Every evening, Wilmington daily commercial., 1906-05-04
i7ORY TOLD TOGONGRESS
|,,Idsnt Roosevelt Conveys the lnfOT-
nation in a Special Message
Which Was Read Today.
ENDS IN GARFltLO'S REPORT
b,.lch Gives Details of Many
Of the Offences.
|FutDY BY LEGISLATION IS URGED
....,.,.s Press Dispatch by special Wires

..,.i,,sd Press Dispatch by Special Wires
Wellington. May 4.-President Roose-
In sent the following message to Con-
ress, today
mi. senate and House of Representa-
- transmit herewith a report by
4 y commissioner of the Bureau OF Cor
Io,stions in the Department Of Com
'.rce and Labor on the subject of trans
I.r,stion and freight rates in connection
Is,b tbe oil industry. The investigation,
,sresults Of part OF which are summarized
1 tbis report, was undertaken in accord
Ircs with House Resolution 499, passed
tsbn,arv 18th, 1905, but for the reasons
iysn m the report it has been more gem
n and extensive than was called for in
N resolution itself.
/ ean your especial attention to the
tier Of trsnsmittal accompanying and
rmmsrizing the report; for the report is
capital Importance in view Of the effort
.ov being made to secure such enlarge
bsnt Of the powers Of the Interstate Com
psrre Commission as will confer upon the
|onmission power in some measure ade-
nsiev 10 meet the clearly demonstrated
se3s Of the situation. The facts set
nm in this report are for the most part
oi disputed. Il is only the inferences
rom them that are disputed, and even
this respect the dispute is practically
mited 10 the question as to whether the
rsnsactions are or are not technically
kgal. The report shows that the Stand
M Oil Co. has benefited enc rmously up
most 10 the present moment by secret
btes many Of these secret rates being
esrlv unlawful. This benefit amounts
! st least three-quarters OF a million a
lear This three-quarters OF a million
spresents the profit that the Standard
1 n Co. obtains at the expense of the rail-
bads; but Of course the ultimate result Is
bat il obtains a much larger profit at the
Expense Of the public. A very striking
ssult Of the investigation has been that
honly after the discovery Of these secret
stes by the Commissioner of Corpora
ons the major portion of them were
1pmptly corrected by the railroads, so
BAT most Of them have now been done
INay with. This immediate correction,
artial OF complete, of the evil Of the
fcet rates is Of course on the one hand
b acknowledgement that they were wrong,
Iad vet were persevered in until exposed
8ni on the other hand q proof Of the eff
ency OF the work that has been done by
be Bureau Of Corporations. The De-
ltment Of Justice will take up the ques-
bon Of instituting prosecutions in at least
eTtain Of the cases. But It is most de-
irable to enact into law the bill introduced
ly Senator Knox to correct the interpre-
alton Of the immunity provision rendered
b Judge Humphreys decision. The
lands OF the government have been
lfeatly strengthened in securing an effec-
i've remedy by the recent decision Of the
lpNme Court in the case instituted by
be government against the Tobacco
rst, which decision permits the govern
hent to examine the books and records
any corporation engaged in interstate
|onmerce; and by the recent conviction
lnd punishment Of the Chicago, Burling
|on and Quincy Railroad and certain o
officers.
But in addition TO these secret rates thl
Il fiandard Oil profits immensely by opeI
lales' which are so arranged as TO give i
overwhelming advantage over its in
ependent competitors. The refusal o
be railroads in certain cases TO prorat
foduces analogous effects. Thus in New
ngland the refusal of certain railwa,
ssiems to prorate has resulted in keep
ag the Standard Oil in absolute monopo
sue control of the field, enabling it h
lAIge from three to four hundred thou
ana dollars a year more TO the consumer
ou IN New England than they wouli
ave to pay had the price paid been tina
Blaming in the competitive fields. Thi
q Characteristic example of the numer
s evils which are inevitable under
stem in which the big shipper and tn
.llfoad are left free to crush out all in
Nldual initiative and all power Of indie
5adent action because Of the absence O
aequate and thorough-going govern
ental control. Exactly similar condi
ols obtain IN large part Of the West an
ollnlwest. This particular instance ex
lplhes the fact that the granting to th
.seInment Of the power to substitut