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

Medicine Co.. Schenectady, n. Y.
Descriptive pamphlet free OF request.
this location OF refineries and the ma
tural advantages following II were OBJ
tained by means OF unfair competi-
tive methods. but beyond this mere as
sertlon does not go into a history or
explanation of these alleged unfair
methods at all.
PIPE LINE DEVELOPMENT
'He says the development of the pipe
line system by tho Standard OIL COM
pany was the result OF special agree
ment with the railroad companies
What he can mean Is past our compre-
hension, As a matter OF fact. the de-
velopment OF the pipe line system by
the standard Oil company was In the
face Of violent hostilities on the part Of
the railroads. which naturally were op-
posed to the introduction OF such means
OF transportation. AZ enormous cost.
and in the face Of steadfast railway
opposition, AT an early date the stand :
ard Oil company adopted the pipe line
methods for handling crude petroleum,
The flrst line was extended from She
western Pennsylvania oil fields 10
Bergen Point on the Atlantic coast.
This line diverted an enormous amount
Of freight from the railway COM
panies, which fact they did not View
With complacency.
Passing from this point. Commits
sioner Garfield takes up the question OF
fayorltism which he alleges has been
shown by various railroad corporations
10 the standard OIL company, The first
81 al - Han ffrati
to which he directs attention IL in the
New England territory. II Il charged
that we enjoy monopoly In certain
parts Of that section because some OF
the railroads there refuse to pro rate.
The man who could be deceived By such
a statement must be pretty dense
RAILROADS To BLAME.
First. " the New England roads
ought TO pro rate. but refuse TO do So II
must occur to some one somewhere that
perhaps the New England roads and
not the Standard OH company are
blamablo. Second very casual in
quiry would show that the New Eng
land roads are simply doing what they
are forced to do by natural conditions
and that Mr.. Garfield's attack, 10 be
effective, should be directed at Long
Island sound as means Of freight
communication.
obviously we have an advantage by
the use of our own pipe lines from the
western oil fields 10 the coast, and Ia
the use Of water transportation TO New
England. over any one who uses all rail
transportation from western points
But this advantage is one which II IL
not possible to correct by any rate leg.
islation unless II Is proposed 10 bank
rupt the railroads In order TO meet wa
ter competition. Yet we are not alone
In this method OF transportation. Some
OF our competitors do the same thing
and deliver oil al the points In New
England that we do by the same pro-
cess
GARFIELD Is UNFORTUNATE.
"The commissioner Is peculiarly un.
fortunate In the subject OF rebates.
The public may well take his word that
he made an exhaustive examination,
and yet withal lie says that with one
or two exceptions the Investigations
of the bureau have as yet discovered no
rebates. In the technical sense, In in
terstate business These exceptions
were ON business done wholly within
the state OF California. over which. OF
course, neither Mr.. Garnelds bureau
nor the Interstate commerce commits
sion has any Jurisdiction. But In those
cases the alleged rebates were fully ex-
planned 20 Mr.. Garfield and Involved
no turpltude whatever. II was n new
business on the Pacific coast, and be-
fore II had been systematized there
We're overcharges, not to the Standard
OIL company alone, but TO every ono
engaged IN the enterprise, which over
charges were subsequently adjusted
He SAYS the Standard oil company
has habltually received from the rail-
roads and Is now receiving secret re-
bates and other unjust and illegal dis
ordinations. II Is hardly fair or man
course, there may be other secret rates
which the bureau has not discovered
CONTROL OF STATE RATES.
Again, he has no control whatever
over state rates. which by the law arr
put under the Jurisdiction of the state
authorities. and over which the bureau
or commerce nor the interstate COM
merce commission has any control.
But. all Of this aside. there have been
no secret rates or unlawful dlscrimih~
atoms In the interest OF the STANDARD
OIL company. Take the case OF the rate
from Whiting TO East ST. Louis upon
which he lays so much stress. while
discussing II at great length as an I'M
portant find he qualities and explains
II all by the statement that Whit
ing was suburb Of Chicago, within the
switching district Of that city. ana
mat all freight rates from Whiting had
Tor many years been the same as those
from Chicago.
AN UNFORTUNATE CLAIM
Mr.. Garfield's claim that by the use
on low Interstate rates the Standard
oil company gained an unfair advan-
tase Is equally unfortunate. At great
expense we constructed pipe lines from
the pennsylvania and Ohio oil fields
ana from the Kansas and Indian Ter
ritory nelds to Whiting. II our COM
petltors did not do the same thing,
SHAH II be said that any one is unfair
VINO does not give them the advanfae1