Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1906-05-04

| 'NVHtlHbtl rum phkc oHtj
| ---------------a
which enters so largely into the cost Of
the finished product and hence mos
important tactor IN competition.
OUTPUT OF OH.
Taking up the subject OF the output
| ~ refined OH Nh Garfield finds that {;
amounts 10 about &c. 600 600 barrels an
! nually. of Which the standard oil com.
| pany directly and Indirectly controls
| about 2S00O 200. and approximately the
| same proportion Of the other finished
| products ot petroleum. Continuing the
report says.
The Standard claims that the loca .
ton Of its rcAnerles aud the use Of pipe
lincs are natural advantages 10 which
II Is Justly entitled By reason OF the
energy ana foresight of It's managers.
While In measure that is true. It must
not be forgotten that these advantages
were IN part obtained by means Of un-
fair competitive methods after years OF
fierce Industrial strife.
PIPE LINE DEVELOPMENT.
"The development OF the pipe line
system by the Standard OH company
with railroad companies. Furthermore,
those so.called natural advantages
have been and are being greatly in
creased. by Determinations In freight
rates both published and secret. inter-
state and state. which give the Standard
mouopollstic control IN the greater por-
ton Of the country, and which so limit
competition as 10 practically prevent
the extension Of the business OF asy In
dependent 10 a point which even re-
motely endangers the supremacy Of the
Standard.
RESULT OF DELTMITATION.
An immediate result Of this delim-
tation Of the competitive area is shown
by the prices OF ordinary Illuminating
oil Throughout the country. After de-
Quoting the freight rate, the price of
such oil Is usually from two cents 10
five cents a gallon higher In the nom
competitive than I'm the competitive
fields. a reasonable profit upon re-
Hued OIL is about one-half cent per
gallon. II IL clear that eYorhitant
profits are obtained IN the uon-compet-
ltiyc fields This monopolistic control
extends from the well Of the produc-
ar 10 the doorstep Of the consumer"
Mr. Garfield cites the fact that the
New York Central Railroad company
refused for itself and affiliated lines to
give access 10 records Of state ia ties.
STANDARD OIL co. LIED.
At the beginning of the investiga-
ton he says the Standard OH COM
pany denied that It had obtained In
recent years or was now obtaining any
rebate on other transportation dis
as against its competitors.
ana yet he says that a most careful
review OF the facts and the explana-
lions leads To the conclusion that the
Standard OH company has habtually
received from the railroads. and Is
now receiving, secret rates aud other
unjust and Illegal Determinations.
SAVINGS ON RATES.
In 1904 these rates saved to the
Standard on company three-duarter
Of million dollars, representing the
difference between the open rates and
the rates actually paid These dis
rlminatinns.' he SAYS. have been so
Iong continued 40 secret so Ingenious
ly applied TO new conditions of trade
and so large In amount as TO make II
certain that they We're due to concerted
t'tlul DN tine standard ana the rail-
roads. tlr says further that the
standard OIL company Is receiving
unjust determinations in the matter
1f open rates, the published rates from
he leading Standard shipping points
being relatively much more than rates
from the shipping points of It's COM
petitOrS.
DETERMINATIONS.
Mr. Garfield then refers to seven in
stances of important Determinations
n favor of the Standard OH company
n various parts of the country and
says that most OF the secret rates and
some OF the open Determinations dis
'oNered by the bureau we're abolished
ly the railroads shortly after such
discovery. After calling attention TO
he good which already has resulted
rom the Investigation Mr.. Garfield