The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1916-04-05
i, s, AGENCIES ON
GASOLINE INQUIRY
DEPARTMENT OF JUSTICE TO
SAY WHETHER PROSECUTIONS
ARE WARRANTED.

Washington, April 2-GoVernment
agencies investigating the spectacu-
lar rise in the price of gasoline have
virtually concluded preliminary
phases of their work and will report
to congress this week. In the mean
time the department of justice will
consider the evidence with view to
determining whether prosecutions
are warranted under the antitrust
law.
Every available field agent of the
federal trade commission has been
assigned to the gasoline inquiry un-
der the direction of Commissioner w.
J. Harris. Reports by the various
companies involved have been check
ed so far as possible. Crude oil pro-
ducers, manufacturing companies,
pipe lines, selling agencies, even tank
wagons, in every section of the coun-
try have been under surveillance.
The department of justice virtually
left the entire inquiry to the COM
mission. Complaints received by the
attorney general have been forward
ed for investigation to the commits
sion and have been added to hun
dreds of similar complaints received
by the commission itself. It is con-
sidered unlikely that the attorney
general will decide finally whether
the evidence warrants prosecutions
until the commission shall have con-
cluded its inquiry month or more
hence.
The first report to congress will
contain comparative figures showing
the amount of gasoline and crude oil
produced at present and two or three
years ago, the volume exported, rela-
tive costs of production, amounts
sold in each section of the country
then and now and comparative whole
sale and retail prices. No comment
will be made on the reasons for the
rise.
A second report, data for which is
not yet complete, will supplement
the first with an analysis of the situ-
alton and will set forth reasons to
which the commission attributes the
tremendous increase.
The investigation has been con-
Quoted with a view to determining
four salient points as follows:
1. The extent of production and
use of gasoline now and two and
three years ago.
2. The volume of gasoline exported
and the supply remaining here for
domestic use particularly as to whe-
ther the rise or any portion of it
could be attributed to scarcity of
product.
8. Whether there has been dis
elimination by big producers in favor
of big buyers.
4. Whether there is actual compe-
tition among the former elements
that went to make up the oil trust;
if there is, to what extent and how
the small independent producer is
affected thereby.
The department of justice has
been particularly interested in all
phases of the investigation which
would shed light on the possibility of
a connection between the rise and
the administrations proposal recent
ly to levy an emergency revenue tax
of 1 cent a gallon on gasoline. This
phase of the investigation is said to
be incomplete.
It is understood that the forthcom-
ing report to congress will not fully
support the recent announcement of
the department of the interior that
more gasoline was being produced
and en- hand than ever before. 1t is
understood that the report will state
that the present does not mark the
high tide of production and that while
there is q great quantity of gasoline
on hand the supply is not as large as
it was some time ago. This report,
it is said, will be based on later fig
ures than those used by the interior
department.
Representative Bailey, of Pennsyl-
vania, announced tonight that he
would introduce a bill tomorrow to
authorize the secretary of the interi-
or to sink oil wells on public lands
and market the product, giving pre-
ference to independent refiners to
prevent arbitrary increase in prices.