The sun. [volume] (New York [N.Y.]) 1833-1916, 1879-03-22
MoyoroLTzivo THE on BUSINESS.
The Pennsylvania HaiIrond's FruitIess Fight
with the Standard Company.

PHILADELPHIA, March 2l.-The proceed
ings in the suit Of the Oil Producers Union ngt.
the Pennsylvania Railroad Company 1t al.. for
alleged freight determinations in favor OF the
Standard oil Company. being an application
for permanent injunction restraining the de-
PENDANTS from so discriminating. were con-
tnucd to-day before J. b. Sweitzer, General
Examiner At the session yesterday afternoon
Vice. President Cassatt Of tho Pennsylvania
Railroad Company was called as n witness. He
was examined on technical points regarding
the contracts with the Standard Company. Tho
rebate allowed that company for timo was 223i
cents on barrel. but no preference was shown.
At the session to-day Mr. Shiras. for the Com
monwcnlth. asked the witness If he did not say
yesterday that at the conference in July 1878.
at Saratoga. when the rates we're cut down to
eighty cents, these rates wero allowed to tho
standard Oil Company and not to outside
shippers, Mr.. Cassatt replied that nj that iimo
the Standard was the only company shipping
refined; rye reduction IN Grqdee' howgyer: w ,5
ON REORGANIZATION by Mr. MacVcngh tho
witness said that 70 the best 81 his knowledge
no officer OF the Pcnnsylvanin Railroad was nc
| any time Interested in the standard OIL Com.
| pany; nor was ary officer Of the Baltimore and
! Ohio Railroad Company. M far rs he knew
I Neither Mr.. Vanderbilt representing the Now
| York Central nor MIR. Jcwru. representing the
/ Erie. was in any way connected with the stan
| dard oil Company. He continued;
In 1873 the nrst contract was made with the standard
! on Company. because ~ that time We found
! ncs. w. md 10 do something to protect ourss,cs
In that wear the oh was carried by the Empire Tmns
poriauon Company, hut the contract was directly he.
tM,cn i9c sim,ad Oh ,omIany sn, he rNn4. i'o.'
when ended at he request " the standard Company
rans Ss % p,5 S,er i ,6s Sew York ccn,ra and
Ine ltuirosi' and daring The laugg rlrt Of thc time
| san Co carry oii 1876 The four trunk h1cs were
rs2 Rayc a 'Sm scS in 'I i rSm aS ao'
The standard could and di sp over the ether roads 10
carried barrel % standard oil NJ rate lev. lh,n nat
Trims iies Tns r,nnsvivann RAILROAD Clirrnn, 90.
Irep-ror'auon crnrnn, ~ Che on trade and the o,9cr
| TO drive The Fermentation COMPANY ou' Of
iat .u,incs, IL was o. wis account VA
Ihc .r.' value " I tonnage The Penn, wanna 4 .
pi t,,r "w6ue he staniari was shipiin, Gv other
fcnn., yanl Rtrout company MNscarrNing for nncr,
lasted each ld was cutirg the other, and he Penn
other truuk lines carried the standard oi At u much
9S Sg ae 11 M T w a, T ip r @ T TSSr 'S s
scquonrV Tus contest was not 40 inuuu, To TIE other
cent Of the frame TO the sabeard The baltimore amt
ohio got per cent aud ne balance vas divided 3s
during The summer Of 1871 the oil was car
I he che SSS sapcafc aud Ohio Rail road 10 Rthmond
on was transported from cleveland to Buffalo by water
nshtwss in october is77 ami after that hcrc wa. No
uli shipped during that season except by rail- rcduc
! uon Of 10 PER cent made. which lasted until May
1874 We followed the lead Of IN" New York ROADS ate
| Tint in making concessions our agreement was tina
our rates the standard Company should be a. low
those ~ the other lines An effort was madc by ti'
trunk lines 10 secure paving rates Cor m shipments Ih
Pennsylvania Railroad tired more than once 10 sct ih
other hines out the decisions nude by NCWseve
without the aud OF the STANDARD ui COMPANY. tut ih
lines have power 20 compel the standard 60 ship uNo
any particular Ne IL could only bee done by screcucu
With them. During the contest We got net much NOR
than per cent the whole refining hnsincs and TN
other lines must have got the remaining - per cent
In answer 10 Mr. MacNeagh. Mr.. Cassatt SAT-
that the Pennsylvania Railroad Company con
fined It's entire operations TO Transportation
and was not Interested in any other way in tn
oil business. The difference is not in res pee
To the making Of rates by contract among tn
lines. but Ia the manner OF making secret rates
The standard OIL Company. controlling 40 pe
cent. OF the business. would be apt TO choose IL
own rate from the oil regions 10 the seaboar
rather than submit to the railroad companies.