Richmond planet. [volume] (Richmond, Va.) 1883-1938, 1906-05-12
WOULD REGULATE
THE OIL TRUST
President Suggests Federal Control
OF Railroads to Prevent Rebates.
SENDS MESSAGE TO CONGRESS

report on the Standard oil company.
5lsmes the railroads for fostering such
moncpoies through secret rebates. He
suggests these methods for curbing
corporations
First-That the government exam.
tne railroads as thoroughly as # ex-
amines national banks
Second railroad rates be fixed
by the interstate commerce commits
sion subject to court review.
Third-That the railroads be per
mitted TO combine TO protect them
selves against great Industrial corpo-
rations
Fourth-That alcohol be placed on
the free list
Fifth-That the remaining govern
ment oil lands be carefully protected.
fragrant Determinations by the rail-.
roads in favor of the Standard OIL
company are revealed by Commits.
sioner Gsrfeld's report on his invesu.
cation. In almost every section Of the
country that corporation has enjoyed
unfair advantages which have given Il
a monopoly.
secret rates from the railroads IN the
past but is still receiving them iE one
of Mr.. Garhelds charges. Ia 1904
alone he figures that the amount saved
10 the corporation through discrimina.
ton was s750.00O.
Some direct rebates we're paid he
discovered. In most states. though the
discrimination by the railroads was
effected through secret and semi-se-
cret rates. Determinations In the open
arrangement on rates. determinations
In classification and rules OF shipment
and discrimination In treatment OF pr.
vate tank cars.
go long continued. so secret. so In.
geniously applied 90 new conditions OF
trade. and SO large In amount have
these Determinations been. says Mt.
Garfield. as 90 make certain that they
were due 90 concerted action by the
Standard and the railroads
Most OF the secret rates and some
OF the open Determinations discovered
by MI Gardelds bureau have been
abolished by the railroads after such
discovery. Therefore he thinks his in.
vesuEation has already done good
The price of OH. SAYS Mr.. GARFIELD
is from two Co five cents a gallon
higher in states whore the Standard
has no competitors. For shutting out
the Independents DE blames the rail
roads in those states.
Presidents Messaqe.
In his message the president OK.
presses the view that the report is OF
great Importance because OF the effort
now being made to secure such en-.
largement OF the powers of the inter
state commerce commission as viii
confer upon the commission power %
meet the clearly demonstrated needs
OF lhe slluauon. The statement ta
adued that tne department OF Justice
VIII take mp the question OF insutuun8
p'ose'u 'iou7 I'D a' least certain or the
cases. anu lue nope is expressed that
congress VIII enact INTO law Dill oil
senator hnoN 'o correct the interpre
1A'loh OF the immunity provision rem
oered IN Judge Humphreys decision
- 49, - '''i'- 1-o p'es'uen' says
IN nc lelo't SHOWS that the standard
OH com pany has benefited enormously
f'N'1-0 NlolHoAt oy
,"'e~, many OF lhese secret
rates Delhs clearly unlawful The ben
en-. amounts 10 al least $1ooOOO year.
LIS H'oo,oOO represents the pront that
- 80 7''i'UaIu vi con- pany OBTAINS al
&c peNs7 ol the railroads. out OF
curse the ulliula1e result Is that II
oo,o'NA a liiu'" iaIser pIoh' AZ the sx
peNSe ol me pubic
s's fronts IN secret Rates.
buI IN auultlon 70 these secret rates
the standard OH prohts immensely By
open rates. which are so arranged as
70 give u an overwhelming advantage
over us independent competitors. The
refusal OF the railroads In certain cases
20 prorate produces analogous effects.
Ihus. In New England the refusal OF
certain railway systems 10 prorate has
resulted IN keeping the Standard OIL
n absolute monopolisue control OF the
hsIa' enabling II 70 charge $500. 900 20
y e.