcely a dollar of Standard Oil money goes to anyone outside the oil trust for service or material, and not a Standard Oil product is shipped in any but Standard Oil bottoms. Standard Oil makes its own barrels and tin cans; builds its own ships and its own railroad tank cars. It manufactures its own pumps and pipe lines, and on this principle of EXCLU- SIVE PROFITS IN BUSINESS, STANDARD OIL IS EMBRACING THE ENTIRE COMMERCIAL WORLD. IT IS THE LEADING FACTOR THROUGH ITS BENEFICIARIES AND DIRECTORS IN RAILROADS, INDUSTRIAL CORPORATIONS AND PUBLIC UTILITIES WHICH ARE APPLYING THE SAME PRESSURE ON THE PEOPLE AS HAS BEEN APPLIED BY STANDARD OIL. 92 STANDARD OIL THE BUSINESS OF AMERICA IS CON- TROLLED BY STANDARD OIL. The business of the nation is in the hands of Standard Oil. The report of the Pujo Investigating Committee shows that the principal financing of the country is done by the National City Bank; Kuhn, Loeb & Co.; Lee, Hig- ginson & Co., Kidder, Peabody & Co., and First National Bank, all affiliated with Standard Oil, and by J. P. Morgan & Co., which has been associated with Standard Oil in recent years on all large ventures. During the past several years (since 1907) the bulk of the business in Wall Street has been done with Stand- ard Oil money. Standard Oil is virtually the only market factor, and the fact that there is no speculation in the Street, proves that there is no faction strong enough or willing to cope with Standard Oil. John D. Rockefeller once said that he was averse to stock market gambling. The rivalry between Morgan and Standard Oil ceased sev- eral years before Morgan's death in 1912. Since then Standard Oil interests are said to have acquired part of the securities held by the Morgan faction in the New Haven Railroad. Prior to their present financial supremacy, Standard Oil factors led the speculation in Wall Street. Standard Oil millions were at all times on call at rates fixed by their bankers, and the principal operations in the Street were conducted by brokers for Henry H. Rogers, William Rockefeller, Flagler and their associates. Thomas W. Lawson, Moore and Schley and Flower & Company were leading brokers for the combination and their operations were heaviest. Oliver H. Payne was special partner in Moore & Schley. At the height of the Rogers-Rockefeller speculation, OR THE PEOPLE 93 the value of a seat on the Stock Exchange was $95,000. Two million shares of stock were traded in daily and the public was led to believe that great general prosperity prevailed. Since the decline in the stock market during the past several years, the value of an exchange seat has shrunk to half its former price. The public has also been compelled to realise that the prosperity of Wall Street was not for general participation, hut only for the few zvho controlled the market. Thomias W. Lawson charged that Rogers, Rockefeller and Stillman made $40,000,000 out of the flotation of only one-half of Amalgamated Copper. A large part of Standard Oil profits are now invested in national, state and city bonds, and so far as the stock market is concerned. Standard Oil's interest in it is slight. Specuation in Wall. Street is virtually over. The success of the recent sale of state and city bonds shows where Standard Oil money is being lodged, these securities being non-taxable under the income tax law. There is no need for further prosperity in Wall Street so far as Standard Oil is concerned. It owns all the stock securities it needs for control of the main factors in busi- ness and commerce and its future investments will be of a different nature. Standard Oil stockholders are lending money to national governments, and their investments average $3,000,000 a week. These are made through Standard Oil bankers, the service of stock brokers being no longer required. A large part of Standard Oil millions will go into government bonds in the event of war with Mexico. 94 STANDARD OIL THE ECONOMIC DESTRUCTION OF AMERICA REPEATEDLY FORETOLD. The hardship in America to-day is the logical outcome of the industrial aggression of the past fifty years led by Rockefeller and Standard Oil. It was foretold by Henry Demarest Lloyd in his illuminating book "Wealth against Commonwealth," published in 1894, which detailed the greed and oppression of the oil trust. The facts narrated in five hundred pages of type, were gathered from the testimony of witnesses and from other official records of Congress and various state legislatures. Ten years later, Ida Tarbell, in a painstaking and labo- rious work telling of Standard Oil exactions and wrongs, pointed, a conclusion similar to that of Lloyd, unless Stand- ard Oil's greed were checked. Miss Tarbell, like Mr. Lloyd, studied the oil trust with prophetic vision. The following year, in 1905, Thomas W. Lawson awoke the country with his thrilling account of "Frenzied Fi- nance — the Crime of Amalgamated," where he told of the financial rapacity of Henry H. Rogers and his associates. Lawson charged that they made $40,000,000 for them- selves on a flotation of $75,000,000 of capital stock of the Amalgamated Copper Co., the total capital being $155,- 000,000. Rogers son and son-in-law, U. H. Broughton, are directing factors in the company to-day. Lawson reiterated in nearly every chapter of his hook that the day would come when the people would rise against the power of Standard Oil. In 1908, Theodore W. Lincoln, writing in a Boston magazine, declared that the fight of President Roosevelt on Standard Oil was a fight to save the nation. Mr. Lin- coln's articles were published after the fine of $29,000,000 OR THE PEOPLE 95 against the Standard Oil Company for rebating, imposed by Judge Landis, was reversed by the highest court. Standard Oil has been investigated by a dozen state legislatures and by Congress. These investigations have cost millions of dollars. Twice the oil trust was dissolved by court decree as a monopoly in restraint of trade and its subsidiaries convicted and punished in various states, as instruments of monopoly. Standard Oil has been fined repeatedly for freight rebating, though its control of courts has never been questioned. Many of those who told their tales of oppression on the witness stand before Congress, in the courts and else- where, have uttered predictions of national disaster be- cause of oil trust misconduct. One of these witnesses, in 1899, in testifying before the Industrial Commission of Congress, deplored the fact that he would not live long enough to shoulder arms in the fight for Industrial Free- dom. There have been many uprisings in the oil fields against Standard Oil, and in Oklahoma and Kansas, the states erected their own refineries to enable independent oil