Rocky Ford enterprise., 1906-05-11
oil TRUST NOW
BEING INVESTIGATED BY THES
GOVERNMENT.
RECEIVED DRAILROAD REBATES
President Roosevelt Sends Commits.
sioner Garfieid's Report to Con.
sress and Makes Pertinent Com.
nents

Washington. - President Roosevelt
has transmitted to Congress the report
of James Il. Garfield. commissioner of
corporations. giving the results OF his
investigation OF the subject OF trans.
portation and freight rates In connec-
ton with the oil industry.
In his message the President eS-
pressed the view that the report Is of
capital Importance because OF the et.
fort now being made to secure such en-
largement OF the powers OF the Inter
state Commerce Commission as will
confer upon the commission power in
some measure adequate to meet the
clearly demonstrated needs OF the situ-
alton. -
The facts set forth In the report, ~
declares. are for the most part not dis.
puted. That the Standard oil Com
pany has benefited enormously up al
most to the present moment b. secret
rates, many OF which were clearly un-
lawful. the President says the report
clearly shows. the benefit thereby Sc
cured amounting TO nj least three-quar-
tiers OF n million dollars year. On this
subject he says:
"rhIs three.quartcrs OF million rep.
Company obtained Mt the expense OF
the railroads: but. OF course. the ulti.
mate result Is that II now obtains u
much large profit at the expense OF the
public.
~ very striking result OF the invcs.
tigatIon has been that shortly after the
discovery OF these secret rates by the
commissioner of corporations. the ma
ior portion OF them were promptly cor
rcctcd by the railroads. so that most OF
thc1 have now been done away with
This immediate correction. partially
or complete. OF the evil OF the secret
rates. il. OF course. on the one hand an
acknowledgment that they were wrong
and yet were preserved and peTseveTcd
in until exposed: on the other hand.
the effect Of the efficiency OF tn. work
that has been done by the Bureau OF
corpoFationn.'
The statement II added that the Dc,
partmcnt OF Justice will take up the
question Of instituiins prosecutions In
at least certain OF tn. cases. and the
hope II expressed that Congress will
enact into Law tn, bill OF Senator knoN
to correct the Interpretation OF th. i'm
munliy provisions rendered In judsu
Humphreys decision. Continuing. the
President says:
but. In addition TO these secret
rates. III. Standard oil profits i'm
mcaSciy by open rates. which af, SO zsn
ranged as to give an overwhelming ad'
vantage over its independent compcil'
tors. This IL a characteristic example
of the numerous evils. which are In
esitablr under n system In which the
big shipper and the railroads arc lcf;
free to crush out all Individual !ni,i'
auyc and all power Of independent &C 4
tion because Of the absence OF adC'
auatc and ;horoaEh-goinE govern.
mental control. Exactly similar eondi.
tons obtain In n large part OF tho
West and Southwest
Il Is unfortunately not true. he says.
that the Standard oil Company is the
only corporation which has benefited
and Ia bcnctit!pE In wholly Improper
fashion by an elaborate series Of rate
determinations.
The sugar trust. he adds. according
TO the results Of the investigation now
In progress, rarely. II ever. pays tn"
lawful rate for transportation. lie de-
claTcs that In the effort 10 prevent tho
railroads from uniting for improper
purposes. we have very unw!scly pro
hibitcd them from uniting for proper
purposes: that is. for purposes Of pro.
tectinE themselves and tho general
public against the power Of the srca;
rorpnratfRna -