The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1908-11-21

He did not recall whether the other rail-
roads paid the New York Central GER
tain percentage for warehousing the oil
| they carried.
Replying to other questions. Mr.. Rookie
/ Teller said he could not recall whether
| the Standard Oil company controlled the
! National Storage company, which was the
| terminal of the Pennsylvania railroad at
| CommunipaW, or whether he used these
oil terminals from 1915 TO 1881. He could
not state how long the Standard controlled
4 the terminals of the Erie and New York
Central roads He said he was in the
| east and that was detail
Did not the Standard make the termi-
nal rate which was charged TO the inde-
pendents?
They were charged fair warehouse
rates as provided in the agreement.
Made All the Rates.
But you controlled all the terminals
and made all the rates?'
I'VE would not have been so unwise as
to charge more than a fair rate"
The witness said that he had no doubt
| that the independent companies had 9TH
er terminals in New York than those con-
/ trolled by the Standard Oil company
But you assessed the warehouse and
| freight charges against all the indepen-
dents using your terminals?
! Probably we did.
Mr.. kellogg asked whether the Stand
ard did not buy twenty independent re-
| fineries prior to 1874 and dismantle many
/ of them
II should think hardly as many as that
| We used the best of the refineries and dis
mantled the others said Mr.. Rookie
! Teller.
He said that the Standard had little 20
say about the South Improvement COM
pany, but participated in the meeting
when il was organized. He did not think
] it was organized before ne mad pur-
| chased any refineries in Cleveland, and
| he said he did not think that all of the
stock In that company was acquired by
men who were later associated with MIN.
/ Mr. Kellogg then read the list OF Stock
| holders of the South Improvement COM
pany and asked Mr.. Rockefeller ABOUT
/ the agitation which followed the organi-
4 cation of this company
u can hardly explain the reason for the
excitement of those gentlemen, replied
was it not the enormous rebates that
the railroads were to pay
Fear of the Shippers.
'Tt was probably due to misrepresen-
tation on the part OF the independent
shippers"
to the agreement with the South I'M
provement company and the rates pro-
vided therein for rebates on oil
rs it not a fact that all other parties,
according to this agreement, were to be
charged the full gross rate?"B
Probably So
was ii not that feature that created
the excitement among the Independents!
'It might have been one Of the causes.
but / could hardly recollect after forty
years, all the causes.
You say the Standard did not agree
with the propositions of the South I'M
provement company; is it not a fact that
the Standard Oil company signed mani
festo supporting the South Improvement
company
Pittsburg Company Signed Manifesto
ct may have been l rather think it
must have been the Standard OH com
pany of Pittsburg l have no recoilec-
| ton of the Standard OH company OF
Cleveland signing it.
Were you a stakeholder of the South
Improvement company?
Il never received the certificate. as far
as | can recollect-
.Do You remember that in March. 1872.
there was a Standard Oil company OF
Pittsburgh"
II think SO. 1 think that it was living
concern
would it be natural that company
like yours would join in the inanifesto?"
well. it is likely that Mr.: Warden,
who had many interests nj the region,
would have issued the circular.
What understanding did you have of
| the agreement?
! Il should say that the agreement would
have been to help the business Of the
| producer refiner and transporter.
THAT is all who came in would profit,
but how about those who did not come
IMP
How did you know the doors were
..That was the theory of the gentlemen
who organized. All the refiners were
expected to come into II.
what communication was made to the
Independents that they could come into
this agreement?
Il could not say"
was not the contract kept secret for
some timer?
ut may have been
Mr.. Rockefeller said the plan was quick
ly abandoned He said he did not know
whether the independent refiners in
Cleveland were asked to come in
Didn't Like the Plan.
did you inform the Independents whom
you bought out that they might have
the benefit of this agreement"
~ don't recall AS a matter of fact, l
did not believe in this thing"
How did the independent refiners whom
you bought out know that they might
have had the benefit of this agreement!
II could not say
about the time of the South Improve
nent company were freight rates IN
creased? p"
THAT 1 could not say
you spoke yesterday of pool agree
ment including several railroads for di-
viding up traffic and freight rates in
1874 Mr. Milburn read to you a clause
providing lot a Ur3"pdC " Iiis sotdiodiu
Oil company of the full rate they paid
for all crude oil sent TO Cleveland for
expert refining purposes. SO the rates
from Cleveland TO seaboard were the same
as from oil points in Pennsylvania to the
seaboard?'
Yes
And the roads carrying crude oil to
seaboard were required to pay a draw
back OF z cents a barrel to the shipper
if the rates on the agreed pipeage to the
shipping points on the road be main
tained?'
YES"
What pipe line maintained the agreed
rates OF pipeage?
Il suppose those pipe lines that were
included in the agreement"