pro- ducers to escape the Standard. In the early days of the oil business in Pennsylvania vigilance committees were organized to guard the interests of the oil producers against Standard, and the legislature of the state was com- pelled to act repeatedly on complaints against the oil trust. Henry H. Rogers and John D. Archbold, afterward lead- ing Standard Oil factors, were Rockefeller's chief oppo- nents in the early seventies. In 1872, the oil producers in Pennsylvania were terri- fied when the rates of shipment were doubled by the rail- roads. It was soon discovered that this step followed a contract between the railroads and the South Improve- ment Company, through which Rockefeller and his asso- ciates aimed to control the output of all refineries and oil wells. The legislature was compelled to investigate the contract, which was, cancelled after three months. The 96 STANDARD OIL effect desired, however, was accomplished. Refiners and oil producers were frightened out of their holdings and sold to Rockefeller. Rockefeller and his associates soon controlled 90 per- cent of the output of the oil refineries in this country, where a few years before Rockefeller only contributed four percent of the total output. Standard Oil acquired control of the output at the wells, through ownership of the pipe lines from the wells to the refiners and from the refiners to seaboard, and it fixed the price of oil to the producer as well as to the consumer, as it has continued to do ever since. There are two hundred by-products of oil sold in this country and Standard Oil controls the price of all of them, the total annual business being about TWO BILLION DOLLARS. Standard Oil exactions have been copied by every other business monopoly. The railroads which are waterlogged with stocks and bonds that are held by thousands of in- vestors, are squeezing the last dollar of profit out of trans- portation to pay interest and dividends on this pyramid of inflated securities. The railroads are now demanding per- mission of the government to increase their rates an aver- age of five percent so that dividends may be earned on "new capital," leaving all the old capital on a profit-pro- ducing basis. THE TOTAL CAPITALIZATION OF ALL THE RAILROADS IS $19,000,000,000 OF WHICH HALF IS ESTIMATED TO BE WATER. The people are also being squeezed by all industrial corporations that control the price of the commodities. Beef, tobacco, coal, sugar, and all other products of neces- sity and use in this country, are sold at twice and three times a normal profit, the cost of living having more than doubled as a result in twenty years. The capitalization of these industrial corporations is even greater relatively than that of the railroads. The people have been defrauded through stock manip- ulation during the past fifty years, and government funds OR THE PEOPLE 97 have been mishandled and dissipated by manipulators who pretended to develop railroad property. The nation has granted millions of acres of timber and mineral land to railroad developers who in turn wrecked the roads through fraud in construction. In the case of the Union Pacific Railroad, the nation lost $44,000,000 in the collapse of the Credit Mobilier Company, which pretended to construct the road with government money, and which charged $94,000,000 for work that cost $50,000,000. Many small private fortunes were swept away in the collapse. 98 STANDARD OIL STANDARD OIL CONTROLS THE BASIS OF MODERN CIVILIZATION. Oil and its by-products form the basis of modern civ- ilization. The lamp that lights the homestead has pro- vided education to the present and previous generations. Knowledge was scarcely possible under the torch or by primitive candle light. Learning has become general since oil was first used. Gasoline, naptha and natural fuel oil and gas supply a large part of the motive power of commerce. Most of the vehicles of transportation to-day are propelled either by oil or gasoline and the prospects are that steam and elec- tricity will be supplanted by fuel oil. Fttcl oil will soon become the motive power of the American navy and the United States is now seeking to acquire its own oil lands in Oklahoma and to build its own pipe line to the Gulf of Mexico. Great Britain relies on the Cowdray syndicate to provide fuel for British ships. Turpentine, vaseline, lubricating oil, paraffin, axle grease and petroleum are all important oil products, and there are two hundred others in general use by the people. The importance of oil as a factor in civilization cannot, therefore, be exaggerated, and its ownership by private individuals becomes a momentous question. Nature has provided oil in liberal quantities to all nations, and up to the present time the profits have been acquired only by the few. Standard Oil is the dominant factor in the oil produc- tion of the world. It supplies more than 65 percent of the entire output of approximately 350,000,000 barrels of 42 gallons each, and its possession of oil lands grows steadily. It acquires oil property usually at its own price, especially where it is held by small owners. OR THE PEOPLE 99 The monopoly in oil will undoubtedly belong to the gov- ernment before many years. Germany is leading in that direction, the United States w following and Mexico, under President Huerta, aims to confiscate native oil property. Standard Oil's holdings in Mexico are tremendous. Japan is jealous of Standard Oil's invasion of China, zvhere the Japanese sought to acquire oil concessions, and Standard Oil's success in this direction has irritated Japan. Will the United States enter Mexico so that American oil interests may expand? 100 STANDARD OIL STANDARD OIL CORRUPTED POLITICS IN AMERICA. Corporate influence has destroyed political integrity in the United States and Standard Oil has been the chief offender in this direction. The records of Congress and of various state legislatures show the effect of such corrup- tion. The letter files of Standard Oil, published by W. R. Hearst, show how deeply that corporation has sinned. It smothered the morals of Congress and of the United States Senate. It even owned the Presidents through their political campaign managers, when Standard Oil money was used to elect them. The politics of states and cities were corrupted by cor- porations in which Standard Oil money is invested and in which Standard Oil beneficiaries are factors. In a city like New York, for example, the money of public service corporations usually defeated the will of the people and resulted in great financial damage to the profit of the cor- rupting corporations. In order to achieve such results it was necessary for corporations to bribe leaders of political parties which