Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-12-13
FOR STANDARD
Testimony Before the Industrial
Commission.
CHARGE OF DISCRIMINATION DENIED
Howard Page of the Union Tank
Line Witness.
IR. RICE CONTRADICTED

MR.. RICE CONTRADIGTED
Mr.. Howard Page, vice president of the
| Union Tank line, appeared before the in
dustrial commission today and testified at
length regarding alleged Determinations
that had been practiced by railroad COM
panies in favor of the Standard Oil Com
pany and to other matters. He frequently
referred to the testimony of Mr.. George
Rice of Marietta, Ohio, and replied to as
sertions made by that witness, contradicting
many Of them, frequently offering documen-
tary proof of what he said. His testimony
was of unusual interest, as it bore directly
OH testimony against the Standard Oil Com
pany that has been widely circulated
Senator Kyle chairman of the commits
sion, presided other commissioners present
being Mr. T. W. Phillips, Mr.. Albert Clark
Mr.. John M. Farquhar. Representative
Theobold Otjfn, ]. L. Kennedy, A. L. Har-
ris, Ellison A. Smyth. Eugene d. Conger
Representative Lorimer and Prof jerks of
Cornell University, the expert of the COM
mission on the subject of trusts.
Function of the Union Tank Line.
Mr.. Page stated that the Union Tank
Line, of which he is the vice president owns
the tank cars in which the Standard Oil
Company makes its shipments. He had
been vice president of the Union Tank Line
since its formation in 1891.
Mr.. Page denied the assertion made by
Mr.. Rice, that the Standard Oil Company
received S25o,000 from the cotton seed oil
trust for copy of what was termed 1.-The
secret unlawful trust agreement
Mr.. Rice had charged that there was a
species of railroad discrimination through
n1lrCh9 GDtann nj hl Sfao
ard Oil Company by the railroads at a very
large price. Mr.. Page said that the Galena
on Company guarantees the railroads that
by using the Galena oil a saving would be
made to them as compared with the cost
per mile when the cheaper oils are used.
This guarantee was made by the Galena
oil because its superior quality would do
more work than the cheaper oils. The
price of the Galena oil was the same to all
railroads in the United States.
Charge of Discrimination Denied.
The statement that the Pennsylvania
railroad was discriminating in favor of the
Standard Oil Company, as claimed in letter
by Mr.. Newlin of Philadelphia to George
Rice, he declared, was shown to be false
by the fact that Mr. Newlin's deductions
were argued by him before the United
States court in Philadelphia and the case
was thrown out of court.
The facts in the case, boiled down. he
said ARE simply that the Standard Oil
Company paid exactly the same rate of
freight as all other shippers over the Penn
sylvania railroad from and to the various
points named in Mr.. Newlin's letter but on
such oil as was carried partly by pipe line
and party by railroad, the pipe line was
allowed a share of the through rate the
same as the railroad would allow any other
connection.
Turning the Screw Explained.
Mr.. Rice, when before the commission,
claimed that a letter had been written by
Chess, Carley & Co. in 1881 to the Louis
vile and Nashville railroad asking that
road to please turn another screw in
other words, to charge high rate on oil
shipped by him. which, he said, resulted in
breaking him up in business.
This letter. said Mr.. Page, was writ
ten before the Standard Oil Trust was
formed and was written by clerk of
Chess Cariey IL Co, which firm in
Louisville in which the Standard Oil Com
pany had no direction control. The
phrase used was meant by this c.erk to
call attention TO the fact that error had
been made by charging Rice on of oil
less than Chess, Carley d Co. or any one
else was paying, and that the machinery
was loose ard should be corrected" He said
ii was a common expression in the office of
the Louisville and Nashville railroad in
which the writer of this letter, Mr..
Hathaway, had formerly been employed,
to say, Turn another screw or to say
Were made. The additional charge to MIR
Rice was to make him pay what other
shippers were paying.
Other Charges by Mr.. Rice.
He said the establishing of a grocery
store in the south to sell oil was before the
Standard Oil Company had any control or
direction in Chess, Carley & Co.'S business.
Regarding Mr.. Rice's failure to get cars
built for credit the witness said the Stand
ard OIL Company has nothing to do with
1t and had no Knowledge of it until referred
to by Mr., Rice in his testimony before the
commission. He positively denied that the
Standard Oil Company had bought up tank
cars from railroads TO keep them from
other shippers.
Mr. Rice had complained that railroads
do not own enough tank cars to supply
them to shippers. and said that as the
Standard owned its own cars it has an ad-
vantage in being able to ship freely.
Ownership of Tank Cars.
LAS to railroads owning tank cars" he
said, the tank is a special car used
for transportation principally of petroleum.
and it would be burden to the railroads
If they were required to invest their capital
in tank cars. the ownership of the car
would not insure transportation of oil, and
if all railroads were required to have suffi-
cient tank car equipment to do the oil bust
ness that at times moves over its rails 1t
would mean the building of many more
tank cars than the business would require.
For instance. say, it would require 200 tank
cars. costing $l5o.G00, to transport oil be-
tween Chicago and ST. Paul and Minneapo-
lis. There are five lines competing for this
business. and if each railroad was required
to own 200 cars there would be five times
as many tank cars as the business would
require
Rate Alike to All Shippers.
lie said that Mr.. Rice owned some tank
and the rate on oil shipped in tank
cars and barrels was the same to all ship
pers As matter of fact, he said, the
Standard shipped more oil in barrels than
all the rest of the oil shippers. When, in
1888, the interstate commerce commission
ordered rates per 100 pounds (including
weight of barrels on both bulk and bar
relied oil, in car loads, should be the same
the railroads obeyed the order, and 1t is
still in force and is paid by the Standard
Oil Company the same as all other ship
pers.
He said that one tank car holds as much
as two rack cars loaded with barrels, and
the fact that tank cars are growing in
favor for the shipment of all LIQUIDS was a