The labor world. [volume] (Duluth, Minn.) 1896-current, 1906-10-27
ARE STANDARD OIL
REBATES HELD SACRED? ,.
Court Refuses to Admit Tes-
timony of Merchant Who
Who Knows Something.
Merchant Who Had Been Fav-
ored With Secret Rebates "
by Trust Can't Tell.

F1ndlay, Ohio. Oct 25.-The case
against the Standard Oil company for
conspiracy in restraint of trade came
to and abrupt and unexpected termin-
alton.
The state attempted to introduce
evidence that the oil trust paid a re-
bate to- local dealers through its
agents. Judge Banker declined to adj
nit the evidence. Thereupon Attorney
Phelps for the prosecution announced
he would wind up the case at once.
The ending of a case in which the
state Of Ohio hoped to prove so much
against the huge oil trust was almost
sensational.
Willis B. Ulsh, a local grocer, testi-
fled that up to three years ago he
bought his oil from the National COM
pany, an Independent refinery in Find
lay. Then he was visited by an agent
Of the Standard Oil company, since
which time he had bought his oil Of
the Standard. +
At this junctutre Attorney Kline for
the Standard Oil company interposed
so vigorous an objection to the further
questioning of the grocer that Judge
Banker directed the jury to retire.
Attorney Phelps informed the court
that the Standard Oil company had
offered the grocer a rebate, and that
the rebate had been paid ever since.
Judge Banker asked if Attorney
Phelps could prove that the Standard
Oil company had given it's agent au-
thority to offer and pay the rebate.
Attorney Phelps reluctantly admitted
he could not.
Judge Banker Immediately ruled out
the evidence of the rebate, saying it is
a fundamental rule of evidence that
the authority Of the agent must be
established.
linen the state will close it's case in
ten minutes" remarked ATTORNEY
Phelps, and the jury, which had been
excused for this argument Of counsel.
was called in. zss.s
4 Before this unexpected obstacle to-
the states case was encounte tered STAN
= 6nicials SAD f1adA
some important admissions, showfnrs
the devious ramifications of the Stand
Pc
troleum Industry Of Ohio.
The testimony Of the witnesses ex-
amined-au of whom first claimed and
were granted immunity from all GRIM
1nal prosecution-show that tho
crude oil business Of Ohio is practi-
cally all In the hands of the Standard
Oil company.
Inc producer sells his oil to Josenh
Seep purchasing agency-a creature of
the standard Oil. The Seep PURCHASING
agency delivers the crude Oil to tho
Buckeye Pipe, Line company-ownedj
by the Standard Oil, j
Inc buckeye Pipe Line company de-
nVers the OIL to the Standard Oil ret1n-
cries, or to such other refineries as the,
standard Oh directs. charging the pro-
queer ~ cents a barrel for transnorta-j
ton. regardless Of distance.
Pending deliveries to the ref3ner,a..
the OIL is stored In Buckeye Pipe 1dnaI
company storage tanks at a. charre or
70 cents per 1000 barrels per day. !
The ref1neries who buy cruda III,
from the Buckeye. pipe Hne companv
another name for Standard Oil !
>~~~S ~ !
hne 1t only to retail dealers named bv,
'ohn d. Archbold Of the Standard Otl.j
and at price fixed by him. ::
Refiners who buy crude oil from thn,
Buckeye Pipe Line company ship thei
refined product tn tank cars oneratnrf !
by the Union Tank Line connanv-
which is another alias for Standards
OIL
Thus, the Standard Oh trust. aat
shown. by. the. evidence-a1L. s1veni
under pledge Of immunity from crtm-
inal prosecution-t1xes the price It WIN
pay for crude oil, collects tribute for its'
transportation and storage fixes the
price Of the refined product, collects /.
freight for the transportation Of tho
refined product, and even names the :
dealers who may or may not sell II.