The record-union., 1899-09-12
A Pennsylvania State Senator Before
the Commission
Says Railroads Are Responsible for Growth
Of Standard Oil Company.
Under the Agreement in Effect
There Has Been a Discrimina-
tion, He Claims, in Favor OF the
Standard People and Against
the Smaller Companies.

WASHINGTON, Sept. 11.-State Sem
ator Lewis Emery, Jr., of Pennsyl-
vania, was before the Industrial Com
mission to-day. He spoke in regard
to the Standard Oil Company. He
claimed that the railroads We're re-
sponsible for the growth of the STAN
dard Oil Company and said that the
contract between the South Improve
ment Company and the railroads in
1872 was practically in effect to-day.
Under this arrangement there has been
discrimination on the part of the roads
in favor of the Standard Oil Company
up to the present day.
Mr.. Emery cited. a case tried in 1890.
in which Determinations by the Penn
sylvania road were charged in favor
of the Standard Oil Company He said
that while President Roberts and the
general freight agent of the railroad
company had both denied that rebates
were given, the auditor and some of the
bookkeepers had sworn that discrim-
nations We're given amounting to from
8 to Is cents a barrel. He was how
ever, so harrassed after three years of
fort that he compromised his claim OF
S107 900 for $4,000
He also said he knew of instances
in which rebates had been paid as late
as 1893. and that complaint had been
made to the Interstate Commerce Com
mission, which had rendered its de-
cision against the railroads for $50
600.
Mr.. Emery claimed to have been
twice driven to the wall by the COM
bination of the railroads and the Stan
dard Company against him. He
claimed that the Standard Company
had inherited all the privileges of the
old South Improvement Company and
read the contract between that com
pany and the railroad organizations to
prove that it provided explicitly for
rebates
He also read letter addressed by
the receivers of the Baltimore and Ohio
Railroad to the Interstate Commerce
Commission, admitting, Mr.. Emery
claimed. that rebates had been given
up to January 1899.
Mr.. Emery gave a detailed history
of his efforts to secure a footing for
the product of the Independent com,
panies of Germany
In this connection. Mr.. Emery eulo.
SA~NN siAC SOI government as a
model. 1T is" he said. zone of tho
best governments on the face of the
earth. 1t protects all its citizens. You
get the right hand of fellowship there,
but you don't get it here"
He had gotten the relief which he
had sought in Germany. while he had
been praying for relief in the United
States since 1872. There was no dis
elimination on either the railroads OF
the canals in that country.
Mr. Emery said that in connection
with his work in Europe, that he had
co-operated with Russian oil producers.
consulting with the Prime Minister of
that country
Referring to the Russian oil. Mr..
Emery said it was not so good as the
American product, but. being sold at
a lower price it was still a competitor
where sold
The witness contended that the Stan
dard Company does reduce prices fol
the purpose of driving out competitors.
and said he could bring a stack ox
proofs to show that this was the Gus
tom to the present day He also
charged the Standard COMPANY with
exerting the utmost efforts to prevent
legislation and of preventing the max,
ing of appropriations to carry such
laws into effect when made.
Mr.. Emery was still on the stand
when the Commission adjourned for
the day.