The star. (Reynoldsville, Pa.) 1892-1946, 1899-05-24
INVESTIGATING THE STANDARD.
Industrial Commission Char
ters Should be Re, oksd.

Interesting and startling information
concerning the methods OF the Stand
ard Oil company was presented before
the industrial investigating committee
at Washington last Wednesday.
Attorney General Frank 8. Monnett,
of Ohio. was the witness In the uust
investigation. His testimony related al
most exclusively to the Standard on
trust, against which he had been pro-
ceeding In his official capacity. lie
said the companies comprising the
trust even own its own telegraph
system. Referring to this telegraph
line, Mr.. Monnett said II had been
developed so that II was exchanging
business with the Western Union com
pany, acting as a common carrier ara
making n cheaper rate to the con-
stituent members of the trust than 10
other customers, functions which were
outside the corporate authority or tue
trust. He also complained the as
elimination in railroad rates In favor
of the Standard company tank lines
saying that Il was equal to 400 per cent.
against the ordinary citizen.
Mr.. Monnett gave figures showing
that the capitalization of the 20 COM
panies comprising the trust amounted
TO slO2 2233.000 and the valuation Sl2l,-
900. He said the trust could make
It's dividends whatever II desired as II
controlled completely the retail price
of oil. The trustees hold 466, 2S0 OF the
100000 shares, he said. and John d.
Rockefeller as chairman of the trus-
tees holds a majority of the stock thus
distributed, giving him the balance OF
power Mr.. Monnett said the original
value of the plants of the trust was
s97, 100000, but this figure should now be
multiplied by five.
Mr.. Monnett insisted that the way to
control the trusts was to control the
transportation companies, which, he
thought. the courts could do, and II the
courts could not do this the charters
OF the roads should be taken from
them.
Mr. Monnett estimated that the gross
receipts were sl20000,000 on the Ohio
product alone. and he said that all was
proht over four cents gallon on renn-
ed oil. He placed the value Of the
earnings of the company per year as
greater than the value of the farm
products in the State.
He testified to the fact that the COM
pany has secured the service of rail-
road agents all over the country to re-
port on the movements of the rivals,
and he knew of one instance In which
the clerk of rival concern had been
employed to supply the details Of his
company's operations to the Standard.
When rivals We're driven out Of Held
by reducing rates the prices immed-
lately went up.
Mr.. Monnett said he understood that
the Standard controlled from 80 to 81
per cent of the crude oil product, but
as the company controlled the means
of transportation 1t was not necessary
that II would take the oil out of the
rock. The company was thus inde-
pendent of well owners.
Referring to the necessity Of con-
trolling the transportation agencies, as
the available remedy for the evils of
which he complained, Mr.. Monnett
said that no course could be too severe.
The States had the remedy of depriv-
ing the railroad companies Of their
charters, and this should be resorted
to II they failed to treat all equally
fair