The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-09-13
How the Standard Oil Trust Is Per-
mitted to Flourish.
HOW IT SECURES RATES
THE OLD SYSTEM OF REBATES
rs IN EFFECT.
Charges Against the Corporation
Brought Out at the Meeting of
the Industrial Commission-Gov-
eminent Ownership of Transpor-
tation Facilities Is Favored.

Washington, Sept. 12.-The entire ses-
sion of the industrial commission today
was occupied in hearing the conclusion
of the testimony of Former State Sen
ator Lewis Emery of Bradford, Pa.
Mr. Emery is an independent refner
and was on the stand yesterday. He
took as his text the general charge that
discrimination in railroad rates was
the basis of monopoly, and charged
that it was through this agency that
the Standard Oil trust had been Gre
ated. Although the old contracts for
rebates had been nullified by the inter-
state commerce act. he charged that
the same system was substantially in
effect today. If the books of the rail-
roads could be produced in court, all,
he said, could be proved.
He gave an interesting account of
the building of the pipe line by the
United States Pipe Line company in
1S90-91. describing in detail the innu-
merable obstacles placed in its path by
the Standard, and how they had been
overcome. Every point had been con-
tested in the courts. Agreements with
railroads, he charged, had been violat-
ed under the pressure of the Standard S
influence. In New Jersey several
pitched battles had occurred, but in
spite of all, the line finally made its
connection with the Jersey Central,
fifty miles from New York. A recent
court decision, he said, would, how
ever, compel the company to go back
to Philadelphia, so that in the end the
railroads have proved an effective bar
rier to competition.
Standards Strong Competitor.
Mr. Emery said he was now inter
ested in the Pure Oil company, which,
he insisted, was not trust. In this
had been done to r. E. Phillips, a
member of the commission, who had
been represented by a former witness,
Mr. Archbold, as having attempted, on
behalf of the Pure Oil company, to eff
feet a combination with the Standard.
Mr.. Phillips had never favored such a
combination.
Asked as to his attempt to secure the
enactment of q free pipe line bill
through the New Jersey legislature MIR.
Emery stated that his experience had
been SO disgraceful in New Jersey that
he was ashamed to tell it. Mr. Emery
produced a contract made between the
Pennsylvania railroad and an oil COM
pany in 1884. which he claimed proved
that the railroad company kept the
rate for oil transportation up to 45
cents per barrel in return for the bust
ness of hauling by-products, benZine,
gasoline, tar, ETC., which could not be
pumped to the seaboard, thus giving
the company the power to pipe its pc
troleum through for 10 cents per bar
rel, and rendering it impossible for in
dependent shippers to compete by rail-
road. He said there was inferentiai
proof that the same sort of contracts
existed today.
Favors Government Ownership
Mr.. Emery found the remedy for the
existing state of affairs in the govern
ment ownership of all transportation
facilities, water as well as railroad
Discrimination in transportation rates
to favored shippers against the general
public was, he said, the foundation Of
many of the most burdensome trusts.
The commission has named, besides
Professor ]. w. jerks, Senator James
H. Kyle, Major j. NJ. Farquhar, Rep
resentative Theodal Often, Mr.. c. J.
Harris and Colonel L. F.. Livingston as
representatives at the trust conference
of the Civic Federation, to begin in
Chicago tomorrow.
Senator Emery is the last of the
trust witnesses who will be heard this
month. There will be only two more
witnesses in connection with the Stand
ard Oil company. They are to be heard
next month, Mr.. John D. Rockefeller,
president of the Standard Oil company,
is one OF them, and Mr.. George Rice,
whose complaint was made the basis
of the action of the Ohio courts against
the Standard Oil company, will be the
other. Seven or eight other days of
next month will be given up to taking
of testimony in connection with the
other industrial combinations for in
stance, the whisky and steel trusts