New-York tribune., 1907-09-28
PIPE LINE PROFITS BIG.
"P. s. TR4INOR" BOBS Up.
"Coatingcnt FHnd' Of S2,@3f 900
.Ittracts Mr. KeII0gg's attention.

The MAGNIFICENT profits that TO the Standard
oil Company yearly from the operation OF its var
pipe lines We're emphasized again yesterday az
she hearing OF the governments suit 20 dissolVe
that corporation the ground Of monopoly frsihh
T. Kellogg had George ChesehTo. controller OF the
National Transit Company, which supeTFises Tor
ihe Standard most Of the pipe lines, again on tn>
stand most of the morning session. and curing ms
examination brought out some more interesting
figures profits Whhh TO make up the incomes
OF Standard oil slg eholders-
Trial balance sheets OF the Buckeye Pipe Limo
Company. operating the pipe lines for the National
Transit in the State OF Ohio. were shown 10 the
witness. From them. although they were only IN
tabloid form. 10 speak, Mr.. Chesebro was able
say that the Buckeye company cleared last
year the of s7.02s5Ss f. OF this amount $46lo-
61s Sc was loaned 10 the National Transit Com
pany. and there similar loans from 1879
the year in which the Standard of New Jersey was
incorporated 10 the National Transit
Then there is the Southern Pipe Line Company. \
contingent fund Of s223l 90l in 1929 attracted Nj
Kelloggs attention. IN that year the Southern Pipe
Lines property investment was valued at $2E5,-
So l5. Operating expenses for the year amounted
10 s2SS egs When the operating expenses were add
ed to the general expenses of SIS 329 and the total
subtracted from the gross earnings of S.SS66lS. a
net profit Of $4.o2oc95 was shown But here en-
tered q total in millions-S26O7.S5 90 the
act sum-the legend preceding it being p : Trai-
nor" He has an office IT No. &c Broadway, the
Headquarters Of rhe Standard Oil Company Mr.
Cheshire at a loss to explain the meaning Of
item. but admitted that without il The con
densed balance sheet showed that the Southern Pipe
Pine Line Company's profits in a year were more
than 200 per cent on its capitalization of 100000
The following year. 1900 the trial balance OF the
company showed loss Of s662,5l but there was
an item Of S45990o preceded 10y the name + >
Trainor
Turning TO the ownership Of the pipe line which
runs from New Jersey across the island Of Man
haitian 10 Brooklyn. Mr. Chesebro. though he has
been in the controllers office Of the National Tran
sit Cornpany for seventeen years. couldn't say VINO
owned or operated the line now Up to Novem-
her l. 1896 II was operated by the New York Tran
sit Company Then Congress began TO consider
the provisions Of the Hepburn bill The cost OF
rentals of this so-called crosstown" line dwlndled
gradually from S1.1a54. in 1890 To si3S1el. in lS09
When operated by the New York Transit Company
fhe Standard of New York owned it. Also until
November J. 1905 the New York Transit Company
operated the line. now controlled and operated by
the Standard of New Jersey. from CnionFiHe. n
Y to Bayonne. N j.
Mr. Kellogg Will ROW proceed TO examine p s
Trainor and he viii also try 10 find out whether
the ''crosstown' line is engaged in intrastate or
interstate commerce.
When Nj kellogg got through with Mr. Chesbro
he had Charles T White. one Of the many secre-
taries ensconced in the Standard oil building, on
the stand. Mr.. White who got his present title on
MAY J. 1900 had previously worked under Wade
Hampton since 1880. When Mr. White became
transfer
sey in 1S0e the books of that corporation were
already opened. Since then il has been his duty 10
look after transfers of shares of the New Jersey
corporation When he entered his present office, in
Room 140 at No IS Broadway. there was quite a
good sized safe in The office. but Mr.. White never
inquired as its contents. 4 month after
ward il was taken away. Mr White knew by
whom whittier.
II is in this safe, perhaps Mr. White admitted.
that the OF the liquidang trustees and the
transfers Of certificates for shares in Standard of
New Jersey kept. Mr.. White said he tried to
find out. after being sGbpEnaed where the records
Of the liquidating trustees, which Mr.. kellogg
woEld so much like 10 examine at the public hear
ing, He asked Wesley Il TifOrd. but Mr.
Tflford didn't know Mr.. White said he certainly
did not ask John d Rockefeller William Rocke-
felier. H II. Rogers John d. ArchboId as o
whether they any Of them knew about the stock
transfer records. However. he promised TO give
Mr.. Kellogg a list of Standard Of New Jersey stock
issued IN 1929 and 1sea. and whom issued.
well the dates of
To give Mr. Milburn opportunity 10 attend the
uEveing Of the Mckinley Memorial Monument in
Canton. Ohio Monday. the hearing was then
adjourned until Thursday. October 3.