The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1906-05-05

have been aud are being greatly In
creased by determinations In freight
rates, both published and secret, inter-
and monopolistic control In the greater
portion of tho country, and winch 50
limit competition ns TO practically pre-
wont the extension of the business OF
any independent to q point , wnlch even er
the Standard. ,.
An Immediate result Of this delimita-
ton of the competitive aren IS SHOWN
by the prices Of ordinary illum ar ing
Quoting the freight rate tho price or
such oil Is usually from 3 cents to
cents gallon higher In the non9ompo.-
titive than in the competitive helos; a T..
about one-half q cent per gallon. It IS
clear that exorbitant profits are oD-
te1ned In the noncompetitiVe nelds.
This monopollstio control eXtends from
the we'll Of the producer to the door
step Of the consumer. 4 III RI
The facts regarding freigh n rates
havo been obtained by the examination
of thousands Of entries upon rallroad
records. With but a single simportant
upon application of tho Bureau Of Cor.
porations given access to records OF
both State and Interstate business: me
New York Central Company refused
for Itself and n Its d1l' ne Sate ne rses
At the beginning OF this Investigation
the oflcinls Of the Standard on Conn
pany stated TINT that company had not
obtained In recent years r,o ana W was oth nor
Transportation discrimination. as
against its competitors. They invited
tic most careful Investigation g OF Il the
subject. ..,i. ..1,,<sit.,,.,x \. I =, !,
the essential facts discovered BY this
Bureau were presented to the COM
pany at the close Of the investigation.
md an exhaustive statement relating
officer. There was no denial Of the
facts found, but explanations or par.
ticular situations were offered, and IT
was urged that the facts did not snow
any violation by the Standard OF tne
letter or spirit OF the interstate co!it-
merce law.
Conclusions. 81 aaY.,4. 4.
Il NJ A most careful review Of the facts
and the explanations leads to the fol-
lowing concluaionaas nluo2 bLea 81 ,53S
4 The Standard Oil Company has hab,
/ itually received from the railroads, ana
is now receiving, secret rates ana QUIET
unjust and illegal determinations.
three quarters Of a million dollars
through the secret rates discovered oy
the Bureau and, Of course, thore may
be othertsecret rates which the bureau
4
presents the difference between the
open rates and the rates actually paid.
Many Of these determinations We're
clearly in violation Of the interstate
commerce Jaw and Others, ~. wiener oe
effect upon competitors. On some
state business secret rates were ap-, 4
piled by means ofrrebates
These DETERMINATIONS have been so
long continued, SO secret, so ingenious
" applied to new conditions OF trade,
and 80 large In amount as to make 1t
certain that they were due TO concerted
action by the Standard and the rail-
The standard on Company is receiv-
ing unjust DETERMINATIONS in open
rates.
The published rates from the leading
Standard shipping points are rela orh,I
spoing points of It's ,competitors. me
+ advantage to the Standard over It's
competitors from SUCH open dlscrlinl-
nations Is enormous, probably as I'M
pOrtunt as that OBTAINED through the
secret rates.
\ II an unfair Discrimination be obtain
ed BY one shipper through q device
which In itself Is seemingly not PROM
bted by law, that fact shows that the
law 4 Is defective and should be,
the discrimination is proper or just.
Important Instances.
The following are. a few OF the most
methods by which they were obtained:
% For nbout ten years The New Eng,and
territory has been In control or me sInaa IT.
OH Company by reason OF the refusal OF me
New York New Haven and Hartford road
and of tho Bostom and Maine road' on ~ -
but few divisions to pIGrtStesn ,,.1 e rro NJ
OF tho adjustment OF published rates
The Standard Is entitled 70 ne a% rsanhane
New England, but that advantage was hs
greatly and unfairly Increased when th a.,
railroads. by refusing, to prorate. virtually
The rail rates from the ,Wcs! from To-. 70 70
do prorate all all other commodities; their
refusal 10 do go In tho case OF OIL hmVuntsa
to imposing a substantial .nS on a., "a So'i IL
also also heavy discrimination against tho
Is) the standard on Company has v been IN
the sale OF oil in the northeastern par1 oa
New York and IN a portion OF Vermont by
means Of secret rates from lts rehner'es az
o! Thn P anu nallroadShas given tho
STANDARD rate Of cents ,, barrel IRON ON
olean, n. " 70 NoHhes,eT' VILE rrto ery nd nd
jacent to Olean were given 2 rate ~ .n 90
cents a barrel. By means OF this scent
rate, In c0mDlIatlonL MlW. " A"', ..I,',
Rochester, to Norwood. \, " ylrluuIly
secret and very low rate from Norw voc -.
\, T., to burlington, and secret local ra'es
therefrom the Standard has been able 70
supply central and northern Vermont Win
oil a, d rate OF from 10 10 y cents per hun
drcd Wounds whereas no Independent re-
finer could reach tina, territory from west
crn Pennsylvania save ~ n ratc VutyIns
from "a 10 TO cents per hundred ponnas,
The Swing to tho Standard during lSa
by the secret rate from oean 10 Rochester
alone was &il5.0cJ. This and other less
Important rntes from Olsan were unknown
10 tho Independent r"nners and were Ips
published on tho ground that they were were
used for oil consisned 70 points beyond
more. all the shipments from oican on th e,,'
pccro, rates were blind'hllled-lt, e., tAe
rutcs were not Hhown on thu waybills.
10 The Standard Oh Company has mann
tanned labsolutc control OF ALMOST me whole
tcrt!on OF tho country bon,h Of the ono
plyer and eag. Of the Mississippi ny neans
Of secret rates aad open DETERMINATIONS
IN rates from Whiting, Ind
For example TIE published tarin fate
ilncfy Oh I'M standard, 70 Bitinlnsnhm,
Ala, was ID cents per hundred pounds
F0r nj least isn years the Standard, ~
means of "a Becrat combination Df rates Wy
way OF Grand Junction. Tenn. oynr me
line OF the Chicago and Eastern, Illinois,
the Illinois Central. and the sgnihrh lfhlT
way. nus shipped ~ 10 birmingham for M
GcH'6 the Toledo ccmpstitor, no farther
distant, had % pas t7ia cents
a gfoa aren IN the south has been reach
"a by this sans teeret combination a. rates
y4. s.. I.,s NM