up to that time rendered useful public service. Standard Oil, throuh the Rockefellers, is now assuming a role of virtue in the political management of New York, where the greatest share of Rockefeller fortune is invested, and where one-fifth of the wealth of the nation is centered. The City of New York pays $5,000,000 a year to the Consolidated Gas Co. for the illumination of the city's streets and for light and power in some public buildings. John D. Rockefeller is the largest individual stockholder in this company, which obtains $60,000,000 each year from the people of the City of New York for service. OR THE PEOPLE 101 Corporate influence has created political hjrpocrisy in America, the pretense of virtue being assumed by men who pose as public benefactors. They form themselves into committees, nominate candidates for public office and as- sume a patriotic pose. The funds for such movements are usually supplied by corporations and by individuals con- nected with Standard Oil. 102 STANDARD OIL IS MODERN CIVILIZATION RIGHT? Was it intended that the people of a nation should be poor and only a few rich? Did nature decree that greed and cunning should rule and that pauperism should abound ? A nation of slaves can accomplish nothing for man- kind. Freedom only can secure progress. In the United States, poverty is general. Private and public charity are taxed to the limit to succor those who apply for aid, and the City of New York is overrun with persons who have no means of subsistence. Poverty produces vice and crime, and family desertion is common. Women and children work in factories to provide sufficient food to live, and fraud in business is general. Was it ordained that such conditions should endure? In a land of plenty, was it meant that people should starve? OR THE PEOPLE 103 HAS CIVILIZATION REACHED A CLIMAX? At no period in history has science and invention reached so high a stage. Science has provided the means of artificial triumph over nature while invention has pro- duced almost the capture of nature itself. The flying machine which punctures the cloud and carries intrepid man into the realms of air, is the widest achievement in this conquest. The telephone, telegraph, moving picture machine and phonograph are other stages that mark the progress of mankind. The steam engine and the electric light are details in the advancement of science and civilization. How much further can invention gof What more can science produce? Can it create life or restore the dead? These triumphs alone await the capture of all nature and of all religion. Can nature be completely overcome? 104 STANDARD OIL THE DECLINE OF AMERICA DUE TO THE GREED OF CORPORATE MONOPOLIES. In all ages where nations decay, their decline is due to the greed of the few who control great wealth. The greatest concentration of wealth and property exists in the United States to-day. Less than one-half of one percent of the people are in receipt of $3,000 a year or more — only a living income in New York City. The bulk of the nation's aggregate wealth of One Hundred and Thirty Billion Dol- lars ($130,000,000,000) is owned by less than five hun- dred persons. One hundred families oivn half the wealth in the country. John D. Rockefeller's income is estimated at $70,000,- 000 a year and those of his oil trust associates are propor- tionately as large. Their incomes increase each year with abnormal trust profits. As already stated, less than twenty persons own more than half the stock of the various Standard Oil companies and derive 'more than half the dividends. John D. Rockefeller's income from Standard Oil alone is $40,000,000 a year. The wealth of the United States has been concentrated since its beginning, though concentration was never so close as now. Prior to the American Revolution, the bulk of the land was held by those who obtained large grants from British rulers. Following the revolution, large fortunes were made out of shipping and banking, out of canal grants and appropriations, out of public franchises for ferries, railroads, and public utilities, and by defraud- ing the Indians; and during the period before the Civil War, out of black slavery. The industrial fortunes created during the past fifty years have drained the resources of the nation and the people. The ring of monopoly and extortion is complete, OR THE PEOPLE 105 and water rights, forest lands, mines, public utilities, rail- roads and all necessary or useful commodities are owned and controlled by those who levy tribute on the people. How long can such oppression continue without public re- taliation? 106 STANDARD OIL PRIVATE WEALTH MUST BE REDISTRIBU- TED IN ORDER THAT CIVILIZATION MAY BE PRESERVED. There is but one way by which this extraordinary and fatal concentration of wealth can be remedied. The nation must limit private fortunes so that wealth may be more equitably distributed. The bulk of the greatest fortunes has been obtained through other than moral or legitimate means. The fortune of Rockefeller is based on lawlessness and oppression and the fortunes of Harriman, Hill, Gould, Vanderbilt and Huntington, are based on government grants, public franchises and deceit in railroad manipula- tion. The fortunes of Duke and Armour, Ryan and Brady, are derived from the exactions of private monopoly in the necessities of life or from manipulation of public fran- chises. There is scarcely a fortune in America, in excess of Ten Million Dollars that has been honestly accumulated in a life time and no man is justified in accumulating more than that sum for the good of society. No man's indi- vidual wealth should be great enough to interfere with the orderly course of government. If the government applies a uniform limit of $10,000,- 000 to every man's fortune, the material reward of a life time is generous. Five percent on Ten million dollars is 1500,000, and no man needs more than that sum for the annual upkeep of his family. John D. Rockefeller, with an income of $70,000,000 a year, spends less than $500,- 000 annually for his family. OR THE PEOPLE 107 The Anarchy of Greed during the past fifty years has debauched the nation, and no prosperity can be permanent until private wealth has been more evenly divided. The nation, not private individuals, must be the chief beneficiary of all trust corporations before freedom and prosperity can again be restored. lOS STANDARD OIL RESTRICTION OF PRIVATE FORTUNES ONLY CAN AVERT CONFISCATION. The socialist program contemplates collective owner- ship of all property. Such a step means confiscation of ALL private possessions, in favor of the government. There is but one course that can avert such a step which can be accomplished only with disaster, and