Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1917-04-25
STANDARD OIL ACCUSED
( OF MORE DOMINATION
FeoeraI Trade Commissions Report
TO Senate Lays Responsibility
on Company.
ASKS FURTHER INVESTIGATION
nigh Gasoline Prices OF Last Two
Acars Charged to Directing Inter-
ests-Bedford Says Court Decree
Has Been Scrupulously Obeyed.

WASHINGTON. April e4-pomina-
ZION or the gasoline industry by Stan
cara OIL interests. the Federal Trade
Commission reported to the senate to-
gay. has been largely responsible for
hiSh gasoline prices Of the last two
years
The report declares intcrlocking
htock ownership prevents any real
sompetition among the various STAN
oard OIL Companies. and the commits
sion recommends legislation to permit
feopcning OF the oil trust case to OBJ
tain notifications OF the Supreme
Courts dissolution decree.
No conclusive evidence was found. II
ih stated. that collision exists among
the Standard companies in violation OF
inc decree, but the comm ission's find
'ngs have been transmitted to the
'Attorney-Genera!.
Prices are declared to have been
raised arbitrarily. although natural
causes contributed. Pronounced price
inequalities were found in different
parts OF the country.
The principal findings Of the com
mission are:
That In most marketing territories
the Standard companies are dominant.
That the Standard companies have
maintained n distribution OF territory
In marketing gasoline. and that no sub
stantial competition in the chief petro.-
lsum products exists among the Stan
dard companies.
That the absence of competition is
! due 10 community OF stock ownership
That the facts disclose advances in
prices OF gasoline and differences in
price. corresponding to Standard mar
l. Sr,p
explained except under conditions
charged
That the combination Of pipe lines
with other branches Of the industry has
tended 10 establish and perpctuate
monopoly.
That there is no conclusive evidence
fot collision among the Standard com
pan!es in violation of the dissolution
decree.
The commission recommended these
measures as necessary to remedy con-
ditions:
law providing for the reopcning Of
f,ntitrust cases on the application OF the
Attorney General by bill of review
for the purpose OF obtaining such modi-
ffcations Of DEGREES as are required by
new conditions.
Legislation TO abolish in certain cases
tions formerly members Of conbina-
tions dissolved under the Sherman law.
Effective Limitation OF common
ownership OF stock In potentially COM
petitire corporations by Withdrawing
the power OF voting and control.
Legislation which. while recognizing
common ownership would fix upon such
common owners the responsibility for
tho acts of each of the several sub
sidiary companies which prevent COM
petition.
Segregation of ownership Of pipe
lines from the other branches Of the
petroleum industry
Congressional enactment to fix Stan
dards for gasoline.
Federal collection and publication Of
accurate statistics and information CON
corning the industry.
Conditions in the gasoline industry
as uncovered by the investigation are
declared to be:
Gasoline marketing is divided into
eleven territorial divisions. ut least
ninc OF which are said to he under
Standard OIL domination.
Stockholders of the Standard COM
panies TO a great degree arc the same
individuals or interests. with more
than half OF the stock OF the various
companies In their hands
Leading officers Of the Standard COM
panies hold considerable stock In two
or more companies.
Standard OIL reflneries produced more
than 60 per cent OF the gasoline output
In 1916. sold about s5 per cent of the
total marketed, and held more than
70 per cent OF gasoline stocks.
"Correspondence of the different
prices in 1915 with Standard marketing
territories" says the report, itself
points to arbitrary pricc-fXing. But
the arbitrary character OF the inequali
Ties in price is conclusively demon
strated by the facts that as between
most Of the territories there were no
such differences In demand and supply
- and the margin between cost and
price was widely different in the diff
ferent territories"
Wholesale gasoline prices rose be-
tween IS and SIS per cent in 1915. says
+Ae report. Retail prices kept close
Behind them. The part increased de-
mand and scarcity OF the product
played In the increase is shown In