Bluefield evening leader. [volume] (Bluefield, W. Va.) 1906-1911, 1906-05-05
REPORT OF COMMISSIONERS ~
MADE PChLiC AND PREsI.
DENT RoOsEVELT SENDS
MESSAGE To CON.
GnESS.
SHOWS HON IT'S RAILROAD Al
LIES FOR YEARS HAVE
BEEN sTiFLiNG COM
PETITION.
(By The Associated Press.

commissioner OF corporations, CIV
ing the results OF his investigation OF
the subject OF transportation and
freight rates In connection with the
oil industry.
In his message the president ex-
presses the view that the report is OF
capital importance because OF the
effort now beine made to secure such
enlargement OF the powers OF the in
erstate commerce commission as will
confer upon tho commission power
+ In some measure adequate 10 meet
the clearly demonstrated needs OF the
situation. The facts set forth in the
report he declares are for the most
part not disputed That the Stan
dard OH COMPANY has benefited en-
ormously up almost to the present
moment by secret rates. many of
which were clearly unlawful The
president says tho report oeariy
shows the benefit threby secured.
amounting To al least three quarters
OF million year On this subject
he says
This three quarters OF million
represents the pront that the Stan
dard OIL Company obtains at the ex-
pense OF the railroads but of course
the ultimate result Is that Il obtains
n much larger proht at the expense
OF the public. A very striking result
OF the investigation has been that
shortly after the discovery OF these
secret rates by the commissioner of
corporations the major portion of
them were promptly corrected by the
railroads so that most OF them have
now been done away with. This i'm
mediate correction, partial or com
! Dlefa-- nj the aVD at tho o~---. --".v-'r
Is OF course on the one hand an ack-
Inowledgment that they were wrong
and yet were persevered In until ex-
posed; and on the other hand proof
of the efficiency OF the work that
has ben done by the bureau OF cor
porations.
The statement Is added that the
Department OF Justice will take up
the question OF instituting prosecu-
tions I'm at least certain OF the cases
iand the hope Is expressed that Con-
gress viii enact into law the bill OF
Senator Knox TO correct the inter
pretation OF the immunity provision
rendered I'm Judge Humphreys de-
cision
Continuing, the president says:
But In addition TO these secret
rates the Standard Oil profits immen-
isely by open rates which are so ar.
ranged as TO give It an overwhelm-
ing advantage over its independent
competitors. This is a characteristic
example OF the numerous evils which
are inevitable under system In
which the big shipper and railroad
are left free TO crush out all individ-
iual initiative and all power OF indie.
pendent action because OF the alb.
lsenee OF adequate and through going
governmental control. Exactly sim.
lilar conditions obtain In a large part
OF the West and Southwest"
1T is not possible" he says. &c
put into figures the exact amount by
which the Standard profits through
the gross favoritism shown II bs IN,
railroads in connection with the oper
rates
The profit Of course, comes no
, merely by the saving in the rate Il
self as compared with its competitors
but by the higher prices which It Il
able TO charge and by the complete
control Of the market which It 50
, cures. thereby getting the profit OF
the whole consumption"
The president calls attention L
that feature OF the report regardinl
the manner IN which the law IL evad
ed by treating as state commerc
what In reality is merely q part o
Q interstate commerce lie says II
Is clearly shown that this device &
employed on the New York Centra
Railroad as we'll as on many othe
8 railroads In such fashion as u
i amount 10 thwarting the purposes o
, the law. although the forms OF th
4 law may be complied with"
r n is unfortunately not true. h
4 says. that the Standard OIL Compa
4 ny is the only corporation wyich ha
i benefited and IL benehtting IN Who'll
. ~ improper fashion by an elaborat
series OF rate discrimination IN
Sugar Trust. he adds according % m
results OF the Investigation now d
progress, rarely " ever. paws the laV
j. fui rate for transportation lie do
clares that IN the efforts 70 preven
the railroads from uniting for im
Il proper purposes. we have very ur
d wisely pohibited them from unitin
j. for proper purposes; that is for pur
u poses OF protecting themselves an
" the general public as against N
power OF the great corporations"