The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-12-27
Roosevelt Has a Powerful Club
to Help Rate Legislation.
1t Is Nothing Less Than GAR
fields Report on Standard Oil.
SOME HUGE REBATING.
Will Be Shown and Used to
Force Senatorial Action.
Gossip and Matters of Interest
in Railroad Circles.


Washington, Dec. 27.-Commissfon-
er Garfield of the bureau of corpora
tons, and who passed considerable
time in Kansas last summer gather
ing material. is working night and
i day to get his report on the investiga-
/ ton of the Standard Oil company in
shape for presentation to congress-
He is working under the direct order
| of President Roosevelt, who will use
! the findings of the Commissioner of
corporations regarding the Rookie
Teller monopoly as his trump card in
forcing the members of the senate to
pass railroad rate regulation bill in
accordance with the administration
/ policy.
The bearing the STANDARD Oil report
Will have on the railroad rate ques-
ton will be of a. highly sensational
| character, as it will be made to show
that the greatest monopoly in the
history of this or any other country is
the direct result of continued and
| fragrant rebating by practically every
railroad in the United States
Commissioner Garfield has gathered
a mass Of evidence, by which he ex-
poets to establish the fact that either
willingly or under pressure every rail
| road has Disseminated in it's freight
rates in favor of the Standard Oil, and
by most stupendous system of
preferences helped Rockefeller to
4
controls 80 per cent of the petroleum
trade in the United States and 95 per
cent of all foreign business.
The Garfield report is expected to
be in the presidents hands early in
February, but its presentation to con-
gress will depend entirely on the prog
ress the rate bill has made in the sen
ate by that time.
If the upper house of congress re-
fuses to follow the radical policy of
the administration in regard to rail-
road legislation, the alleged iliquities
of the railroads and the Standard Cl
company will be made public at the
psychological moment when the effect
will, in the opinion of the administra-
ton, be most powerful in creating
sentiment against the railroads. In
this way the administration expects to
have pressure brought to bear on the
senators who refuse to follow the
presidents lead in granting to the in
| terstate commerce commission the
power to fix rates.
The recent general order by Atror-
ney General Moody to all United
States district attorneys to proceed in
rebate cases was also one of the steps
| in the campaign Of arousing public
sentiment on the rate question. Much
Of the evidence in these cases has
been in hand for a long time, but was
kept in reserve. and the bringing OF
the indictments at Philadelphia, Kan
SaS City, and Chicago against railroad
officials was done mainly for the pur-
pose of agitation. other important
prosecutions are beins held in abey-
ance by Attorney General Moody, and
it is generally believed here that the
question of going ahead or dropping
them depends entirely on the attitude
certain leading railroad officials take
on the presidents pet issue.
Practically the same plan that was
adopted in making the report to con-
gress in the Chicago packers investiga-
ton will be followed in making the
Standard Oil report.
Such information as the government
expects to use in court will be withheld,
but the main facts and conditions in the
oil industry, as discovered in the various
parts of the country, viii be made pub
lie. The report of the conditions in the
Kansas oil field will be especially ex-
haustfve because of the fact that Rep
resentative Campbell of Kansas was the
author of the resolution under which
the inquiry was made.
The break made by Commissioner
Garfield in investigating the business af-
fairs of the big packers at Chicago by
the filing of the pleas in bar to the in
dictments, has caused that official much
worry. His explanation of the claim by
the packers that he promised immunity
is awaited with great interest and if he
fails to explain this to the satisfaction
of the Chicago jury 1t viii have an i'm
portant effect on the promised prosecu-
tons growing out of the Standard On
inquiry.
As most of the field work in the oil in
vestigation was completed before the
packers raised the immunity issue, Mr..
Garfield was unable to avoid the mis-
takes he is said to have made in the
packers investigation.
According to reliable infofma ton from
the department of commerce and labor.
Mr.. Gardelds investigations early in the
inquiry struck the trail of the railroads
in the affairs of the Standard company.
They found that either because of the
large shipments controlled by the Stand
ard or because of the heavy holdings of
railroad securities by the RockefeIers
and their associates, they were able
practically to dictate the freight rates
allowed to all the Independents. While
these determinations against the Stand
ard competitors were not so fragrant IS
in the days of the Southern Develop
ment company, Commissioner C1arfield's
report is expected to show that by
manipulating the transportation facili-
ties of the country and the maintenance
of subsidiary companies in practically
all the cities of any consequence the
Standard had been able TO eliminate
practically all Independents from the
field.
Two general classes of apparently
Independent companies claimed to be
maintained by the Standard will be
outlined in the report, those which
control the marketing of the crude
petroleum and those which distribute
the finished products to the consumer.
OF the former class the one that will
be dealt with at length is the Prairie
Oil & Gas company of Kansas. which
is the name of the concern that stirred
up all the rumpus in Representative
Campbells district, which led to put
ting employees of Commissioner Car
fields bureau on the trail.
The report win also show that the
Standard maintains fake independent
oil distributing companies" at points
prices are maintained by the Standard
in the territory in dispute, the fake
Independent company does the slash
ing and cutting that is aimed at the
genuine independent concern.