Standard Oil Company; Trusts, Industrial -- United States
The three trustees who bought the control of the Vacuum stock did
not keep it for themselves. They transferred it to the trust, and
received for it shares in the trust. They were not stockholders in
the Vacuum, but stockholders in the trust. It was the trust which was
the real stockholder in the Vacuum. The profits on this Vacuum stock,
therefore, went into the common fund in which the trust accumulated the
profits of all its controlling ownerships in companies all over the
country--all over the world. Every trustee shared in the profits of
every company so controlled, whether in the United States or Europe or
Asia. The president of the trust, now on the witness-stand, was a large
participator in the profits of the Vacuum, because he was a large owner
in the trust which possessed three-quarters of it. Similarly as to the
three trustees indicted and on trial, and every other trustee.[494]
The case was interwoven, notwithstanding the exclusion of this by the
judge, with evidence that the three members of the trust on trial
were the managers of the company for the trust, and were consulted
habitually about the current details by the salaried agents.
"After this purchase was made did you continue to represent the
purchasers in the management of the affairs of the Vacuum Oil Company?"
one of the three was asked.
"I did."
After the purchase of the Vacuum by the trust, Mr. Matthews, before he
left to go into business on his own account, had to go to its office
in New York half a dozen times, to see the New York directors when he
wanted instructions. His testimony on this point covers thirty pages of
the official testimony, and shows repeated interviews between him and
the members of the trust about every kind of detail of the business of
the Vacuum. When Matthews asked the manager of the Vacuum to give him
more pay, the latter had told him to speak to one of the trustees--one
of the three now on trial. "It will be as he says about it." Again, as
to another matter, he said to Matthews: "I cannot tell you. There is no
use for me to pretend that we run our business, for we do not."[495]
This evidence must be sought in the original records of the case at
Buffalo, as it is left out in the transcript furnished by the trust to
the committee of Congress, which represents the case against the two
local managers only. The Rochester manager, after the explosion, and at
the time of sending for Albert to come to New York, telegraphed to his
son: "Our views with regard to Albert confirmed." By whom? as Matthews'
lawyer asked. The manager saw one of the three accused trustees in New
York after he returned from the trip to Boston to hide Albert. "I told
him that I had hired him," he testified.
Public-domain text, read in full here on John Shaqi.
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