The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-03-09
HELPS The TRUST
Startling Information Secured
in Santa Fe Hearing.
Order That Cuts Out Indepen-
dent Dealer in Oil.
CAN'T KEEP THE CARS.
Won't Be Shipped to Anyone
Without Receiving Tanks.
GIaring Discrimination in
Freight Rates Revealed.

timony of w J. Healy, auditor of
freight receipts of the Santa Fe rail-
road this morning which indicates one
form of discrimination which the rail-
roads impose against independent con-
Germs, competitors of the Standard Oil
company, in favor of that corporation
The following paragraph from a cir
cular letter of the Trans Missouri
Freight Bureau, issued October Z, 1904.
containing rules regulating freight traf-
fic on the lines within the jurisdiction
of that bureau explains the discrilnina-
ton:
Hereafter the shipments of pc
troleum and the products of petroleum
in tank cars will only be received when
destined to consignees who have storage
tanks or facilities for the prompt re-
leasing and unloading of the tank
cars"
The examination which is being con
Quoted by Frank Aonett to secure evil
dence to be used in the suits against
the Santa Fe railroad was resumed to-
day at the Santa F'e office building.
Can you tell me why the rule pro-
hibiting the acceptance of oil consigned
to parties who have no storage tanks,
was adopted?" asked Mr. MoDett of Mr..
Healy.
A To provide against the detention
of the tank car as a storage tank at its
destination.
Q. If the consignee has no facilities
for unloading the car at once. you viii
not ship the consignment?
A. According to the rule the con-
| signment would not be accepted.
Q. Would private tank cars owned by
/ Webster's refinery at Humboldt, or any
| by an independent refiner, be accepted
for shipment if consigned to a destina-
ton where there was no storage tank
| to receive the load
A. No, the consignee must have ca
pacity to take care of the load in order
to not detain the equipment.
During the course of the examination
it was brought out that the railroads
refused to accept demurrage charges on
tank cars which are not un1oaded with
in a specified time. 1t was also brought
out that demurrage charges were col
lected on cars containing other COM
modities which were not un1Qaded by
any cOnsignee at any point.
The evidence which is being Sc
cured shows that the same condition
prevails in this territory that has ex-
listed in other localities
The standard Oil company is the
only corporation or company that has
storage tanks in the various cities,
and the rule refusing to accept for
shipment tank cars consigned to a des-
tination where there are no storage
feet the Standard Oil company for the
reason that car received by the
Standard Oil company at any destina-
ton may be unloaded in a few hours
by means of pipes which connect the
tank car and the storage tank.
The independent shipper has not the
storage tanks and consequently can
not deliver his oil to the railroad for
shipment except in barrels.
Before this rule was placed in effect
any person could ship a car of oil to
a city and let it stand on side track
while the oil was being delivered to
the various customers in the city.
Ordinarily shippers have a day or two
days to unload a car before demurrage
charges are collected.
This custom permitted independent
dealers to ship a car of oil to a des-
tination, and distribute the oil to the
various purchasers from the car.
When the independent dealer be-
comes too aggressive and begins to
encroach upon the business of the
Standard Oil company, the screws are
turned and the rule is promulgated
making it impossible for the independ-
ent refiner who has not the advantages
and power of the Standard oil to do
business.
Evidence was secured at the ex-
animation of the witness which will
be used to show the power of the rail-
ways in absolutely establishing rates
to build uD Kansas City at the expense
of the cities in Kansas, or of building
up certain cities of Kansas at the ex-
pense of Others.
The arbitrary power of the railroads
to eSta bliSh diScriminatiVe rates was
brought out in the examination of the
witness in regard to tariffs selected at
random in the classification sheet.
1t was shown that on carload ship
ments of furniture from Leavenworth.
Kan, to Girard, Kan, the rate was IL
cents per hundred weight
On car load lots of furniture from OF
taWa, Kan, to Girard, KAN less than
half the distance to haul. the rate was
shown to be 81 cents per hundred
weight
On car load lots the rate on egg cases
ana packing from Independence, Kan,
to Yates Center, Kan, was shown to be
II cents per hundred weight
The same commodity shipped from
Cherryvale to Yates Center. and hauled
distance ten miles shorter than from
Independence to Yates Center. exacts
a cents per hundred weight or just
double the former rate.
These Illustrations We're brought out
as an example of the system of dis
examinations in existence in all parts of
the state.
The determinations in favor of Kan
sas City were not gone into for the rea-
son that shipments from Kansas City
came under the heading of interstate
commerce and the state has no juriS-
diction over interstate business. The
tariffs will, it is alleged. show still
greater Determinations in favor Of the
Missouri river city than in the in
stances placed on record for use in this
case.
Evidence was. introduced to show
that the santa Fe belongs to the trans
missouri freight bureau, including Of
the Missouri Pacific. Rock Island, I'm
ion Pacific and other railroads. and
that the bureau served is an institution
organized to prevent competition in
At noon recess was taken until >
O'Clock just before the recess was ia
ken a dispute arose In regard to the
taking Of depositions at Independence