St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1888-03-09

tiOnS that the various firms interested IN
the deed were first required to become
corporations, if they were not already
such. before signing the paper, and
gave detailed information abOnt each
participant. He stated that the firms
turned over to the trustees the stock OF
each firm respectively, and in lieu there
for the trustees gave each firm certain
amount of stock of the combined firm or
company. The witness said he was
member of the board of eleven trustees
After much OF the ground covered by
the New York investigation had been
traVersed, the committee
WENT INTO SECRET SESSION
to determine whether Mr.. Parsons
should be required to state what COM
panies had mortgages on their property
at the time they became members of
the trust. When the doors were re-
opened Chairman Bacon announced.
that the committee had decided to press
the question. Witness then said that
there were liens on the property of the
OXnard company, Muller Sierck & Co.,
and Mathieson, Weichers'& Co., but in
the cases of the two firms last men
toned, the liens were comparatively
small. Representative Smith remarked
that the trust was not Incorporated, that
thing without name.
WltnuSS-lt is a name without a
thing [laughter]; more convenient
designation.
QUESTIONABLE there any accounts by
which you can tell whether there are
profits or not? A.-No, sir; this board
does not make any profits. When the
refining companies have made profits
they will turn over the dividends to the
board, and instead of the profits being
distributed piecemeal to each certificate
holder they will be aggregated. When
the period arrives at (which its desired
to declare a dividend, if one company
reports profit and another loss, the
whole will be equaliZed and the net
profits distributed to the stockholders
of the whole concern. Each company,
witness said, employed its own officers,
fixed their salaries and paid all other
expenses. Over that subject the trus-
tees exercised no control. If not salts
fed with the management of any COM
pany they could at the end of the year
Oust officers, because the board was the
stockholders.
@. Does the board assume to limit the
production of any corporation? A. Not
to my knowledge. They haven't at
tempted it by any action of the board,
but you must remember that the mem
bers of the board represent a vast inter-
est in the properties of all the COM
panies. They meet each other con-
stantly, and l have no doubt that each
has tOlerable idea of the views of the
others, and l take it for granted that
they rather adapt themselves to the in
terests of the stockholders than go
against them. The practical result of
the aggregation of capital, as in this
trust, was to steady the business and
prevent an irregular market. The time
during which the Louisiana crop was
being put out had always been period
Of dread to 1efnerS. It was necessary
at such times for Eastern and Northern
refiners either to shut down or lessen
production about SO per cent because
they were unable to compete with the
Louisiana men at that time. Under the
present arrangement this matter could
be regulated. The present tariff really
Disseminated against. the American
sugar industry, as the rate of duty on
raw sugar was higher than ON refined
sugar, thus extending a premium to
foreign refiners. After Chairman Ba-
con had informed the witness that the
committee had decided to insist that he
should produce a statement giving the
amount in certificates awarded to each
of the corporations to the agreement
the investigation adjourned until to-
IN OrrOW.