The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1907-02-01
OIL TRUST STEALS
FACTS, RUINS RIVALS,
SAYS COMMISSION
ntsestate Commerce Body
Tells Congress Perpetual Mo-
moody is Created.
RAILROADS OUT OF II
and Officials. as Such. Are
Declared Not Interested in Oil
Lands-Remedies for tho
Conditions Suggested.

IllstOS pS IL QlIuSl lle PIE
resolution concerning the relations of
common carriers by rail to the pro-
duction and distribution of oil. The re-
port covers the distribution of petrol
cum and Its products east of the Mis-
Kansas II Texas fields. The report
points out generally the methods by
which the Standard Oil company has
built up and perpetuated its monopoly"
1t is asserted that 1.-The ruin of its
competitors has been a distinct part of
lhe policy of the Standard Oil company
In the past. Systematically and persis-
tently pursued
y instance the report says, rs
found where any railway company has
been interested in oil lands or in petrol
cum production. and only one instance
Is shown where officials of a railway
company We're interested in the pro-
duction and sale of oil. This relates to
certain officials of the Baltimore and
Ohio Southwestern railroad having
owned stock of the Argand Refining
Sompany. which was on their recon-
mendation afterwards sold to the
Standard Oil company INC the lubricat-
ing contract which the road transferred
TO the Galena Oil company. a Stand
ard company.
The Standard Oil largely
Hio'i'Epsh1Nh Inv litlIlQIiilS VI DtITOIel1l
from the mouth of the we'll until it is
sold to the retailer. and sometimes to
the and under ordinary cir
cumstances 1t margin of profit is Very
large. Estimates made in the report
show a profit on refined oil from he
sugar Creek refinery at Kansas CITY
II from . to S cents per gallon. A much
higher profit is indicated for gasoline.
The sale of refined oil from the large
standard refinery at Whiting is CORE
~Ipondinsly profitable.
Little Legitimate ADVANTAGE.
The evidence shows little basis for
the contention that the enormous diyi-
lends of the Standard Oil mpa are
the legitimate result of it's economies.
Except for its pipe lines, the standard
las but little legitimate advantage over
Ihe Independent retiner.
The Standard buys advertising space
IN many newspapers which it fills, not
with advertisements. but with reading
matter prepared by agents kept for
chat purpose and paid for at advertising
Gates, as ordinary news. The assu1np-
lion is that this literature furnishes
Vlany of the ideas touching the great
benefits conferred upon the public by
The Standard Oil company.
Possession of the pipe lines enables
.he Standard absolutely to control the
price of crude petroleum and the price
which It's competitors lin a given To-
calitv shall nay. III cam raisa the n,iea
In one locality and obtain it's own oil
rom another and reverse the process
when it desires to do so. Whoever COM
>rols the avenues of ransportation of
he raw material or of the refined nro.
duct can speedily drive his comDetitors
out of existence. and the p~roducti0n
and distribution of petroleum is no eX-
ception to the rule"
Enioved Seore+ R.+ee
y. ~ - =. ~ c.n,m1
~ up 4iC - 90 - .-.raf
Wy 49, r+tG,a1 - ~ =, -
~ ,, :. ~, - ~ d,sn ~, ~ lo1e
49, - ,,,1,at = inc ,,itb tboea aeT1
~ So : 20 -, - - ~ ~ 800 cd
=. : ,r ~ - re. y Wv ~ ~, ~ ~ : ~ s,tnt
- ,5a = - = as - ~, 4 - ,a y, 80 i,
~ ,.S}l,.aaG s 49, i-ebf-of-nga 49,
: = ~ - = ~ - ~ ~,
oainSt an 3te,1,9ts to avre5d ,,ina
ines Ordolartly. it is said. the stand.
prd has not received rebates in recent
Years. so far as has been discovered
out it has nevertheless enjoyed secret
ates. possessing all the clements OF
Nlegal rates, ard the advantages so OBJ
famed over Independent shippers have
Neen OF Very great value to that corn
pany. Numerous Instances Of d~iscriln.
Nation in favor of the Standard re
quilting from the published railway
Yates We're found, says the report.
In discussion the assertion confined
IN the report that the ruin of it's ON
petitors has been q distinct part of the
policy of the Standard Cd company
the commission says one method ha:
beer the organization of a perfect sys
tenn of espionage over the shipment.
/ of its competitors, resulting in knowl
edge as to the destination of every ca
! of oil leaving the refinery of an indie
pendent. The Standard agent at thu
destination, says the report. is held re
ercnsible if the Independent oil is sold
1T does not appear says the re
poTt, that the railroad companies have
alrectea she ,ulillslllatS oi eais lliloii,la
Won or .ia. lie piaGtlGe iis pteii Ill -
.iolieu ~ supsiioi o, W. vi 'sie ! unu
but IT does appeaf INA such l1lofln a
,lo, 10 ss.e,liaele.il op'aiheu hoi'
rallfoau ihpioses.
Killing by Price Reduction.
1t is asserted that it is the practic
Of the Standard. whenever a competito
erects a storage tank to which the OF