Wheeling Sunday register. [volume] (Wheeling, W. Va.) 1882-1934, 1899-09-10


PLACED IN A BAD LIGHT
WASHINGTON, September 9.-The
Industrial Commission opened to-day
with H. H. Rogers, president Of the
National Transit Company. one Of the
branches of the Standard Oil Com
pany, ON the stand. He said he had
consulted with Mr.. Archbold before the
latter made his statement and that he
fully concurred in all that Mr.. Arch
bold had said. He, like Mr.. Archbold,
favored a national corporation law as
in the interest of both the corporations
and the people at large, and he thought
that if the United States was TO achieve
its legitimate destiny as a commercial
nation, the constitution should be
amended in this respect. Referring to
the oyer-capitalization of companies,
he said that il was a matter that al
ways took care of itself because the
public would not long buy stock which
would not pay a dividend. He did not
believe in restrictive legislation, be-
cause he was satisfied that the tenden-
cy to gamble was born into many peo-
pie and would be INDUCED in, regard.
less OF the existence OF laws or Of Wall
street or of Lombard street.
He said In reply to questions from
Mr.. Phillips that the National Transit
Company exists under special char
ter from the State of Pennsylvania and
that this charter was very liberal in
its provisions.
What did you pay for it?" the
chairman asked, to which Mr.. Rogers
replied:
Il do not know the exact amount, but
as it is good thing l have no doubt
the owner OF it did not let it go without
getting a good price for II. !"
Mr.. Rogers stated that the Standard
price for carrying oil through its tank
lines was 20 cents per barrel. and he
said he considered this as very reASon~
able, notwithstanding MIR. Philllpa uOA-
tended that seven cents WAS sufficient.
Mr.. Phillips, vice chairman Of the
commission, here took the stand &C
make a statement In his behalf IN reply
to Mr. Archbold. He read his states
ment from manuscript, making full
explanation of his connection With the
Pure Oil Company. He said he was
| free to confess his connection with this
company and that the object OF it Was
ito combine several interests In the
same company.
This company" he continued, has a
| fraction over one-half OF It's stock in
| the shape of voting trust, the tTua-
| tees being charged with the sole duty
OF electing directors OF the company II
connection with their stockholders. yes
having no right to manage its business
affairs"
He then proceeded TO give the rea-
sons for this organization In this form.
which, he declared, was the purpose OF
keeping the Stanard company out Of the
organization That company had made.
he said, several efforts to get In, for
the purpose Of comprising the destruc-
ton of the Pure Oil Company and Sc
curing information that would lead e
the destruction of the Independent
movement"
To defeat the Standard company IL
! its r'hostile invasion" Of the independ-
ent companies had cost about $l5,OO0
In money and much time and labor.
Because" he added, "of the attempt
Of the Standard oil Trust to force
| themselves into these Independent or
| ganizations without invitation ard
against the will Of all the independent
members. It was thought wise In the
! organization Of the Pure OIL Company
TO have at least half Of its stock put
| into a voting trust IN the names OF men
Of tried loyalty to the independent in
| terests.
The Pure Oil Company is in no sense
trust. 1t is not csganized for the
purpose Of securing a monopoly, but %
prevent a monopoly and preserve COM
| petition in the petroleum industry.
"Mr. Arehbold was therefore incorrect
| In stating that the Pure Oil Company
| is a trust or that any Of the Independent
| producers or reiners are members 0g a
trust in the obnoxious sense III which
that word is understood, meaning
monopoly"
Speaking OF the profks OF the stand
ard Company, Mr.. Phillips said the
| dividends Of that company would show
without regard TO the surplus that thfy
have made more profit on every BAR
| rel Of oil they produced than they paid
| the producer for It
He estimated that the profits averag-
ed one dollar per barrel and that in the
aggregate they amounted to about $500
I 000. 900.
| Mr. Phillips admitted that some four
or five years ago. he Rad called upon the
4 standard Company authorities with the
! view To making a combination. but
said be had not done so since. The OBJ
/ iect then vas to secure cessation Of
4 h0stilltles in the piping and selling q
I oil. and 70 secure the right to deliver oil
I In New York The Standard people had
refused 10 make any concession and had
proposed in lieu To buy the indepen-
! dent plpe line. There never had been 3
I time when be would have been willing
personally 10 go into a combination with
/ them. and the insinuaEion Of Mr Aren-
I bold that his people lacked faith IN the
J Tnsependen. managers WAS. he said, a
| gratuitous insult 70 q large body Of
/ business men OF high character.
| While reading BIS paper. Mr. Phillips
vas asked What ne would be wiling 10 take
Tor hts stock In the Pure Oil Company.
and liz replied that since his company had
won 4 footing IN the German market ID
go Il. ......4.ss. 49,