New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1872-03-07

With the evccptor - the Franklin branch OF the At
lantic and Great Western Railway, the pennsylvania
Railway Company has monopoly oi every avenue OF
Trade 70 and from the oil regions. The Allegheny Rail
road was first constructed these regions connecting
OH Civ with Pittsburgh; the Pennsylvania Railway
tnen secured the branch road from Cory TO Oil City,
gaining thereby complete circuit Of the Oh
Creek region The Erie and Pittsburgh cor
poraiion was next reduced 10 submission A
conpanv was forthwith organized 70 thWart the
aims OF the great corporation, and the Union
and Ttusvile Railroad the result This line was
scarcely open before was discovered that the Penny
vania Railroad held controlling interest in the stock OF
the company. The Warren and VcranC0 line was the
result Of another effort to shake OF the monopoly but
proved equally aborye The fate OF all competitors for
ID trade Of the oil regions has been the same
The Southern Improvement Company Is the union OF
the interests OF the Transporting railroads and az th-
reduers oil Cleveland supported by those OF Pittsburgh
situated in an adyautag position for supplying the
Western market these two cities were seized with the
desire furnishing all the refined petroleum for the
and the export trade. Great difficulties arose, how
ever from the fact that, lying further west than
the oil regions they were compelled transport crude
oil 10 their lGcric and thence eastward over longer
route than the rcncres situated at the oilproducmg
regions This disadvantage was partially overcome
however. by a discrimination III the freight tarif To
Cleveland; for, while tie rate from Titus
VILE TO Ncw-Yorl was g. 81 per barrel, and TO Boston
s, So I'll. charge from Cleveland to New YORK, much
greater distance was only 81 10. and to Boston 81 35
Ether of these charges would yield the railroad com
Uanies FAR profit. Cleveland was enabled 10 make good
terms by having choice Of routes. while TluSvhIe was
entirely al the mercy OF the Pennsylvania Railway The
couplaus from the oil re ion4 few, n0twithstand
ing the very unfair position in which the district was
paced The natural advantages Of the region induced
The oil producers to form corporations and erect their
own rehneres acid works. tank factories, and cooper
shors Thu the refining interests of Cleveland aAd
Pittsburgh were damaged and a ncw move rendered
necessary return OF he crude petroleum %ac
o. these cities
In the winter Of 1870 bin was hurried through the
Pennsylvania Legislature, giving charter to corpo-
ration STYLED The Southern Improvement Company
The incOrpOratOrs named were George Blake, L. j.
Barclay, u. +. Jones, :. :. Moon, ana joseph
walton; and the nominal capital was set down
at s1OOONOO. Under this charter great railroad
monopoly has been formed, which Is supported
by interests representing $ZG5,OC00O0. Nearly year
was occupied IN perfectinS the plan, and 1t was
not until late in 1871 that the organization be
came complete The cooperation OF the four great trunk
incs-,he Pennsylvania the Erie. the YORK Central
and the Baltimore and Ohio COmpanies-was secured by
an agreement on the following basis The Eric and New
York Central Railways 10 be awarded each 2t per cent
and the Penns yIyania Central, including the Baltimore
and Ohio interest 10 per cent Of the addition 10 the
freight tariff over the old rates which exaction was 10
be rendered possible by the consolidation All
things being ready, the mammoth organza-
tion beran about two months since, TO feel the
mise o! the Eastern petroleum dealers. AT nrst slaA
advance was made the freight tariffs under the pre-
+crsc ~ An increase in the expense Of transportation
This NOT meeting with formidable opposition, the
rates about Feb. stl further advanced These
facts gave rise TO apprehenscns on the part OK
many heavy dealers that monopoly OF transportation
companies had been formed, but as no positive poor
existed OF the fact save In the UNIFORM increase OF ldrL
the rates submitted 10.
The prtro.e n 'eiests OF ooh NeW 1orn a , f h
were Startled, on Monday LAST } th lsS'e .! .n
Ing new rlte per barrel Of A. gallons under the aie
proyl OF the southern improvement olnptTl B,n
on 2lr q p St1 pa on T1Ha New Tara
To y-v.York...... 81 % so *iM -
70 was made by which the refner, OF
ClryeI,ud and Pittsburgh, belonging 10 tr I4-' re-
COVE a DRAWBACK " 81 per barrel wLich VIII nrt 10 me
W t,- e. nOo 100 alone while refined oil from IL
fns NOR ti nav freight charge II than J
t linn or Al l6 to 81 ~ per barrel more than be-
80 ~, riIrnod con paues get excellent profit
tore Inc rlro" ,rd rom thS rennprcs OF the .so-
catIou while the extra tarh is uerdHJ e4'oIteu Hon
Ut me ot,,ra eject of such a monopoly Is that ring
& 1i little limit act 10 their profit. This result Il
of petroleum but IL TO BE- regarded as a controHIIg
me future The addition OF 81 per barrel TO
all dealers who purchase renheu O ,u MIN ,t.yy
have The eject OF driving the entire business ,o eHe
hands Of that corporation me eo,ro 81 tbe entire
I'll producing district, can buy oh on lts o@ w rr
and nv creating a scarcity or the prOuuCt IA ~
arket so enhance the price to secure an enurhts
profit in addition TO the extrayaGhnt ~ 'o'
freight - .,,,.epn
THE NEw-YORK MERCHANTS AROUSED
The oil dealers this city, finding the potroeo'n '
rest, Of the metropolis at tie mercy OF rinS a'"
ated solely by the desire to plumber WITHIN "-i'
urnits have been IN earnest consultation iui So'
81 dovs The subject was the theme OF universal
oonver.ation I'm the Merchants Exchange yes
terdav. and the Southern Improvement oo"pa"J
WINS denounced the gest terms Later III IA i
. meeting of the menibeTr nj the Petroleum
Te va. held nj tno Office OF josiah Mays son, it
1,,it.fion I'M reference to lhe reported project 20
,r0nopoiizr the business. Charles Pfdtl was hA
49,, AMI 1 H. Wckcs, Secretary. communication
was read by Josiah Macy. r., from an ON, u LII
IuIurovcmcnt Company, requesting an mtetNi,N ~
Z tin trade Committee Oi tnree We hpl - -,
'-tlur OF iic.srs. Burke, Macy, and Freeman ~ '
+ the re .rescntatiVcs Ofthc Compnn! hnd report VI