The free lance. (Fredericksburg, Va.) 1885-1926, 1908-11-21
STANDARD WAS
rebate VICTIM
John D. Tells Of Big Fight Win
Pennsylvania Railroad.
PURCHASED RIVAL COMPANY

oil King Testiiies to War with Kali
road over Determinations In Favor
of Competitor After Agreement
Was Reached the Standard Oil Com
pany Received a Rebate Of 10 Per
Cent of the Rate on the OIL Shipped
Rockefeller Will Be Sharply Cross
Examined.
New York, Nov. 20.-With the tell
ing of the story Of the first score OF
years Of the Industrial development Of
the Standard Oil company the test
mony Of John d. Rockefeller. presi
dent of the oil combine. on direct eX-
animation in the federal suit TO AIS
solve the Standard company, was
brought to an unexpected close. The
head of the Standard told OF the pro
cesses and causes of the company
growth up to the trust agreement OF
1882. and after identifying the parties
to that agreement counsel for the de-
tense announced that MIR. Rockefeller
had concluded his direct testimony.
Mr. Rockefeller will go under the
sharp fire of the cross-examination OF
Frank b. Kellogg. special assistant a.
torney general prosecuting the case
for the government The cross-eXami
nation by the government will be gen
orally confined to the period from lSC-
to 1892 except where the testimony
has direct bearing on developments
in the company's affairs in its later
period. Counsel for the Standard Les
It be known that the history OF tn
company from the trust agreement Of
1882 would be told on the witness
stand by John ID. Archbold, vice presi
dent of the company. who Is coryer-
SAINT with the combines development
Mr.. Rockefeller's testimony had t.
do principally with the acquisitions OF
other refining companies. together
with transportation concerns and pipe
line systems. which he declared were
necessitated by the natural growth
the Standards business He said that
when the Empire Transportation com
pant was organized "our interests pre-
sented the matter to the railroads and
protested to the Pennsylvania
I'VE stopped our shipments over 1t
and used other lines" he continued
I'VE objected to the railroad engaging
in the refining business. We diint
know where we stood. They were ship
ming their own oil over their own lines
and discriminating against rs Other
railroads agreed to stand by us hut
there was much bitterness between
the railroads. We made our shipments
over the Lake Shore, New York Cen.
trail and the Erie"
Mr.. Rockefeller said that when the
transaction was completed and the
PENNSYLVANIA railroad stopped refining
the railroad war stopped and an agree.
ment was entered into between the
roads whereby theiy obtained a per
centage of The oil carrying trade. The
Standard Oil interests were called on
to make these arrangements effective
The witness said that the war between
the railroads to obtain the oil trade had
been demoralizing to the oil bust
ness.
Mr.. Rockefeller's attention then was
called to an agreement between VII
liam Rockefeller and Thomas Scott.
president Of the Pennsylvania rail
road. which had been approved by all
the oil carrying railroads.
Sometimes in seeing that the eX-
&C. division of the traffic was being
carried out we shipped oil to our own
disadvantage when We could have
shipped it more proftably by other
lines" said Mr. Rockefeller. I've had
nothing to do with the division OF
traffic. which the railroads determined
upon"
Mr.. Rockefeller said that the com
pany guaranteed the Pennsylvania
railroad a certain number of barrels OF
oil a year. and in consideration the
railroad company guaranteed to pa
back 10 per cent Of the rate on the
oil shipped.