The History of the Standard Oil CompanyTarbell, Ida M. (Ida Minerva)
History
The History of the Standard Oil Company
Tarbell, Ida M. (Ida Minerva)
Petroleum industry and trade -- United States -- History; Standard Oil Company -- History
Really a wonderful contrivance for the good of the oil
business.
That such was Mr. Rockefeller’s argument is proved by abundant testimony
from different individuals who succumbed to the pressure. Mr.
Rockefeller’s own brother, Frank Rockefeller, gave most definite
evidence on this point in 1876 when he and others were trying to
interest Congress in a law regulating interstate commerce.
“We had in Cleveland at one time about thirty establishments, but the
South Improvement Company was formed, and the Cleveland companies were
told that if they didn’t sell their property to them it would be
valueless, that there was a combination of railroad and oil men, that
they would buy all they could, and that all they didn’t buy would be
totally valueless, because they would be unable to compete with the
South Improvement Company, and the result was that out of thirty there
were only four or five that didn’t sell.”
“From whom was that information received?” asked the examiner.
“From the officers of the Standard Oil Company. They made no bones about
it at all. They said: ‘If you don’t sell your property to us it will be
valueless, because we have got advantages with the railroads.’”
“Have you heard those gentlemen say what you have stated?” Frank
Rockefeller was asked.
“I have heard Rockefeller and Flagler say so,” he answered.
W. H. Doane, whose evidence on the first rebates granted to the
Cleveland trade we have already quoted, told the Congressional committee
which a few months after Mr. Rockefeller’s great coup tried to find out
what had happened in Cleveland: “The refineries are all bought up by the
Standard Oil works; they were forced to sell; the railroads had put up
the rates and it scared them. Men came to me and told me they could not
continue their business; they became frightened and disposed of their
property.” Mr. Doane’s own business, that of a crude oil shipper, was
entirely ruined, all of his customers but one having sold.
To this same committee Mr. Alexander, of Alexander, Scofield and
Company, gave his reason for selling:
Public-domain text, read in full here on John Shaqi.
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