Standard Oil Company; Trusts, Industrial -- United States
An item of Associated Press news in December, 1892, says that the
Secretary of the Treasury has just decided that the oil combination
shall be paid by the Treasury a drawback of the duties it has paid on
imported steel hoops for barrels in which it exports oil. "It isn't
pleasant," said the New York _World_, editorially, February 23, 1891,
"to have a Secretary of the Treasury who holds intimate relations
with the oil trust." It is through the Secretary of the Treasury
that the company receives the mail subsidies of millions a year. All
the statistics and official publications with regard to the "decline
of American shipping" and "foreign competition with American oil,"
and about the tariff, as on oil, coal, steel, tin, etc., and many
other financial and commercial matters of pecuniary concern to them,
are under the charge of the Secretary of the Treasury. The Treasury
Department's Commissioner of Navigation, in 1892, sends circulars to
the boards of trade and chambers of commerce all over the country,
calling attention to the small amount of money paid by our government
to American steamers for the mails, and advocating the establishment of
a merchant marine and naval reserve on the principle adopted by Great
Britain--_i.e._, the payment of subsidies.
When Senator Hoar, speaking of the oil combination in the debate on
the Payne case,[580] asked, sharply: "Is it represented in the Cabinet
at this moment?" he referred to the Secretary of the Navy. Subsidy had
not then insinuated itself into the policy of the government; but when
that came, the uses of a Secretary of the Navy were clear enough. It
was by the influence of the Secretary of the Navy that the subsidies
for these steamships of the oil trust were got through Congress. It
is the Secretary of the Navy who passes upon the speed of the ships
receiving subsidies; and his findings are binding upon the Post-office
Department which awards the contracts and upon the Treasury Department
which pays. In the rush of the closing hours of the session of 1889-90
of the Fifty-first Congress, upon the urgent recommendation, made in
person to the Naval Committee, of the same Secretary of the Navy who
had pushed through the subsidy special legislation we have described,
$1,000,000 was appropriated for the purchase of nickel ore. It is an
emergency, said the senator who spoke for the Naval Committee to the
Senate. The nickel was to be bought by the Secretary of the Navy; when
and where was at his discretion. The ore was to be used for alloying
steel in the manufacture of armor plate. The same Congress took off the
duty of hundreds of dollars a ton on nickel imported. The only nickel
mine of importance in America was then at Sudbury, Canada. In pressing
the appropriation through Congress it was stated that the mine, like
the steamship company subsidized later, was owned by "our citizens."
After investigation in Cleveland, New York, Washington, and Canada, the
Public-domain text, read in full here on John Shaqi.
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