The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1920-07-18
FORCED TO SELL
OIL AT A LOSS
Navy Officials Threaten
Confiscation as an
Alternative.
BLAME IS ON DANIELS
Not Only Rank Injustice but
Sets Dangerous and Revo-
lutionary Precedent.

The western oil industry has been
exploited by politicians for political
purposes for years. writes Richarr
II. Edmonds IN the Manufacturers
Record. He says the present gasoline
shortage can be laid largely 10 the
door OF political experimenters who
have prevented all normal growth In
water power and oil development un-.
Ter the camouflage plea OF "conser-
vation."
After the lealers OF this stagnation
and do-nothing policy have brought
the nation face to face with a power
and fuel shortage such as we have
never seen. they seek to divert at
tention from the havoc they have
wrought by carrying on series OF
perse cutions and prosecutions Of
influence the public mind against
them. In spite of this policy the fell
eral trade commission gave the oil
industry n clean bill after its recent
investigation into prices of gasoline,
oils, etc.
One of the most unjust attacks on
the oil Industry has been carried on
by the navy department Some
months ago 1t notified Pacific coast
oil companies that they must furnish
the navy oil at Sc cents n barrel.
when the market price was s1.60 a
barrel and when the refineries were
paying s1.4s barrel for the crude
oil of fuel value only at the well
This action was SO unfair that the
price offered was raised to si.11 a
barrel. At this tentative price the
companies have been forced to sell
oil. virtually at the point OF n gun
and on threat OF confiscation OF
plants IL oil was not delivered I'm
der these conditions oil has been de-
livercd 'under protest"
The seriousness ofn the situatio
has now been brought to light and
revelations of seizures OF quantities
Of fuel oil by naval authorities fol-
, lowed recent publication. of state
inent by Attorney oscar Lawler of
Los Angeles who, has obtained for
the General Petroleum company a
restraining order against Command
or John Mel Of Los Angeles. The
order was issued in the United
States district court by Judge Is. T..
Bledsoe. A permanent injunction has
since been denied.
'The navy at this port repeatedly
made similar seizures from the
Shell, Standard and Associated Oil
companies" said A. l.. We'll OF San
Francisco. general counsel for the
General Petroleum. ut has been
paying its own price and getting
away with the proposition.
The war is over" We'll declares.
"and we want II dcfinitclS establish
c dwhether the naval authorities can
seize property and fin prices. We
procured an injunction to establish
a principal net 10 save few dol
lars"
There is a great scarcity Of fuel
oil on the Pacific coast and, with
present lack OF rain there is bound
to be n great demand for oil because
% threatened inability OF water
power concerns to deliver power"
Officials OF the Shell, Standard
and associated companies verify
Wells and LAWYERS statement that
the navy has threatened seizure of
plants II oil was not sold them at
their set price.
we have been making delivery
hight along TO tho navy at San Fran
CISCO said an Associated official.
hut under duress. In each case we
have required signed statement
10 this effect. The oil we deliver at
VII per barrel costs us sl4S at
tho bakersfield oil fields. Then we