New-York tribune., 1908-03-12
CLEVELAND OIL HEARING
Testimony as to Standard Methods
an NesU York State.

Cleveland March u.-Methods OF meeuns cohl-
petition and gaining the oil trade of locality were
testified TO by Charles T. Farrell of Cohoes N T.
and John ]. Shea, Of Syracuse, Ind. before Frank
lin Ferris. special examiner, here to-day The
testimony was brought out by ex-Dstrct Attorney
C. B. Morrison of Chicago. who is conducting the
present hearing for the government IN It's oustei
proceedings against the Standard OIL Company
The suit was begun in the United states circuit
Court at St Louis on November Is. 1906. The lead
ing spirits of the Standard Oil Company and ABOUT
seventy subsidiary companies are defendants. iie
evidence, which has been heard in New 1orK' Al
lary and Washington, is being taken py MI feIIls'
and the final decree may be based upon his recon-
1nerdat.ons The Cleveland hearing, which began
to-day ard which will probably be the last relates
principally to general points in the whole proSecu-
tion
Farrell was tho first witness He said he worked
for the Standard Oil Company Tor seVerai years up
to thirteen months age He said he was taken iio
his regular duties at Binghamton, N ~ ana SEN
to Oneonta, y. Y, to operate tank "asoh' sel-s ~
10 the consumers direct. There, he sa'd' ne eil'e
irfto competition with the Tiona Oil conpaIIS' '
independent concern First. he said he oousht i44s
oil of the Tyonda company. paying the fesuiai
wholesale price, S cents gallon, ana so1u II ~ "
citizens at the same rate.
Then there were profits for you! MI -Noi
rison asked. -.-r,,
Mason. the Standard on agent at Blnghaiii'0N'
Mr.. Farrell answered.
What the result
The merchants began cutting prices ana nshlii-s
among themselves for the trade. My wagon @ po.e
the sign Of the Tiona Company The merchai'' %
became angry at that company for allowing hie ~
DO that and they stopped selling me OIL
Then what did you do? r -.
Mr. Mason sent me oil and l continued 10 SCH g.
the same price
Then what?' - ,r
The competition became so keen that some ne1
chants gave oil away.
Did you finally gain trade?
.yee b,,t the wagon was stopped and was caAeo
in to Binghamton.
The evidence did not tell of the final result
Mr. Farrell was Cross-quesloned cioseiy uP0ii
letters of instructions he said he had received from
Mason some of the letters were unsigned Inc
writer requested that match be put TO them as
soon as they read.
John J. Shea said he operated a wagon business
in Syracuse selling TO the consumers, ana pouehI
his oil from the Standard Oil Company until ne
could purchase at lower inquire from an HUE
pendent dealer
Then rival retail wagons appeared in Syracuse,
under the name Of the Home Safety Oil Company,
he said.
How long did this continue?" Attorney Morrison
asked.
Until a Standard Oil agent contracted to sell
ne oil for 3 cents under the wholesale price, pro-
vidIng I bought all my oil from the Standard
Oil Company They also agreed TO have the rival
wagons withdrawn. l entered into the contract ana
the wagons left The contract year. During
the wear they allowed me only . under the
wholesale price and I would enter into another
contract. They said they would allow me 3 cents
l said l wanted to buy where il the cheapest.
They said they wanted the whole hog. l replied
that 1 would fight and be content with the tail If
necessary. The fight began. New rival tank
wagons appeared and stfll there
AT this point the examination was continued until
tomorrow morning