New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-05-18
OIL TRUST METHODS.
TO PRESIDENT.
Commissioner Replies to Standard
OIL and RaiLroad Officials.

Oil and Railroad Officials.
Washington. May 17.-Presldent Roosevelt to-day
transmitted 20 Congress the complete report OF
James r. Garfield. Commissioner OF Corporations.
on the investigation which he made into the opera
tons OF the alleged Oil Trust A full synopsis Of
the report. accompanied by message from the
President dealing with the facts developed by the
inquiry, was sent 90 Congress on May a. The pub
lcatiOn Of the message and the synopsis Of the
port attracted widespread attention Comments on
the message and the report were made by officials
Of the Standard OIL Company and by officials of
several systems OF railroads In submitting the
full report Of his inquiry Commissioners GARFIELD
wrote letter to the President inviting his atten-
ton to Of the published comments the OIL
report attributed to certain railway officials and
representatives OF the OIL Trust. That letter was
made public to-day by direction Of the President,
although IL was not sent to Congress with 4iT.
Garhelds report. It is peculiarly interesting be-
cause 1t contains Commissioner GaFhelds answer.
by directing attention TO certain parts Of his COM
plete report. 20 the comments which have been
made. The substance OF Commissioners GaFheld's
/ letter is as follows;
reported to have said: The Boston & Maine Ran,
sections Of the country, has Joined with roads On
which oil traffic OTisinates II thToush rates. ana
ex xsFyl Sn aRREe ana receiver OF OIL mas Os 'e'S
AS shown in Chapter III OF the report the Boston
road does not prOrate on a portion OF its system
Cities to which that road does not prorate are
Lowell Lynn S1 SYEs9ee ana HaysrhS Ill., MESS ass
not properly be termed the "spaFseiy settled sec
Mr.. Thayer vice-presldent oe the Pennsylvania
Railroad. Is reported to have sag Eesarding me
traffic 70 be transported under such rate was
refinery to another belonging to the same owners;
that the rate has not been withdTawn'; that per
haps the rate was applied on refined OF IN few
Instances insignificant as compared With the total
corrected; that '1t is not secret rate. and never
TsI,o it, bav-oI 49,. ,or,o
years ago, was reissued and approved BY J. b.
ThayeE 1r on March 10 1857 and nd applied to pc,
shipments to crude oil unfinished products. More
lene and other finished OIL products were shipped in
1904 on this rate from olean 20 Rochester. OF on
falo A large portion Of the stateS Of Nsw York
was unknown 20 independent shippers. and there
were printed az the top Of the rate order IN capital
posted
Mr.. Garfield says that. in view Of Mr. Thayer's
statement that blind billing Is not secret device,
the statement OF Mr.. Everest. first veepTesdeRt of
the Vacuum Oil Company, corporation subsidiary
to the Standard Oil Company. which operates
fneFies az Olean and Rochester. n. " Is interest
ing Mr.. Everest says that IL 1.-The railroad COM
pany sees ne to grant a company special rates on
the goods handled over its line know OF reason
why they should not be accepted" although he
recognizes that rebates between states are now lille
gal Continuing. MI Garfield says:
George Crosby, freight traffic manager OF the
hisagiS burlington 0g Ing quincy Railroad e quoted
which the Commissioner complains Of are. intEa-
Interstate Commerce Commission They were and
to-day open ratios, and all shippers OF oil are
paid rebate to the Standard Oil company. 50 FAR
AS shown in Chapter VII Of the report. the rec
ords OF the Chicago Burlington & Quincy show
cars which moved from Whiting. Ind 10 East st.
Louis. III; and st. Louis; as shown directly
ular tarifTs Of the Chicago. burlington & Quincy.
6s ratS what had Seon S. 3S Sn orders AFTER
u had been hled with the Interstate Commerce
telephoned the Office Of the BuTiington for tBe
rate from Chicago 20 St. Louis. and was quoted the
given BY the Alton at the same time. No indie
poTatiOns was ever aware OF this rate eTceDt one
who had formerly been in the employ Of the stand.
he obtained there to force the railroads to make
eeref Td lTY fo which was also
refinery OF that one shipper was soon thereafter
and Immediately dismantled.
r,I ME j. q H9rahan second yice-pgesdent Of the
Illinois Central Oh rates are oSsn ana puSsb 5as
that that company has not Daid rebates nos usas
raIes discriminatory in favor OF the Standard on
AS shown In Chapter VI OF the report the Illinois
which was used Tor the puTposs Of o6tSn5 5e'e
oneourh less S haa e e the SSSsa and sGgss
Connection WIN tbss Pa5ty e blind billing IN
returned 60 the central ONCE OF the illinois Cen
GERS OF the Illinois Central were aware fhof fhe
rate although filed with the Interstate C,OT1noeTSs
Commission, was so handled TO De absOIutsiv 80
eret
REPLIES TO ROGERS AND ARCHBOI.D.
Mr. Rogers and Mr.. Archbold. ofaeers OF ths
Standard OIL Company. quoted as saying:
III the New England roads ought 90 prorate
but refuse 60 do so, Il must occur 20 some ono
somewhere that perhaps the New England roads
and not the Standard OH Company are bIameabiS''
AS shown In Chapter III OF the report, the Stand
SFd OIL Company for years has enormously bene-
nte0 py the re4uea! OF New England roads 10 pro-
rate. and representative OF the New York New
raven q Hartford system states that the Standard
OH W. company wanted the road not to Prorate,"
ing regarding tho WhitiRg-St Louis sale:
~ 10 qelte trle that. having our OIL % Whiting
ana desiring 20 transport u points IN the lneeFiop
OF Illinois. We used the state rates
As shown IN Chapter q OF the report All shin
ments from Whiting into Illinois are Interstate
Inc mere inclusion OF Whiting In the Chicago
sWltch1ng district by an application sheet does NOT
make Whiting an Illinois shipping point AS shown
ip the report. the Standard on Company has used
the location OF Whiting for the purpose OF Claiming
the right 90 either Indiana state rOtes on ms
nols state rates as best suited It's convenience Tha
railroad Wayoil show that the Standard OIL C1ul-
kAny difecteQ that hundreds OF these cars billed
nat