Watertown weekly leader. [volume] (Watertown, Jefferson County, Wis.) 1906-1908, 1907-02-01
ATTACKS THE OIL TRUST
COMMERCE COMMITS
SION SAYS STANDARD OIL
CRUSRES COMPETITION.
RAILWAYS ARE BLAMED
State Laws and Inspectors Made Into
Tools to Serve Purpose OF What Is
Declared Worst of All Trusts.

the ENldIIaId VII cDlHDdilH HAS tA'I bcNA
subjected, is contained i'll Il report pre-
scented To Congress today by the inter
state commerce commission. The report
was issued as = result Of the TiIlman-
Gillespie resolution Of March Z. 1906,
providing for an inquiry into the rela-
lions Of the Standard Oil company and
the railroads.
While there was found only one rail
way-the Baltimore Il Ohio Southwest
ern, Of which officials owned an oil com
pany (tLe Argand, in this instance
which was later sold 10 the StandardJ-
the railways are blamed severely for Civ
ing secret advantages to the oil COM
hlne, largely aiding II III maintaining the
alleged distinct policy oI heartless ruin
Of competition"
HOW THE TRICK IS DONE.
1t is related that the Standard Oil
company has absolutely its own way and
stops at nothing to gain its purposes.
stops at nothing to gain its purposes
Among the methods employed, these are
enumerated:
perfect system of espionage over the
shipments of its competitors, resulting in
knowledge as to the destination OF every
car Of oil leaving the refinery of an indie
pendent
The STANDARD has repeatedly, after be
coming the owner Of a competing com
pany continued to operate it under the
old name, carrying the idea to the public
that the company was still independent
and competing with the Standard.
1t has used such purchased or indie
pendently organized companies to kill off
competitors by such companies reducing
prices. the operation of such fake indie
pendent concerns has been one of its
most effective means Of destroying com
petition
The Standard has habitually reduced
the price against its competitor in a par
tiCular locality while maintaining its
prices at other places.
When competition was destroyed it ad-
vanCed OF restored former prices.
The Standard has sold different grades
of oil at different prices from the same
barrel
1t has paid employees of independent
Oil companies for information as to the
business Of those competitors and has
paid employees of industrial companies to
secure the adoption Of its oil in prefer
enCe to that of its competitors.
1t has followed every barrel of indie
pendent oil to destination
It's agents are instructed to secure Gus
toners at any sacrifice.
1t has tempered with the oil inspect
ors in different states
The laws of several states concerning
the inspection of oil are singularIy de-
fective and this has been turned to profit
by the Standard.
NO COMPETITION AT ANY COST.
The arrangement continued with the
statement that ull these charges are
made on evidence under oath which
Standard Oil was given chance to re-
but The report then says:
This evidence, if true. demonstrates that
the competitive methods of the company in
the past have be affair and even dis
reputable. It's motto has been the dcStruc-
tion of competition at any cost. and this
policy has been pursued without much ref
orcnce to dcccncy or conscience and it is
significant that the larger independent re
liners sell the greater part OF their product
in foreign countries.
One independent testified that 80 per
cent. Of his product Wcnf abroad, and said
that he could compete with the Standard
IN Germany. where its Methods nS followed
in this country. would not he tolerated.
but that he could not compete with it here
PIPE LINES REAL BANE.
On the question of remedies. the re-
port makes these observations:
More shan anything else the pipe line has
contributed to the Standard Oil monopoly
Gnd its supremacy must he continued until
its rivals enjoy the same transportation Ia
DilttipS. The amended act to regulate com
mCrCC makes the existing pipe lines com
mon carrier subject to that act. and the
power TO prescribe just and reasonable
rates, regulations and practices. after com
plant and hearing. is conferred upon the
commission. But the pipe line tariffs filed
with the commission are alleged to he of no
actual advantage to the independent oper-
ators.
The commission can only act upon these
schedules after complaint has been made
challenging specific rates, regulations or
practices. Some complaints are now pend
ing. How far the amended act will prove
adequate TO the correction of such injustice
as now exists i'll respect to this traffic
mains to lee seen.
NO OTHER SUCH MONOPOLY.
AS to no other important traffic is there
an approach to the monopoly of the Stand
ard Oil i'll that of oil. Under these cOndt-
| tons 1t may become necessary TO the up
roofing of established wrongs and the pre-
vCntton of others that the government shall
fix i'll the first instance the rates and regu-
lations for the transportation Of this traffic.
This method has been adopted by the Legis
laturc of Gle state. 1t probably will be
found necessary to diSaSSociate in the case
oil oil. as in that of other commodities. the
function of transportation from that of pro
duction and distribution. What other RENE
dies in addition to those already provided it
may be necessary to prescribe can better
( j
suits of experience i'll administering the
present law.
RAILROADS HIT HARD.
While the pine line is named as the
great evil of evils, the rebates. espiou-
age and other secret advantages given
by railways come in for part of the
scoring. The report continues:
1t does not appear that the railroad COM
N&nieS have directed the furnishing of Sc
rret information about competition or that
the practice has been sanctioned by Supe-
rior officials of the roads. but it does APP
pear that such information IS systematic
ally obtained from railroad employees. The
time. if ii does not now, devoted 4 fund
to the purpose of obtaining this informa-
ton
1t has Frequently happened when the sup
ply of independent oil i'll 4 particular ter
ritOry was peculiarly necessary that the
shipment has unacCountably gone aStray.
Information also appears to have been Civ
en- the Union Tank line 4 creature of the
Standard, concerning the whereabouts of
It's cars. while such information was not
furnished to other owners of tank cars,
and some discrimination in tank car mile
age in favor of the tank line is shown
for one railroad.
HAS ALL RAILWAY TRADE.
The report shows that lat present
every considerable railroad in the United
States in buying of the Galena Oil COM
pany, one of the Standard company's
subsidiaries, most of its lubrcating and
signal oils. the prices paid for lubricatinc
ATTENDED BY PROF. SCHATT