Richmond planet. [volume] (Richmond, Va.) 1883-1938, 1907-02-02
STANDARD OIL
SECRETS EXPOSED
MOnOpOly's Policy is to Ruin Its
Competitors
BRIBED RAILROAD EMPLOYEES

Washington. Jan. 20. - The inter
state commerce commission sent to
congress report OF the Investigations
made By II under the TiIiman-Gillespie
resolution approved March last con
corning the relations OF common car
riers by rail 70 the production and dis
tribution Of oil. The report covers the
distribution OF petroleum and its pro
ducts east OF the Mississippi river.
and. Incidentally, the Kansas and
Texas fields.
Il points out generally the methods
by VIII / the Standard oil company
has built up and psrpetuated its mo
nopoly and the relations OF transpor-
tation agencies 70 that monopoly" It
is asserted that the ruin OF its com
petitors has been a distinct part OF the
policy OF the Standard OIL company in
the past. systematically and persist
entity pursued" Considerable OF the
ground covered has been gone into
fully In the report on oil and fits dis
tribution made public by the bureau Of
corporations.
NO instance" the report says, rs
found where any railway company has
been interested in oil lands OF In pc
troleum production. and only one in
stance Is shown where officials Of a
railway company were interested In
the production and sale OF oil.
The Standard oil company largely
monopolizes the handling Of petroleum
from the mouth OF the we'll until Il IS
sold 10 the retailer. and sometimes 10
TIE consumer. and under ordinary cir
cumstances its margin OF profits is
very large. Estimates made IN the re-
port show a profit on refined oil from
the Sugar Greek refinery at Kansas
City OF from FIVE 70 eight cents per
gallon. A much higher profit IS indi.
Gated for gasoline. The sale OF refined
oil from the large Standard refinery at
Whiting is correspondingly profitable.
The evidence shows little basis for
The contention that the enormous
dividends OF the Standard OIL COM
pany are the legitimate result OF its
economies. Except for its pipe lines,
the Standard has but little legitimate
over the independent re-
finer.
Ordinarily. II is said. the Standard
has not received rebates IN recent /
years. so far as has been discovered. |
but II nevertheless enjoyed secret /
rates possessing all OF the elements OF |
illegal rates. and the advantages so OBJ /
tanned over independent shippers have
been OF very great value to that COM
pRny.
The Standard has sold different |
grades Of oil at different prices from
the same barrel II has paid employees /
Of Independent oil companies for infor- |
nation as 20 the business OF those |
and has paid employees OF |
Industrial companies TO secure the !
Of It's oil in preference to that |
OF It's competitors.
1T has followed every barrel OF In /
dependent oil 20 destination. It's agents /
are instructed TO secure customers al 1
any sacrifice. IL has tempered with the /
oil inspectors In different states. The i
laws of several states concerning the :
Inspection OF oil are singularly defec. /
tive, and this has been turned to profit 1
by the Standard.
The commissions only knowledge /
of the competitive methods OF the /
Standard OIL company is obtained
from evidence taken under oath In /
his investigation. The Standard was
given permission TO explain OF rebut
he facts.
This evidence. II true. demon.
strates that the competitive methods
II the company In the past have been
lnfair and disreputable."