The Ogden standard. [volume] (Ogden City, Utah) 1902-1910, 1909-04-05

cent of the lubricating oil. and that 1t
sells to most railroads at enormous
profits This is evidenced by the net
earnings Of the company which. In
1906. were about 112 per cent on the
capital stock actually paid in and about
los per cent on liberal valuation Of
the capital used.
1t Is also charged the prices to most
railroads are substantially double the
prices charged TO few favored lines,
notably the Pennsylvania. For ip-
stance. the brief says, the New York
Central railroad for ten years has paid
about 100 per cent per gallon moro
than the Pennsylvania. II ie Also stat
ed that wherever the Standard can
do so. 1t has made contracts whereby
1t has either marketed a part OF all of
the product of the independent refln-
cries OF has hmitei the output
Ono Of the evidences OF monopoly,
1t Is charged, Is the company's enor-
nous earnings. summarized as fol-
lows.
The Standard Oil trust and the
| Standard OIL company on an invest
ment OF S69.024 .4s0 had earned up to
the end of 1906. 1898, 1878. Adding
the estimated profits of 1907 and 1908,
we have substantially a billion dollars
earned by this company In twenty
seven years with an original Invest
ment OF about 100000
Further on the brief says;
/ ut has usually been claimed for
! large corporations In this country that
! they have increased business and de-
! creased the cost Of the consumer, but
] In the case Of the Standard It has dur
| Ing ten or f1fteon years actually In
creased the price to the retailer and
this Is q good deal more than the
prices OF other products. although the
price Of It's raw material and cost OF
manufacture and sale during these
years has increased very little. If any
1t is stated that from 1874. the
Standard obtained control Of practical
ly all Of the pipe lines then existing
and brought them together under the
| control of the National Transit com
pany. and ever since 1t has sought to
prevent or destroy pipe line competl-
ton. 1t first sought to control the
Tidewater Pipe company. then the
only pipe line to the seaboard. and
succeeded In getting an agreement Tor
division of the business. Through this
and other agreements the Standard II
is alleged. has at the present time con
troll Of about nlnety-fve per cent OF the
TRANSPORTATION OF crude oil to the AL
lantic seaboard, which gives II tre
mendous advantage. Recognizing ne
Importance to the Standard of railway
transportation, it's officials and their
associates. during the last ten years
Il Is said. have become directors IN
many Of the leading railroad systems
of the United States. For instance
the STANDARD interests have In the
Chicago. Milwaukee St Paul foui
directors: Union and Southern Pa
cific and Santa Fe, two each; ne"
York NAw Haven &C. Hartford. New
York Central and allied lines. Missouri
Pacific. Boston & Maine. Wisconsin
Central. Rutland railroad and others
one each.
The brief says that the government
does not wish to be understood as ds
couraging enterprises or as taking
nosition against legitimate competi
ton but II the Sherman act means
ANYTHING It means a monopoly acquir
al by such methods of competition az
| are pursued ny tuo oS<soN O.'
pany. Unless 1t Is enforced. the small
corporation OF Individual wishing te
engage In business Will have absolute
" no opportunity. Tho testimony IL
valuable as showing the intention o.
tho Standard OIL company to monopo
lie the commerce In oil, In many dis
tracts It has an absolute monopoly
We mean by absolute monopoly ina
in those districts 1t does all the busi
ness and has eliminated every com
petitor. Practically this Is the case
throughout the Rocky Mountain ceun
try and most of the Pacific coas
states. The percentage OF independ
ent business throughout the enur'
south is very small. Moreover, wher'
there is competition. the competitor
are usually strictly under the contro
Of the Standard. IN that they must, II
order to be allowed to do business. sci
oil at practically the price the Stand
ard dictates and conflne themselves U
a small percentage Of the trade"
The brief covers, with much detail
the history of the company from IL
organization to the present tme, am
| asserts that Its methods have been II
l gross violation Of law, and asks tn
court to annul the contracts undo
which the Standard OIL company opei
{ atos and dissolve the corporation.
!, /