The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1906-05-05

sion Oi the business OF any muelNhueh'
to point which even remotely en-
dangers the supremacy of the Standard,
Rates Are Too High.
An immediate result of thi, delimita.
tion OF the competitive area is shown
by the prices OF ordinary Illuminating
oil throughout the country, After de-
ducting the freight rate, the price of
such oil is usually from two cents to
five cents gallon higher in the non-
competitive than in the competitive
fields. A reasonable profit up on refined
oil is about one.hali cent per gallon
1t is clear that eNorhitant profits are
obtained in the non competitive fields,
This monopolistic control extends irom
the we'll of the producer to the door
step of the consumer"
Mr.. Garfield cites the fact that the
New York Central Railroad Company
which refused for itself and affiliated
lines to give access to records OF state
rates.
At the beginning OF the investigation,
he says, the Standard Oil Company de-
MED that il had obtained in recent
years or was now obtaining any rebate
or other transportation discrimination
as against its competitors and yet he
says that most careful review of the
facts and the explanations lead up to
the conclusion that the Standard Oil
Company has habitually received from
the railroads and is now receiving,
secret rates and other unjust and illegal
determinations,
Railroads and Standard Combined.
'In 1904 these rates saved to the
Standard Oil Company three quar-
tiers of million dollars, representing
the difference between the open rates
and the rates actually paid These dis
ordinations" he says, have been SO
long continued, 50 secret, 80 Ingenious
ly applied to new conditions OF trade
and so large in amount as to make 1t
certain that they were due to concerted
action by the Standard and the rail-
roads" He says further that the Stand
ard Oil Company is receiving unjust
Determinations in the matter of open
rates, the published rates from the lead
ing Standard shipping points being re-
latively much more than rates from the
shipping points OF its competitors.
Mr.. Garfield then refers to seven in
stances OF important determinations in
favor of the Standard Oil Company in
various parts OF the country ani says
that most of the secret rates and some
of the open determinations discovered
by the bureau were abolished by the
railroads shortly after such discovery.
After calling attention to the good
which already has resulted from the in
vestigation Mr.. Garfield says charges
effected have put the independents mp
on a fairer footing and make competi,
ton possible in territortes heretofore
inaccessible. The report concludes a.
follows
Independents at Disadvantage.
Nevertheless the widespread dis.
elimination, in open rates still in force
leave the independents at serious dis
advantage. The investigation only in
cidentaly touched state shipments from
distributing centers, particularly in less
than carloads. The few instances ex-
amined suggest probability Of discrimi-
nations on such shipments which, TAX
en- in connection with through traffic
may result in Determinations on inter-
state business.
Il have cited these particular in
stances to show the various methods by
which determinations are obtained and
to call particular attention to methods
which, if legal, are mere devices to OBJ
tain exactly the same result as would
be obtained by rebates paid on inter
state business. Any freight discrimi-
nation, whether it be state or interstate,
tends to give control Of markets to the
preferred shipper, and makes monopoly
possible. If existing law merely pro-
hibits special rate device for obtain
ing discrimination, and permits the
same result to be accomplished in a
different way then the legislation is to
that effect a sham.
Interstate Commerce Law Defective.
This investigation has shown very
clearly one glaring defect in the inter
state commerce law, viz: the method Of
filing and publishing tariffs Although
tariff or a rate has been fled with
the commission in compliance with the
terms of the law, none but the favored
shipper may know Of its existence.
Tariffs may be made and rates may be