that is, the limitation of private fortunes. The appraisement of railroad property now under way should show what has become of several hundred million dollars granted direct by the nation and various states for the construction of roadbeds and it should also show how much of this property still belongs to the people. To purchase railroad property by issuance of govern- ment bonds is as dangerous to the nation as is the violent seizure of all railroad property. Practically all railroad improvements have been made out of earnings, not other- wise diverted. To pay the appraised value for all rail- ways would impose an intolerable burden on the people. The man of moderate wealth who prides himself on his success in business, measures his success by the amount of his fortune at the end of his career. The man of ex- traordinary wealth is led to believe that his success has been gigantic ; that he is one of the leaders in the game of "survival of the fittest." There has been no such game so far as this man of extraordinary riches is concerned. His riches are not the fruits of his efforts to survive in honest business com- petition. There has been no such competition and the man of excess fortune has obtained it by overriding the law and by subduing his moral conscience. Laws are enacted and governments created for the safeguard of human institutions. The society of the hu- OR THE PEOPLE 109 man race can endure only through justice. Oppression creates poverty and mental and moral debasement and leads to the final collapse of society. The Single Tax program is not a cure for present economic ills. When Henry George wrote his reform doctrine he saw the menace of the great landed fortunes. No fortune at that time (1879) exceeded $50,000,000. The largest fortune to-day is twenty times that sum, and at least fifty fortunes exceed it. George realized the gross inequalities of the Feudal system and of the Latifundia of Italy where the many were the slaves of the great landed proprietors, but he failed to conceive the crushing effect of exploitation in the succeeding generation. A tax such as proposed by Henry George would not have prevented Rockefeller from destroying his rivals in the oil business, nor would it hinder a Harriman, Hunting- ton, Gould or Vanderbilt from manipulating a railroad or watering its capital to the tune of •millions of dollars. Nor could it prevent the stock exploitations of Ryan, Brady, Whitney et al, or the monopolistic extortions of the beef trust, tobacco trust and of every other corporate monopoly. No such tax proposed by Henry George could prevent the hardship in America to-day, the only cure residing in a government conducted on behalf of the people, where private wealth is limited and where the resources of the country are more evenly distributed among all the people and not hoarded by the few. The anarchistic program is one of revolutionary intent. It aims to destroy all the instruments that perpetuate so- ciety as at present constituted. It believes in rampant freedom to do and say what it pleases. It aims to tear down the barriers that maintain present civilization. It 110 STANDARD OIL believes in the fullest rights to each individual involv- ing his physical and moral existence. It believes in a so- ciety where the individual can take what he wants without the annoyance of paying for it. The I. W. W., or Industrial Workers of the World, wants collectively in the industrial field what the socialist seeks by political action. The I. W. W. wants the work- man to profit to the fullest extent of his labor — that in- dustry and commerce should he owned collectively by the producer. His program is pro-industrial as distinguished from that of the socialist, which is pro-political — but they both aim to tear down the present control of capital. The I. W. W. program is the more radical ; it aims to ac- complish its end by direct and violent action. The socialistic, anarchistic or I. W. W. program is equally menacing to those of moderate wealth, because no distinction is made in the amouf^t a man possesses. They all contemplate complete confiscation for the benefit of the masses. There is but one course that can avert such final confis- cation, and that is by a limitation of private wealth in excess of a certain sum, so that the excess goes back to the people through the nation. OR THE PEOPLE , , 111 SUPPOSE ROCKEFELLER'S FORTUNE WERE LIMITED TO TEN MIL- LION DOLLARS? Suppose the wealth of John D. Rockefeller were limited by constitutional enactment to $10,000,000, what would happen? Mr. Rockefeller would be told that he could take his $10,000,000 in any form of security that he possessed; he could take it all or part in Standard Oil stocks; he could take the $10,000,000 in the securities of as many railroads as he was interested in; or he could take it all in government bonds if he owned that much. MR. ROCKEFELLER WOULD THEN BE OBLIGED TO TRANSFER HIS SECURITIES IN EVERY OTHER CORPORATION AND HIS PROP- ERTY HOLDINGS OF EVERY OTHER KIND IN EXCESS OF $10,000,000, TO THE NATION. THE GOVERNMENT WOULD BY THIS ONE ACT, BE- COME THE LARGEST STOCKHOLDER IN MORE THAN A SCORE OF INDUSTRIAL CORPORA- TIONS AND RAILROADS THROUGHOUT THE COUNTRY. The government does NOT need complete ownership of these corporations in order to regulate their affairs. Mr. Rockefeller owns one-quarter of the stock of Standard Oil, the market value of all the stock being $1,300,000,000. Practically all of this sum has been created out of earnings, besides which a total of $800,000,000 has been distributed in cash dividends. The transfer of the bulk of Mr. Rockefeller's Standard Oil holdings to the government makes further excess profits unnecessary. The government needs no surplus earnings for its individual profit out of the company. It distributes this surplus to the people by a reduction in the 112 STANDARD OIL price of its prodticts, which affects the entire nation ad once. Every purchaser of oil, petroleum, gasolene, and of the numerous byproducts of the company, benefits immedi- ately by the change. Greed is no longer the dominant aim of the corporation management. The entire nation profits by the transfer of the bulk of Mr. Rockefeller's fortune to the government and the same effect is felt through the transfer of every other excess fortune. THE COST OP LIVING IS REDUCED AT ONCE. Before the process of restoration is complete, the gov- ernment becomes the principal factor in practically every railroad and industrial corporation of size in the United States, and through its aim to benefit the people, the price of commodities and transportation is reduced. There is no need for further excess profits by any of these corpora- tions, nor