The Meridian times. (Meridian, Idaho) 1909-1938, 1921-12-09
REPORT NAMES
OIL MARkETERS
FEDERAL TRADE COMMISSIONER
STATES DEALERS HAVE FORM
ED PRICE COMBINE
Prompt Notice Given Forthcoming
Advance and Listing Of Re
tallers Contained In
Accusations

Observation-Disclosures of the hide
pendent Petroleum Marketers' associa-
ton were charged by the federal trade
commission Friday with having agreed
among themselves to maintain the
prices and selling practices established
in the state of California by the Stand
ard OIL Company of California
The charges Of the commission we're
contained In the second section of Its
report to the senate on price and COM
petitive conditions In the California oil
industry.
The commission declared that Los
Angeles officials OF the Standard Oh
company were notified promptly" by
a member of the marketers' association
of understandings and agreements rel
alive to price maintenance within that
association, thereby placing the Stand
ard in better position to know when
a new price advance would be follow
ed.
The commission also asserted that
records since 1915 disclose That the
Standards prices, in California nave
been followed generally by all MEM
bers Of the Marketers' association. 1t
Is declared that the association had
prepared a list OF peddlers and other
retailers who refused to sell at the
agreed prices, and held the distributors
responsible, for that class of trade
would not receive supplies until the re-
tailers maintained the list prices.
"Since the fall OF 1915" the commits
sion continued, certain sales mana
gers and local representatives of large
marketing companies, particularly OF
the Standard Oil company and the
Union Oil company, frequently con-
ferred, and usually arrived at an un-
Outstanding as to the dffferentials in
the prices to be charged individual
customers and to various classes Of
purchasers. Presidents of the Stan
dard and of the Associated OIL COM
pany deny that these practices We're
either consented to or known Of by the
higher officials of their respective COM
panies.
The commissions report further said
that the Standard Oil interest were
in a dominant position" in the Cali
fornia industry but quoted letter
from R. K. Kingsbury, president of the
California Standard, in which he de-
MED as was reported to the commits
sion that his company was adding to
its holdings by gaining control of the
Pacific Oil company.
About 20 per cent of the stock Of that
company was bought by the Standard,
Mr.. Kingsbury wrote, in order to pro-
tect its oil supply against invading
foreign interests, said by the commits
sion to be the Royal Dutch Shell group.
Denial was made by officials Of the
Dutch-SheH interests, however, that
they had bought, or we're seeking to
| buy, Pacific Oil stock.
The commission set forth, among
the agreements which it claimed to
have found, one covering bids Of oil re-
| quirements of the city of Los Angeles
in December, 1915 Memorandum OF
| certain meetings of representatives OF
four companles-the Standard the Un-
ion, the Western anu the California
Oil and Asphalt-showed, the commits
| sion said, hiatt they were to bid on the
requirements, and that ut was agreed
all should bid L cent off, open tank
wagon market price, at the time and
place of delivery. .. ..
Later records showed, the commits.
sion added, that three Of the compan,
les submitted bids at the agreed price
in December, and another in January