The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1899-03-22
RIcE'S STATEMENT

In the Standard OIL Inquiry = Says
that Railroads Were Secretly and
Criminally Blackmailcd by the
Company.
NEW YORK, March 21.-The hearing
In the case OF the state OF Ohio ex rel +.
S. Monnett, attorney general. against
the Buckeye Pipe Line Company Of
Lima, Ohio, was resumed to-day In the
office of Charles Edgar Mills, sitting as
special commissioner. Attorney Cen
eral Monnett conducted his side OF the
case. Messrs. Elliott and Kline appear
ed for the company.
1t was expected that the state OF Ohio
would present representatives OF three
or four important refinerles Of Ohio CIV
Ing Information as to the alleged arbi-
trary methods Of the pipe company. Be-.
fore the proceedings opened Mr.. Mon
nett announced that he had been unable
to secure those witnesses and after a
brief denomination of George Rice, he
would close his case for the time being,
Mr.. Monnett explained that he was In
formed that while the local courts could
compel the attendance OF his witnesses
they could not punish them IL they re-
fused to testify. q
The proceedings against the pipe line
company ure to secure IN annulment OF
Its charter on the grounds that the
company has violated the antitrust
law OF Ohio and that In defiance OF the
courts It Is still member Of the STAN
dard OIL Trust
The purpose OF calling Mr.. Rice to-day
was to allow him to testify in contra
diction to the statement made by John
D. Archbold that he had attempted to
blackmail the Standard OIL Company
by demanding 100000 for his oil proper
ties which were worth about s25. 900.
Mr.. Rice replying to the attorney gen.
erals invitation that he make state !.
ment, read from a lengthy manuscript:
Rice's Statement.
ut is true" he said, that in 1886, on
their solicitation, I did submit propo-
sitlon to sell all of my oil propcrties-not
only my refinery but production as well
for the sum stated"
Mr.. Rice quoted from the letters OF
Mr.. Archbold already published to show
that the Standard OIL Company had his
proposition under consideration.
The Standard company, Mr.. Rice said,
by its control of the railroads. has
raised the freight rates so that 1t was
impossible for him to carry on his bust
ness.
I'm 1885," he said. "the Baltimore. &
Ohio and their Southwestern connec-
tions raised their freight rates on me
from so to 162 per cent and none on the
Standard OIL trust. which closed up
fourteen Of my agencies out OF twenty
four in five months and shut me out of
over half the towns in which l was do
ing business"
Replying to the question by Mr.. ELL
Oft, Mr.. Rice gave the date of the occur
rences of which he was complaining as
early in 1881 and 1882. He admitted that
the Buckeye Pipe Line Company was
not organized until 1885.
In concluding his statement Mr.. Rice
said he could prove that the Standard
OIL Company has secretly and criminal
ly blackmuiled the, railroads of, this
country OF millions Of dollars 0nrebates
Of freight.
When he finished counsel for the pipe
line company asked him If the prepared
statement he had read from did not
contain the same testimony he had
given In Columbus
Mr.. Rice said that In substance 1t was
the same. He said he was testIfylng in
the present proceedings because he
wanted an opportunity for contradIc-
tlon of the false and malicious state
ments made by John D. Archbold."
He Gucsscs He Did.
"1s 1t not fact?" asked Mr.. Kline,
that in 1890 you sent to the Standard
Oil Company through Mr.. Owls, an offer
to accept s5OO,OOO for all your oil proper
ties. agreeing that IL the offer were ac-
ceptcd to abate litigation?"
Yes. guess ] did"
Mr.. Rice's testimony to the same eff
feet given at the hearing In Columbus
was read to him and he said 1t was cor
rect.
Replying to Mr.. Kline. Mr.. Rice said
that In 1879 he offered to sell his refinery
TO ex-senator Campbell for $4,000. That
offer did not include any OF his oil prop
critics. When he offered to sell his prop
erty later j. included 200 acres of oil
land, production of 200 barrels Of oil q
day and q quantity Of expensive ma
chlnery.
Mr.. Monnett asked counsel II they OBJ
jected to producing officers Of the Buck
eye company to testify and Mr.. Kline
replied that he had nothing to say on
that subject. The attorney general. he
said, had power to compel the attend
Gnce OF witnesses.
Mr.. Monnett replied that he knew he
could get Sit9esses. but as he could not
compel them 10 testify In the state he
had not appealed to the courts.
With this statement Mr.. Monnett de-
clared the proceedings closed for the
time being. He will leave for Ohio to-
morrow.
When the original complaint was
served on the defendant company thirty
interroEatorles were attached to 1t. The
company entered demurrer to the in
tcrrogatorles. II the courts decided the
question must be answered no further
hearing Will be necessary. Should the
court sustain the demurrer, the officers
Of the company will be summoned to
testify In order that their refusal may
show In the minutes.
Bridge Men Alarmed.
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