is there need to continue the inflation of se- curities in order to conceal actual earnings. Industrial exploitation is at an end. OR THE PEOPLE 113 EXCESS PRIVATE FORTUNES COULD BE USED TO PAY OFF CITY, STATE AND NATIONAL DEBTS. If the government limits private fortunes to $10,000,- 000, it can do so with the understanding that part of the surplus which it receives will be used to pay off or reduce the bonded debts of states and cities and of the nation as well, the excess fortunes being divided between the nation and the state and city in which the multi-millionaire lives or where the excess property is located. The balance can be used for administrative purposes by the national government until the annual income from the various corporations in which it has become interested, is alone sufficient. The chances are that the government will need no revenue from any other source than from the corporations, for administrative purposes. It could then dispense with the tariff duty (except on articles of luxury) and it could abolish the income tax. If a beginning in this direction is made the result can be easily forseen. If the government came into possession of all fortunes in excess of $10,000,000, it would at once acquire stocks, bonds and real estate to the value of at least TEN BILLION DOLLARS. There would be a shrinkage in the market value of some of these securities if it were understood that the cost of commodities would be reduced to normal, but the government mould have left an intrinsic value of at LEAST four or -five billion dollars. The nation's debt is about one billion dollars. The combined debt of all the cities in the United States is about $2,500,000,000. The aggregate debts of all the states is not one-tenth of this sum. The intrinsic value of the securities remaining in the possession of the government could easily obliterate all these public obligations. The 114 STANDARD OIL cities, states and nation would then be in a position to start all over again, the expense of the national govern- ment being defrayed as already proposed, out of annual corporate earnings. Each state could advance money without interest to develop farming and agriculture near large cities, or new cities could be created to draw off part of the population of the largest cities. Through the reduction or elimination of the city debts, the value of city real estate would be restored because of reduced taxation. In New York City, for instance, in- terest on the public debt alone constitutes one quarter of the entire city budget, or about forty million dollars, the annual budget raised by taxation being $150,000,000. The total budget is $193,000,000, of which about $43,000,000 is derived from income on public property. If the public debt were abolished, the tax rate would be reduced one- quarter and real estate which has been a dead weight for several years, would again become a live asset. The fact that the national government was the princi- pal stockholder in most large corporations ivould add sta- bility and safety to business, and even those whose profits were reduced to normal through decreased earnings would be satisfied. There would be no threats of labor trouble to disturb business, nor would there be efforts at criminal prosecution against those in control of the affairs of cor- porations. The machinery of government would be greatly simplified. OR THE PEOPLE US GOVERNMENT CONTROL ONLY CAN PRE- VENT EXACTION BY PRIVATE MONOPOLY. The management of the various corporations would in no wise be disturbed because of the government entry into business, though the poHcy of the management would be in the interest of the stockholders and the public. There would be no exaction by private monopoly, nor would there be mismanagement of corporations in the interest of a few leading stockholders. There could be no objection then to interlocking direc- torates, nor could there be reasonable complaint against government control of the sources of credit or of banking. There could he no manipulation of the securities of large corporations for the benefit of a few "insiders," because the details of the corporations' affairs would be publicly known. There could be no stock "melons" saved up for exploitation by the few. Under government control of virtually every large cor- poration, private monopoly would he impossible and no private fortune in excess of $10,000,000 could be accumu- lated in a lifetime. Every inhabitant of the nation would benefit alike and there would be no further occasion or need for such direct benefactions as that of Henry Ford, whose total force of employes is less than one one- thousandth part of all the wage earning employes in the United States. NO INDIVIDUAL OR GROUP OF INDIVIDUALS WOULD BE POWERFUL ENOUGH TO CONTROL THE GOVERNMENT, AND CORRUPTION IN BUSI- NESS AS WELL AS IN POLITICS WOULD DIS- APPEAR. 116 STANDARt) OIL HOW STANDARD OIL HAS GROWN WITH EXTRAORDINARY PROFITS. The market value of Standard Oil securities is to-day $1,300,000,000, or 1,300 times the capital of the original Standard Oil Company in 1870. The capital then was $1,000,000. Fully $800,000,000 have been distributed in cash dividends by Standard Oil since that time. Rocke- feller's share alone exceeding $200,000,000. Fully $200,000,000 has been added to the capitalization of the various Standard Oil Companies out of earnings, in addition to cash dividends. Following the dissolution decree of the U. S. Supreme Court in 19 12, Standard Oil distributed greater wealth than ever among its stockholders. In 1913 its dividends were: Cash, $107,795,377; stock, $81,900,000, and rights, $2,500,000 — a total of $192,195,377. Following are the details of the growth and profits of the various Standard Oil companies: . ANGLO-AMERICAN OIL. Capital stock, £2,000,000. Par, fi. Dividends, 1903, 50%; 1906, 15%; 1912, 20%; 1913, 25%. Assets, $16,209,165; surplus, $8,139,020. Book value of stock, $26.72 per share. ATLANTIC REFINING CO. Capital stock, $5,000,000. Par $100. Dividends, 1903, 170%; 1906, 45%. Assets, $28,556,715; surplus, $18,188,135. Book value of stock, $468 per share. BORNE-SCRYMSER CO. Capital stock, $200,000. Par $100. OR THE PEOPLE 117 Dividends, 1906, 25%; 1912, ao%; 191a, ao%. Assets, 1906, $576,092. Market value of stock, $305 per share. BUCKEYE PIPE LINE CO. Capital stock, $10,000,000. Par $50. Dividends, 1903, 15%; 1906, 50%; 1912, 40%; 1913, 40%. Assets, $21,833,455; surplus, $9,775,303- Book value of stock, $108 per share. CHESEBROUGH MANUFACTURING CO. Capital stock, $500,000. Par $100. Dividends, from 1900 to 1912, from 18 to 60% annually; 1912, 50%; 1913, 40%. Assets, 1906, $1,111,710. Market value of stock, $675. CONTINENTAL OIL CO. Capital stock, $3,000,000. Par $100. Dividends, 1913, 166%; 1906, 135%; 1912, 70% (on capi- tal of $300,000, which was increased to $3,000,000 in 1913 by stock dividend of 900%. CRESCENT OIL CO. Capital, $3,000,000. Par $50. Dividends, 1906, $800,000; 1912, 10%; 1913, 12%. Assets, $3,359,593; surplus, $331,792. Book value of stock, $55 per share. CUMBERLAND PIPE LINE CO. Capital stock, $1,000,000. Par $100. Dividends, 1912, 6%; 1913, 6%. ^Assets, $1,277,102; surplus, $151,765. Book value of stock, $125 per share. 