Los Angeles herald., 1907-10-11
$40, 600, 900
OVERLOOKED
VAST FORTUNE LOST IN BOOKS
OF STANDARD
FORMER OIL PURCHASER ON THE
STAND
p. 8. Trainer Has No Recollection Of
Receiving Money for Which He
Is Credited with Having
Given Vouchers

BY Associated Press.
| NEW YORK. Oct. lO.-Loans aggregate
ing $2O.oOoOOo, which the books Of the
Southern Pipe Line company show were
made to p. 8. Trainer between 1899 and
lgO5, became more puzzling OF solution
to Frank B. Kellogg, who is conducting
the federal suit against the Standard OIL
company. today, when Mr.. Trainer, taking
| the witness stand, testified that the
money had never been paid to him and
that he had never heard OF the account.
The Southern's books showed that un-
| signed vouchers were received for these
loans and that the money was never
handed back to the company.
| Mr.. Trainer said he was formerly crude
| oil purchasing agent for the Standard
| of New York and as such he purchased
all the oil and sold it to the rehneries.
He said he acted In similar capacity
now for the Standard Oil company Of
New Jersey.
Mr.. Kellogg called Mr.. Trainers atten-
tion to the various loars amounting to
more than $290O0,OOO which were made
| by the Southern Pipe Line company and
charged to ''P. s. Trainer" and asked
him to tell all he knew concerning the
loans.
II do not know anything about these
loans," answered Mr.. Trainer. II had an
oil account with the Southern company.
but no money account. I never gave them
any vouchers and never heard anything
about the loans"
| Mr.. Trainer said that he fixed the price
paid for crude oil after consulting with
John d. Archbold. vice president Of the
Standard. These consultations were held
daily, Mr.. Trainer said and after they
were over he made public the market
price of crude oil.
| H. M. Tilford. treasurer Of the Standard
| n - ~
| of the Continental Oil company, when
asked to produce the reports OF the Con-
tinental OIL company, testified that when
ever a new report was received he in
variably destroyed the old one. The re-
ports of the Continental company contain
information regarding business done by
competing oil companies.
To Consult Bonaparte
| Mr.. Kellogg will have conference
with Attorney General Bonaparte at
Washington tomorrow to discuss the
progress of the governments case against
| the Standard.
| The resumption today Of the federal
suit against the Standard found George
Chesebro, auditor for the Standards sub
sidiary pipe lines, again on the witness
| stand He identified balance sheets and
| transcripts from records of the pipe line
companies, showing cross earnings, cost
of plants ard other accounts
i Frank B. Kellogg, the governments
counsel said that he might call William
G. Rockefeller. treasurer of the Standard
| Oil company of New York. to give in
formation concerning the loans Of over
$32, 900 900 made last year and described
by the company as loaned to interests
other than Standard Oil.
! When Trainer was called he said the
Southern Pipe Line company purchased
| oil of the Eureka Pipe Line company in
the southwestern field and pumped 1t to
Philadelphia. selling it to the Atlantic
Refining company. In this interchange
of accounts he said some transactions
might have been charged to him, but he
had never heard of them. Mr.. Trainer
said that he fixed the price of crude oil
| in the east by notifying the Joseph Seep
agency in Oil City. Pa, what he was
prepared to bid for crude oil. He said
he purchased the credit balances of the
oil producers at tanks and then sold
| the oil to the refineries.
| He added 20 cents to the market price
at the wells as a carrying charge and a
small additional charge for carrying. He
sometimes paid out as much as s5o,o0o.0o0
| a year.