The free lance. (Fredericksburg, Va.) 1885-1926, 1899-06-13

Refining Company and ceased buying
It's oil from the Davis concern
Gradually the trade If other railroad
companies fen on The witness ac-
counted for the loss # business as being
the result of the opposing oil combine
giving the railroad companies an inter
est in the business The Standard Oh
Company aud the Argande Refining
Company Gu: the prices Of illuminat-
lng on and controlled the railroads To-
such an extent that It was difficult for
an outside company t. get satisfactory
rates This finally drove the company
with which the witness was connected
out If business The refinery owned
by him and IN, associates is idle at the
present time
The oil produced in the Corning field
IN which Senator Davis has interests Is
Of a better quality than that obtained
from several Of the Ohio fields, yet the
standard Oll Company pays the pro-
duccr in this field lower price for his
product than 10 others, claiming that
rhc OH is Of an inferior grade The re-
hning company IN which Senator Davis
was interested. found the use of the
product advantageous in mAnufactur-
ing luhricatinE ou and purchased
quantities II 1t from the Standard Oil
Company Notwithstanding the fact
that the producers II the oil IN ques-
tion were paid for An inferior grade Of
the product. the Standard Company de-.
mlnded an cxorbitant price. when sell
ing j, to the independent company
Owing 70 the fact that the Standard
controlled all the pipe lines leading
from the Corning field. Senator Davis
Sa- unable to get the oil from his own
wells 70 the refinery at Marietta with
ont shipping It through the Standard S
pipe lines The combine charged an
cxorbitaut price for the use Of its line
when the independent company at
tempted 60 get transportation rates ON
the railroads they were kept waiting
thirty days for an answer The rate
eventually offered was about I cent per
barrel more tn the pipe line rate
The delay If the railroad company in
answering the request for rates from
the independent company. the witness
intimated. was caused by the consul
tation between railroad officials and
the representatives OF the Standard Oh
Company
The competing oil companies used
various methods 10 secure information
concerning each others affairs The
principal source Of information Of this
nature is from the employees of an OPP
posing company On one occasion a
representative Of the Standard Company
approached the shipping clerk OF the
company with which Senator Davis
was connected and offered him a sum
Of money if he would report to the
STANDARD officers the names Of the Gus
toners Of the independent company the
amount Of their purchases and the
prices they paid The clerk in ques-
tion did not accept the bribe and re-
ported the matter 70 his employers. The
witness stated that he thought the
Standard Oil Company secured from
some source the desired information
concerning the customers Of rival firms.
Il happened in almost every case that
the independent company would re-
reive a letter from a customer. stating
that the Standard Oil Company, or one
Of it's branches, had offered oil at re.
duced price, and unless the reduction
was met by the Davis concern the Gus
toner was lost.
Since Senator Davis company was
forced ont Of business the price Of oil
has been raised The independent pro-
ducers have no influence at the present
time in controlling the price. The
Standard Oil Company controls in near
ly every instance the means Of trans
porting oil from the fields TO cOnsum-
ing centres
The rate Of wages of men employed
in the several departments of the busi-
ness of producing oil remains good.
The ArgAnde Oil Company was pur-
chased about year ago by the Stand
ard OIL Company. Senator Davis was
Of the opinion that he could build the
same plant for which $3.50, 600 was paid
for SO, geo