118 STANDARD OIL EUREKA PIPE LINE CO. Capital stock, $5,000,000. Par $100. Dividends, 1903, 59%; 1906, 61%; 1912, 30%; 1913, 40%. Assets, $10,904,145; surplus, $4,869,127. Book value of stock, $212 per share. GALENA SIGNAL OIL CO. Capital stock, $14,000,000, com. and pref. Par $100. Dividends, 1912, pref. 8%, com. 16%; 1913, pref. 8%, com. 16%. (Com. stock increased from $8,000,000 to $12,- 000,000 by 50% stock dividend in 1913.) Assets, $16,653,237; surplus, $4,882,009. Market value of stock, com. $186; pref. $135 per share. INDIANA PIPE LINE CO. Capital stock, $5,000,000. Par $50. Dividends, 1903, 76%; 1906, 43.6%; 1912, 28%; 1913, 32%. Assets, $7,322,435; surplus, $1,315,058. Book value of stock, $69 per share. NATIONAL TRANSIT CO. Capital stock, $12,727,572. Par $25. Dividends, 1903, $2,545,000; 1906, $5,090,000; 1912, 12%; 1913, 12%. Assets, $14,997,996; surplus, $1,665,465. Book value of stock, $28 per share. NEW YORK TRANSIT CO. Capital, $5,000,000. Par $100. Dividends, 1903, $3,950,000; 1906, $2,100,000; 1912, 40%; 1913, 40%. Assets, $11,719,820; surplus, $5,029,864. Book value of stock, $221 per share. OR THE PEOPLE 119 NORTHERN PIPE LINE CO. Capital stock, $4,000,000. Par $100. Dividends, 1903, $80,000; 1906, $2,000,000; 1912, 5%; 1913, 10%. Assets, $1,277,102 (on capital of $1,000,000). Book value of stock, $110 per share. OHIO OIL CO. Capital stock, $15,000,000. Par $25. Dividends, 1903, $1,200,000; 1906, $320,000; 1912, 20%; 1913. 57%- Assets, $65,587,971 ; surplus, $49,225,412. Book value per share, $107. PRAIRIE OIL AND GAS CO. Capital stock, $18,000,000. Par value $100. Dividends, 191 1, 23%; 1912, 25%. Assets, $65,431,700; surplus, $37,217,688. Book value of stock, $306 per share. SOLAR REFINING CO. Capital stock, $2,000,000. Par value $100. (Capital increased from $500,000 in 1913 by 300% stock dividend. ) Dividends, 1903, 270% ; 1906, 70%. Assets, $3,717,826; surplus (on old capitalization), $3,- 012,170. Book value of stock (on old capitalization), $702 per share. SOUTHERN PIPE LINE CO. Capital stock, $10,000,000. Par value $100. Dividends, 1903, $600,000; 1906, $4,600,000; 1912, 28%; 1913. 32%- Assets, $13,620,589; surplus, $2,997,443. Book value of stock, $135 per share. 120 STANDARD OIL SOUTH PENN OIL CO. Capital stock, $12,500,000. Par value $100. Dividends, 1906, 172,%; 1912, 30%; 1913, stock dividends of $7,500,000. Assets, $17,572,002; surplus on old capitalization, $13,908,- 286. Book value of stock (old capitalization), $626.33 P^"^ share. SOUTH WEST PENN PIPE LINE CO. Capital, $3,500,000. Par value $100. Dividends, 1906, 12%; 1912, 20%; 1913, 20%. Assets, $5,019,103; surplus, $1,133,954. Book value of stock, $145 per share. STANDARD OIL CO. OF CALIFORNIA. Capital stock, $44,933,994 ; increased from $25,000,000 July 1912. Par $100. Dividends, 1912, stock increase and $1,123,350; 1913, 10%. Assets, $67,315,903; surplus, $20,196,002. Book value of stock, $145 per share. STANDARD OIL CO. OF INDIANA. Capital stock, $30,000,000. Par $100. {Capital increased from $1,000,000 by 2,900% stock divi- dend in 1912.) Assets, 1906, $27,502,090. Dividends, 1913, 32%. STANDARD OIL CO. OF KANSAS. Capital stock, $2,000,000. Par $100. {Capital increased from $1,000,000 in 1913 by stock divi- dend of 100%. ) Dividends, 1906, 135%; 1913, 40%. Assets, $2,321,921; surplus, $1,088,579 on capital of $1,- 000,000. Market value of stock, $485 per share. OR THE PEOPLE 121 STANDARD OIL OF KENTUCKY. Capital stock, $3,000,000. Par $100. (Capital increased 1914 from $1,000,000 by 200% divi- dend.) Dividends, 1903, 100%; 1906, 200%. Assets, $5,105,355; surplus, $2,799,253. Book value of stock, $433.34 per share. STANDARD OIL CO. OF NEBRASKA. Capital stock, $1,000,000. Par $100. (Capital increased from $600,000 by 662-3% dividend in 1912 and 1913.) Dividends, 1912, 20%; 1913, 30%. Market value of stock, $480 per share. STANDARD OIL CO. OF NEW JERSEY. Capital stock, $98,338,382. Par $100. Dividends 1889 to 1894, 12%; 1895, 17%; 1896 to 1912, from 21 to 48%. Cash dividend of $39,335,320 distributed 1913, besides 20%. Market value of stock, $427 per share. STANDARD OIL CO. OF NEW YORK. Capital stock, $75,000,000. Par $100. (Mapital increased from $15,000,000 in 1913 by 400% div- idend.) Dividends, 1903, 70%; 1906, 10%. Assets, $94,191,328; surplus, $59,386,338. Market value of stock, $187 per share. STANDARD OIL OF OHIO. Capital stock, $3,500,000. Par $100. Dividends, 1912, 5%; 1913, 20%. Market value of stock, $445 per share. 122 STANDARD OIL SWAN AND FINCH. Capital, $500,000. Par $100. (Capital increased 1912 from $100,000 stockholders sub- scribing at par.) Dividends, 1903, 65%; 1906, 90%. Assets, $1,279,662. Market value of stock, $280 per share. UNION TANK LINE CO. Capital, $12,000,000. Par $100. Assets, $12,074,326. Market value of stock, $97 per share. VACUUM OIL CO. Capital stock, $15,000,000. Par $100. (Capital increased from $2,500,000 in 1912 stockholders subscribing at par for five times their holdings. Stock selling at $218.) Assets, $31,998,058; surplus, $14,675,276. WASHINGTON OIL CO. Capital stock, $100,000. Par $100. Dividends, 1911, 29%; 1913, 40%; 1913, 80%. Assets, $164,920. Market value of stock, $162 per share. WATERS-PIERCE OIL CO. Capital, $10,500,000. Par $100. (Capital increased from $400,000 in 1913 by stock dividend of 2,625%. Standard Oil owned 2,747 out of 4,000 shares of original capital.) Assets, 191 1, $8,487,348; surplus, $6,067,962. OR THE PEOPLE 123 DIRECT OIL TRUST HOLDINGS AS DIS- CLOSED BY COURT RECORDS. Prior to the "dissolution" of the oil trust in 1912, the Standard Oil Co. of New Jersey controlled the following companies through stock ownership: NAME Total capital stock. Bedford Petroleum Co $350,000 Carter Oil Company 2,000,000 Clarksburg Light & Heat Co 100,000 Deutsche-Amerikanische Petroleum Gesell- schaft 2,250,000 Deutsche-Amerikanische Petroleum Gesell- schaft (Share Warrants) 5,250,000 Empreza Industrial de Petrolic 500,000 Empire Refining Co 100,000 Forest Oil Co Gilbert & Barker Mfg. Co 40,000 Hazelwood Oil Co Hope Natural Gas Co 500,000 Interstate Coperage Co 200,000 Lawrence Natural Gas Co 450,000 Mahoning Gas Fuel Co 150,000 Marion Oil Co 100,000 Mountain State Gas Co 500,000 