The sun., 1919-07-30
SAYS BRITISH SEEK
TO CORNER ALL OIL.
Phelan Charges British Seek
to Get Vast Interests
in the West
PRICE INQUIRY ORDERED
Trade Commission Directed to
Inquire Into Recent Fuel
Oil Increase.
PRICE INQUIRY ORDERED

WASHINGTON, July 2s.--After brief do
bate the Senate. without. a record vote.
to-day adopted resolution by Senator
Poindexter (washington) authorizing
the Federal Trade Commission to inves-
tigate recent Increases in the market
price of fuel oil In the United States, and
especially on the Pacific coast.
Action by the Senate was taken after
Senator Phelan (CaL) had charged that
British interests were attempting to ac-
quire vast oil interests In California, and
that Great Britain was endeavoring TO
corner the world oil industry. He de-
clared that unless steps were taken
to encourage American oil operations
abroad the worlds supply would be In
the hands of British Nationals within q
few years.
Under the resolution the commission
Is authorized to investigate the source
and supply of oil in this country, and
also ascertain what corporate interests
have conducted the production, refining
and marketing OF oil In the last few
years, and whether there have been any
indications of illegal restraint of trade
and unfair competition.
Senator Phelan said that while the
United States produced between IS and
40 per cent. Of the worlds oil supply, It
was "eating up its substance"
THE attractive oil producing regions
of the world have been closed 20 entry
of America" he continued. "All Of
these, with the exception OF Mexico and
parts of Central and South America, lie
within British and French possessions or
spheres of influence"
Senator Phelan said that Great Brit
ain had created permanent Govern
mental petroleum de. sartment to grant
permits in the British Empire and to
assist British oil producing companies
in securing concessions In other coun-
tries" and declared that throughout the
British Empire "she bars foreigners or
foreign nationals from owning or oper-
ating oil producing properties"s He as
serted that companies and corporations
were being organized In California which
were in fact British companies ito ac-
ouire large areas in the Caolinga and
other districts, adding that the Shell
company of California, British con-
Germ, had a production in 1917 about
double that for 1915.
This suggests to u.s." Senator Phelan
said, "the duty of.exercising some con-
troll over oil production as a Government
tai function, the encouragement OF our
NATIONALS III lnt liciuo vi SAPiOaaehNh -
home and abroad and retaliation 10y
promptly debarring foreigners from ac-
quiring oil properties In the Uniteu
States"
Senator Walsh (Montana) urged
prompt legislation to develop oil lands
and Senator Smoot (Utah), chairman OF
the Public Lands Committee, said the
committee had been waiting for reports
asked from Secretary Lane. Secretary
Daniels and Attorney General Palmer.
IL not received he said the committee
would start tomorrow on the legislation
REGARDLESS OF their absence.
Senator Smoot said he had reports
that Secretary Daniels would oppose all
oil land leasing bills now before Con-
gress. Senator Walsh said he could not
believe the Secretary would stand alone
among ali public men" in opposing oil
land development.
Senator Henderson (Nevada) intro
duced a bill authorizing the Secretary
OF the Interior to Investigate the prac-
ticability of using oil shale as a COM
merciai product 1t was referred to the
Mines Committee.