The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-06-19
THE sTANDARD AGAIN.

The current number of the Outlook
contains an article in defense of the
Standard Oil company, written by
John J. McLaurin. Mr. McLaurin's
identity is not disclosed, but the editor
of the Outlook states that the article
is published on behalf of the Standard
as a presentation of its side of the
controversy in Kansas in reply to a
former article which pictured the
Standard as a public enemy.
The article is made up of statements
tending to clear the Standard of the
charge of discriminating against Kan
sas. It makes little difference to
Kansas producers whether the Stand
ard discriminates against them and in
favor of other producers. or whether it
Expresses all alike. the fact remains
that the Standard has been in abso-
lutte control of the oil market at both
ends buying the crude from the pro-
ducer and selling the refined to the
consumer. The Standard is very likely
charged with crimes of which it is
innocent, but it cannot be denied that
it enjoys a monopoly of the oil bust
ness which it uses to Cypress both the
producer and the consuming public.
Among other things the article as
/ serts that with any advance in freight
rates on crude oil the Standard had
no more to do than the loudest OBJ
/ jector in Kansas. The Prairie pipes
| its crude to Neodesha and Kansas City
/ to be refined, therefore the freight
rate in no wise concerns it. In reality
no crude is shipped by rail, operators
selling to the Prairie company-the
only transporter by pipe lines-at
prices regulated by the general mar
ket."
Which is, of course. the veriest
sophistry to everyone who knows any
thing about the situation. It is not
told that the advance in freight rates
was not made until the Prairie COM
/ pany had its pipe line built. Nor is
the reason given why the operators all
sell to the Prairie company. It is not
stated that the advance in freight
rates has been so great that it is i'm
possible to ship oil in competition with
the Prairie's pipe lines, and that the
Prairie. 1.-The only transporter by pipe
lines" therefore had an absolute mo-
nopoly on the oil business, The opera
tors could either sell to that company
or let their oil run to waste. That is
the general market" that fixed the
prices.
But the worst break" made by the
lauthor of the article is in an attempt
to show that any Independent concern
or pipe line will be unable to meet
foreign competition. 1t semes to be
an effort to dislodge capital from in
vesting in Independent refneries and
i'm the proposed pipe line from the
Kansas fields to the Gulf
ton of all branches of the petroleum
Industry the Standard could not retain
the world market a month" says the
article. Every attempt to divide its
TRADE abroad and decry it at home is
at the expense of the American pro-
Queer. Even as 1t is. an English navi.
cation company now freights Texa.
crude oil across the seas and brings
back cargoes of naphtha. and benin,
to the United States, distilled frou
{ oil produced in India and Borneo
This competition, in addition to tn,
, immense supply of Texas crude a
half the price paid in Kansas. "a pip,
! line to the Gulf would encounter
Experience teaches thoroughly. an,
there are many short roads to bank
ruptcy.''
) OF course this is intended simply t,
frighten capital from building tn
S proposed pipe line. But analyze wha
e the statement as to the English navi
CATION company means. 1t mean
S that a British company takes Texa
= oil to England and brings the refine,
product back and sells it as cheap a
does the Standard. which rehnes
! right here at home
s This is on a par with the steel trus
e. which charges Americans $2s a TOT
D Tor the same steel rails that it sell
f in Europe for $50. The Standard ais
completes with the English compan-
e in Europe. This is why the standar
is able to pay from forty to sixty pc