Northwestern Ohio Nat. Gas Co 2,775,250 People's Natural Gas Co 1,000,000 Pennsylvania Lubricating Co 50,000 Pittsburgh Natural Gas Co 310,000 Romana Americana 2,500,000 Reserve Gas Co 2,225,000 Raffinerie Francaise 80,000 River Gas Co 100,000 Underhay Oil Co 25,000 United Oil Co ■.. West India Oil Refining Co 300,000 West Virginia Oil Co 200,000 West India Oil Co 100,000 Amerikanische Petroleum Anlagen 187,500 124 STANDARD OIL Automat Co 10,000 Eschweiler Petroleum Import 7.500 Ghent Petroleum Co 200,000 Hollandische Petroleum Vereeniging 12,000 Mannheim Bremer Petroleum Actien Gesell- schaf t 750,000 Petrolif ere Ghent 20,000 Petrolifere Nationale 10,000 Petroleum Raff, vorm August Korff 375,000 Societe Anonyme H. Reith Co 412,500 Rheinische Petrol. Action Gesellschaft 250 Street Tank Wogan Business — Duren 4,250 Actien Gesellschaft Atlantic 287,500 American Petroleum Co 3,140,000 Gibraltar Petroleum Co 25,000 Imperial Oil Co., Ltd 4,000,000 Det Danske Petroleum Aktieselskab 756,000 Tide Water Oil Co 20,000,000 Tank Storage and Carriage Co., pf d 300,000 Tank Storage and Carriage Co., Ltd., ordinary.. 42,195 Societa Italo-Americana pel Petrolic 1,000,000 Aktieselskabet Ostlandske Petrol. Cie 162,000 Krooks Petrol and Olje Aktiebolag 270,000 Skanska Petroleums Aktiebolaget l3S,ooo Svenska Petroleums Aktiebolaget 27,000 Sydenska Petroleums Aktiebolaget 98,550 Vestkustens Petroleums Aktiebolag 177,500 Koenigsberger Handels Co 575,000 Petroleum Import Co 80,000 Schweizerische Petroleum Handels Gesellschaft 60,000 Societe Anonyme Petrolea 80,000 Wachs & Flossner Petrol. Gesellschaft 25,000 Westphalische Petroleum Gesellschaft 25,000 Queen City Oil Co., Ltd 200,000 Connecting Gas Co 825,000 East Ohio Gas Co 6,000,000 Franklin Pipe Line Co 50,000 New Domain Oil and Gas Co v 1,000,000 St. Paul Pet. Tanks 250,000 Societa Meridionale pel Commercio del Petrolic 120,000 Societa per gli OH Mineral 156,000 Societe Tunisienne des Petroles 80,000 International Oil Co., Ltd 2,750,000 Total $66,930,995 OR THE PEOPLE 125 Known holdings acquired since 1906: Standard Oil Co. of Louisiana $5,000,000 Standard Oil Co. of Brazil 500,000 Oklahoma Pipe Line Co 5,000,000 Capitalization increase of Imperial Oil Co., Ltd., additional to above 1 1,000,000 Grand Total $88,430,995 126 STANDARD OIL PRINCIPAL STOCKHOLDERS IN STANDARD OIL BEFORE THE GOVERNMENT "DISSOLUTION" SUIT WAS BROUGHT, AUG. 19, 1907 Shares John D. Rockefeller 247,692 H. M. Flagler 30,500 Wm. Rockefeller 11,700 J. D. Archbold 6,000 H. M. Hanna... 4,000 Est. of John Huntington 6,500 Est. Josiah Macy 4,9oo O. H. Payne 40,000 Est. Chas. Pratt 52,802 C. M. Pratt 5,000 H. H. Rogers 16,020 L. H. Severance 7,40o Est. Wm. G. Warden 5,858 C. W. Harkness 43,4oo L. V. Harkness 13,100 Wm. L. Harkness 14,000 Est. H. H. Houston ",775 Helen C. Bostwick 6,048 V. Everit Macy . . .' 7,300 Total, 19 shareholders 523,985 Total stock outstanding. 983,383 Percent held by above 53% OTHER LARGE SHAREHOLDERS IN STANDARD OIL, AUG. 19, 1907. Kate Ladd 2,076 W. G. Ladd 350 Est. D. H. McAlpin 1,400 Alexander McDonald 3,374 H. C. Folger, Jr 2,125 Est. Daniel O'Day 2,655 Chas. Pratt & Co 1,312 W. T. Scheide 1,000 OR THE PEOPLE 127 Joseph Seep i,6oo W. P. Thompson 2,725 Elmira D. Brewster 2,240 F. F. Brewster 2,640 G. S. Brewster 2,565 R. S. Brewster 2,540 Est. W. V. Brokaw 3,395 F. Bostwick Carstair (trust) 1,500 C. M. Chapin 2,184 C. A. Griscom 3,000 Chas. B. Hogg 1,225 Mary B. Jennings 2,600 John S. Kennedy 3,000 E. T. Bedford 3,300 Est. H. R. Bishop 1,598 A. C. Bostwick (trust) 1,500 A. F. Bostwick (trust) 2,217 A. F. Bostwick (trust) 500 H. C. Bostwick and others 2,217 H. C. Bostwick and others 2,217 H. C. Bostwick and others 2,217 C. F. G. Heye 2,514 Est. A. J. Pouch 500 W. T. Wardwell 750 Julia H. York 1,600 Emma B. Auchincloss 2,366 Annie B. Jennings 2,373 Esther Jennings 5, 500 Oliver G. Jennings 2,300 Walter Jennings 2,550 Walter J. James 2,373 Wesley H. Tilford 6,000 Catharine N. Tilford 600 J. H. Esmar 2,578 T. H. Wheeler 1,375 128 STANDARD OIL MONOPOLIES CONTROLLED BY STAND- ARD OIL. PETROLEUM OIL GAS KEROSENE TURPENTINE NATURAL GAS GASOLINE AND 200 OTHER BY-PRODUCTS OF OIL. VASELINE CARBON PAPER LUBRICATING OIL PARAFFINE CRUDE OIL BENZINE NAPTHA OTHER MONOPOLIES IN WHICH STANDARD OIL MONEY IS LARGELY INVESTED. Railroads Alcohol Steam Pumps Banks Rubber Typewriters Insurance Leather Telephone Coal Print Paper Telegraph Steel Public Service Matches Iron Corporations Real Estate Copper Glue Grain Lead Mica Tin Zinc Automobiles Cement Ships Rubber Tires Ice Lumber Express Chewing Gum Water Power Companies Shoe Machinery Sugar Gunpowder Ammonia Tobacco Ammunition Sulphuric Acid Electricity Candy Washing Powder Coal Products Glucose Soap Agricultural Im- Eggs White Lead plements Milk Oil Cloth OR THE PEOPLE 129 Linseed Oil Coke Threshing Machines Cotton Seed Oil Paving Blocks Creosote Reaping Machines Plough Putty Benzol Salt Coal Tar Lard Bread OTHER MONOPOLIES THAT AFFLICT THE PEOPLE. Woolens Furniture Wooden Ware Earthen Ware Glassware Oatmeal Cereals Brick Dry Goods Knit Goods Canned Goods Fish Biscuits Carpet Dental Supplies Marble Silverware Olive Oil Peanuts Nickel Shoes Sewing Machines Elevators Rope and Twine Car Wheels Palace Cars Terra Cotta Pianos Wringers Wall Paper Sandstone Writing Paper Clothing Diamonds Beer Carpets Fruit Flour Drugs Straw Board Stoves Paving Pitch Watches Clothes Coffins 130 STANDARD OIL STANDARD OIL CO. IS ASKED TO HELP START NEW CITIES TO DRAW OFF THE SURPLUS OF POPULATION FROM NEW YORK. April 2, 1914. Mr. Henry C. Folger, Jr., President Standard Oil Company of New York. Dear Sir: Following my conversation on Tuesday last with your secretary, Mr. Welsh, I herewith submit my proposal in writing as he suggested. The present period of business depression makes it apparent that there are too many people clustered in New York City for comfort or for safety. Under the economic change that is going on, a large part of the population is unable to obtain steady employment and their subsistence is precarious. At the rate of growth during the past fourteen years (140,000 a year), the city will have a population of 7,000,000 in ten years. This is more than has been massed together on an area the size of New York City at any other time. Rome never had more than 1,500,000 within its borders. So far as transportation is concerned. New York can accommodate such a population with only slight incon- venience, the objectionable period of traffic being the "rush hours.'' Under present market facilities, New York can he provisioned for only two days at a time. With a million and a half more persons to feed, the prob- lem of subsistence will be acute even though market facil- ities are