, 1879-03-23
PETROLEUM..
The inside Workings Of a Gigantic Grind
ing Monopoly.

Inc Inside Workings of Gigantic Grind.
ing Monopoly.
J. Specful Disuatca to TIC 7t7bune.
PHILADELPHIA, Pa, March 2o.-In the 1enor
I Of the oil investigation yesterday no mention
was made Of the following letter, which shows
how effective was one Of the leeches In thf
| business:
orr'cE or THE AMERICAN TRANSFER COMPANY,
" HLt ci4x, 5, Esb Z; is7S;L4 = cassat, Third
feftlng to the conversation had with you In Jan
| uary, wish to submit the following facts: That
our COMPANY bus at large exneuse, involving the
payment Of several hundred thousands OF dollars.
pittsbars, through which We are able
Railroad in paying the rate OF freight A'tey for
the oil it carries but also to secure to thai Com
nany, br an agreement with it, its full proportion
qua,ntea with the efforts we have but forth in Other
directions during the Inst month in which We haye
acted IN thorough accord with the trunk lines in
have, TO tho cxtent OF our ability, eectuaIfy nro
tcctcd their interests in such action. I here re-
peat what once stated to you. aud which asked
namely: that wc have been for many months
receiving from the New York Central ind Erie
Railroads, certain sums OF money, in no instance
less than 90 cents per barrel on every barrel Of
crude OIL Carried oy each OF the trunk roads CO.
operating as we are doing with the Standard OIL
Company anu trunk lines in every effort 70 secure
lor tDe fafo1os paying rates ol freight on the oil
They Garry, AM constrained to say 10 on that in
Justice to the interest repreeent, nc should re-
selye rom your Company at least e cents on each
barrel OF crude oil transport. The fruit Of the
eo~oNerat1on referred to has been fully evidenced
III tGs tact - tat since last tall ronr Company has
received oo 70 0O cents per barrel more freight
than was obtained by it prior to our co-opc7a-
tion.
In submitting this proposition feel should ask
1876. but am willing to accep; as a compromise'
which is to be regarded az strictly private one
!3e 59tween your Company and ours, the payment OF
mencing with Feb l, 1873.
make this proposition with the full expectation
that u viii hc acceptable to your Company, but
Win the Understanding on my part that IN so doinp
III. not asking Us much Of the Pee nsylvania Kali
road anu its connections az have been and am |
less aware that during the last two years larse
amount of oil has been shipped to Richmond yfa
Tue Cnerapeake s Ohio Road, and that since The |
purchase Of tho Pittsbuzy lines By Us not onc hor
ret has been permitted to 20 in that d;ree,inn i'm
During 1s77. and 80 long as the Columbia
Conduit Company afforded the Baltimore s. |
understand, refused to receive from other rrnnh
ines for ts proportion OF the oil traffic less than
y y per cent PUT after the purchase BY us Of the
With the Baltimore & Ohio for aooat half m ,nnrS
$ they previously claimed ~A
! may add that the Baltimore & Ohio Road ara
Tholfy dependent upon us for any oil thew nav I
afrY' 1oufs truly DAS1EL O'DAr.
General Manager |
The covert warning in the last few sentences
ad the intended effect. On May Is, three
months after its receipt, SIR Cassait addressed
letter 70 .Nobert Downing, Comptroller Of the
commission Ut 20 cents per barrel On ali crude
u shipped over the Con1pan7,g lfue ia NV
o1k, . fn1ladelphia- and Baltimore, from the lst
February previous, and also 10 make such !
u. .Ltlenlcuss WIN the Company monthly On |
e same day, Mr. Cassat., writing to t1r. O'Day.
formed him that directions had been given -
IoH me Company the commission asked for