The Washington herald., 1907-10-05
FIX OCEAN OIL RATES
Standard Is Charged with
ThrOttling Competitor.
FREIGHT CONTRACT IS SHOWN
Brother of Ida TarbeII, Historian of
Rockefeller Company, Tells of His
Struggle Trying to Meet Prices
Before He Was Forced 10 Wall.
Prosecutor kellogg Is Probing.

New York. Oct A-The Standard Oil
Company through subsidiaries in this
country and South Africa. has an active
freight contract with all steamship lines
plying between New York and South
African ports. by virtue OF which II can
ship Iubricating oils TO the South African
markets at rates SO much cheaper than
those allowed its one competing COMPANY
that the difference in freight rates alone
represents a fair profit
This fact was testified TO before Referee
Ferris to-day by Philip Harrison. man
ager Of the trade department Of the New
York Lubricating Oil Company. an inde-
pendent concern. and q copy Of the con-
tract entered into betweeen the standard
subsidiaries and the steamship lines was
put or record by Prosecutor Kellogg. The
contract was made on February 10, 1896
and Is to run until March 1, 1868.
BY il the Standard and its subsidiaries
can ship lubricating oil 10 Delagoa Bay
for $A20 a ton. OF forty cubic feet, as the
contract reads.
Protest Is Unheeded.
This rate is exclusive of landing charges
on the African coast, which run from 8
10 shiIlings a ton. The New York
Lubricating Oil Company al the present
time has TO pay the steamship lines q
shiIlings 9 pence a ton on all shipments
between New York and Delagao Bay, this
rate being exclusive of landing charges.
Expressing the Standard OH Company s
rates in terms of English money, the
freight costs 10 that corporation are a
little less than i shilliugs ton, the 2d-
ditiOn OF + shilIings landing charges bring
ing the Standards gross charges 10 4
shillings, at the most
Manager Harrison, Of the New York
Lubricaung OIL Company, read a letter Of
protest which he had written TO Barber
* Co. of New York, his companys ship
ping brokers. last June. protesting against
the discriminating freight rates.
Beyond an acknowledgement of the let
ter. Harrison said that he heard nothing
from the steamship agents, and no rem
edy Of existing conditions had been at
tempted
AS a result Of the alleged discrimiua-
ton against them his firms shipments to
South Africa had dropped from $500 tons
IN 1905. 10 Z1U3 tons Ia 1906, and the ship
mcnts in the present year had shown
the same proportion of decrease.
If this discrimination in freight rates
through the contract the Standard COM
panies have with all the carrying lines
continues. We viii be driven out Of busi-
ness" said Harrison.
Hear Miss TarbeII's Brother.
W. W TarbeII, brother Of Ida Tar
bell, the historian Of the Standard Oil
Company held the witness stand for q
time TO tell about the struggle his COM
pdny, the United States Pipe Line. with
which was allied for time the Inde-
pendent Pure Oil Company had with the
Standard before being forced to the wall
When the Independent Producers Pro
tective Association undertook 20 build
the United States Pipe Line through New
Jersey 60 New York Harbor said the
witness, the influence of Standard in the
State OF New Jersey made the obtaining
OF "a right Of way impossible.
When the line was finally run into
Philadelphia, he declared. and the re-
tinery of the Pure oil Company was es-
tabltshed 10 handle its flow. the Atlantic
Refining Company. of Philadelphia. a
Standard concern. ran the prices OF re-
fined oil down TO such a figure that at
the last the Pure OIL Company IVES sell
ing refined of at the same price that it
paid for the crude.
At the time competition was heaviest.
said AIr. TarbeI. the Pure OF Companv
was selling its product out of its tank
wagons at 4l-2 cents gallon The Pure
OIL Company lost $4,000 before il sue
Cumbed 10 the Standard.