enlarged to meet the increase in population. The cost of living is high now because there are too many persons to be fed in this city and because the volume of OR THE PEOPLE 131 farm products is diminishing, as well as for other rea- sons. The future holds little prospect for the average work- man in New York City beyond an occasional period of employment and hardship the rest of the time. This con- dition will become aggravated as the population increases. While the question of housing and transportation may be solved, the problem of employment and subsistence is left to chance or good fortune for the bulk of those who are always on the borderline of poverty through limited earn- ings and because their employment is subject to economic change. A million and a half more population will jam every available city lot along the new subway lines. New York City will be a community of tenements and lofty apart- ment houses and will present a spectacle never parallelled. Such a congested condition is pregnant of great danger because from one to ten per cent, of the working popu- lation is always out of employment. In Rome, the slaves who outnumbered the freedmen three to one during the period of greatest congestion, overran the community and pillaged repeatedly for food and other subsistence. There are at least 100,000 persons in New York City to-day who would be glad to leave if they saw a chance for steady employment and brighter prospects elsewhere. This includes workmen of all trades and many business people. There are many large firms who would be glad to leave the city with their workmen if they were assured of lower rent and taxes and if their workmen could be comfortably housed. / am, informed that 4,000 business arms have left New York City during the past few years. There are at least 100,000 young men and women who would be married within a week if the prospects for the future were improved. Most of these see a hopeless con- dition in New York City. In emphasizing this point I call your attention to the numerous marriages that fol- lowed the increase in pay of Ford employes. 132 STANDARD OIL A new city with an ultimate population of 500,000 could be developed around a dozen manufacturing plants. Business of all sorts such as now exists in any large city would grow up and there would be a continuous influx of newcomers and no cessation of activity for many years. Those who live in large cities do not leave them to go elsewhere except to improve their circumstances. Resi- dents of New York, no matter how poor, would not go to Buffalo or Rochester unless they were assured of em- ployment or financial aid when they got there. They would be worse off in another city than their own, with- out employment and without means of subsistance. Provide them with the opportunity for industry and advancement in a NEW city and my judgment is that nothing would restrain them from going. They would go in groups and make the best of conditions until the city developed. If such a city were laid out it could be developed on a new basis. If the land were purchased for the munici- pality, it could be leased to the people in lieu of taxes. The rental would be only nominal, each new inhabitant adding to the value of the land which originally had little value. Money advanced for the purchase of the land along one of the principal railroads running out of the city, would be amply secured by a mortgage which could be paid off gradually. The public utilities such as gas, electric light and transportation, could be constructed with borrowed money and bonded. There could be no safer investment than public utilities bonds protected by the income from such property. In every city to-day earnings of public utilities are made to provide dividends on stocks as well as in- terest on bonds. There need be no waste from politics or mismanage- ment in a city such as described, the director of the com- munity being appointed by the bondholders and those who hold the mortgage, to properly administer the affairs of OR THE PEOPLE 133 the community — such power of appointment to be lodged only until bonds and mortgages are paid off. In such a community rent would be low. Those who own large business plants would save many thousands of dollars annually in reduced taxes. At the present time taxation in most large cities is exorbitant. This fact adds greatly to the high cost of living. There is room for 500,000,000 more people in the United States if properly distributed. There should he more cities of moderate size established, and these would draw off part of the population of the largest cities. Farming would develop around these new cities and the food problem would be partly solved. All large cities are now menaced by a scarcity of food and by the high cost of provisions. My reason for submitting this proposition to Standard Oil to provide capital for the purchase of land and the construction of public utilities in the new city is that Standard Oil is interested in utilities investments in most large cities and knows the security of such venture. An- other reason is that Standard Oil has capital to invest in any fair project that offers a safe return on money in- vested. Such new city as I propose would relieve social and economic hardship in New York City, and the experiment would be followed in other countries as well as in the United States. A new form of city government would develop for the next fifty years (as long as the bonds sur- vive), after which these new cities would be free from debt and prosperous. I trust that Standard Oil will see in this proposition a solution of the hardship of present conditions in most large cities and a restoration of living conditions through- out the country. With thanks for your consideration, I am, Very truly yours, HENRY H. KLEIN. 134 STANDARD OIL ONE HUNDRED FAMILIES WHO OWN HALF THE WEALTH IN THE UNITED STATES AND CONTROL THE FATE OF THE BALANCE. ^^ROCKEFELLER iZARNEGIE HILL GUGGENHEIM -ASTOR VANDERBILT DOLAN BENEDICT BOURNE SE LI OMAN SLOAN SPEYER WEYERHAUSER BERWIND MORGAN 'JIARRIMAN RYAN DUKE >«RMOUR JFRICK PHIPPS IHJNTINGTON GfDULD CLARK STILLMAN itfcCORMACK SCHIFF FIELD SAGE' — BAKER HARKNESS FLAGLER PAYNE PRATT EHRET MORTJ&N MILLS HAVEMEYER WIDENER ELKINS /OUPONT DREYDEN GREEN HEGEMAN ALDRICH WHITNEY ROGERS ARCHBOLD GERRY DODGE PERKINS PABST BUSCH HEARST FAIR CROCKER MOORE REAM SWIFT CUDAHY MORRIS PULLMAN WEIGHTMAN MACY SEVERANCE BILLINGS WESTIIJ&HOUSE GRISCOM WETMORE STEPHENSON BIDDLE DREXEL McALPIN BLAIR LEWISOHN BOSTWICK SPRECKELS MACKAY BELMONT McLEAN PIERCE KENNSeY-' LEDYARD SCHWAB -_ CRANE MARSTON CLAFLIN REID PULITZER ISELIN LORILLARD OLIVER PYNE CONVERSE STOTESBURY PENFIELD GOELET DEERING PEACOCK HAGGIN