New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-03-01
WHISKEY TRUST ARRESTS.
The GOVERNMENT DEALS A HEAVY BLOW
AT TIE MONOPOLY
PRESIDENT GEEENHUT AND OTHER OFFICIALS
arrested AND HELD IN $4,000 BAIL EACH
FOR VIOLATION OF THE SHERMAN ANTI

today by the announcement Of the arrest of President
Grcenhut and the officials OF the Whskey Trust 1t
wa, learned that the Federal Grand Jury at Boston
February II indicted all the officers and directors
OF the CaitleFeeding and Distllng Company. better
known as the whskey Trust for violating the sherman
Ant, Trust law. To-day United states Marshal Hitch
cocks deputies engaged In serving warrants for
the arrest OF the indicted The following persons
were indicted John A. Greenhut OF Peoria. president
OF the Trust: Robert l.. Terrell. OF York, wee
president william y. Hobart Of Cincinnati treasurer
Warren H. Corning and Julius f.. French, Of Cleveland
Lewis II. Green. of Cincinnati Nelson Morris George
J. Gibson and Peter J. Hennessy. OF Chicago directors
IIennessy Is also secretary. lie arrested this
morning The other warrants issued in this district
were for Greenhut, Gibson and Morris. Morris Is in
California.
Word was received from Peoria ttat Mr.. Greenhnt
arrested this morning. and gave bail there In the
sum OF 80 900 for his appearance before the United
States Court in Boston next Monday. where, 1t Is
understood. the cases all TO be tried. Mr.. Hen
Messy appeared before United States Commissioner
IIayne this afternoon and released on SlO,oOo
bail. Mr. Gibson not at his place OF business
In his city when the officer went there with the
warrant, and was not therefore arrested III WIS
decided TO make the arrests ut this time As Mr.. Green
hut contemplated going on visit to Europe witmh
a dny two.
The Indictment is OF an ominous character. making
II, charges against the officers and directors In body
II IS returned rs OF date Of the second Tuesday III
Defender last The violations Of the law charged
as having been continuous since February, 1ooo Ihe
defendants II i alleged purchased, rented or leased the
properties OF competing dstilng companies 10 the
number OF seventy from August l, 1890. up to the
time of finding indictments they controlled the out
DIT OF these distcrles and sold G60OOOO0 gallons
at prices fixed By them. This they did un]u'tS'
nnlawfuly and oppressvcy, to monopolze the dis
tng and cattle feeding the aforesaid manufacture
and sale of high wines, alcohol, spirits gins ana
vhskcys.
.rbe Indictment then sets out agreements between
the Trust and Dexter r. NILS EriStus r. Gincld and
John Joyce whereby. I'm consideration OF tIer pur-
chase Of goods they were to receive rebates OF
cents q gallon. The prices charged. the Indictment
saw were largely in excess Of the usual prices al
which goods Of The kind were sold previous to the
Of the Trust lie defendants In doing
did II Is alleged unawfully ana opprcsslNey prevent
and counteract the effects of free competition on the
price OF said spirits and did mlawfuv exact and pro
cure great sums Of money In said district from the
said Mills and Glfcld coparncri, and from the sai
Joyce aII from and other persons contrary 10
law.
The warrant for the arrest Of the whIskey men was
sworn out by Judge {. VI. Horton, ot thc department
of Justice at Boston.
Gibson. II Is learned. went tn Peoria on saturday.
and a Telegram has been sent to the deputy there to
arrs,t him.
1hc defence of the trust officials will be that 1t IS
a regularly incorporated company on large scale
and doing business under charter from tho state OF
nnos, that company cannot combine to create
5Ins proceeding by the Boston Grand jury .n Is IN
H"ncrai miller 10 all United states District Adorneys'
said United states District Attomey Miichlist to day'
pkiug ~ the Indictment OF the Whiskey Trust officials
: some time ago United states District Attorneys
throughout the country wcre instructed by me DC
partment OF Justice 10 make close lnNesugauon OF
Violations the Anti Trust Law In their districts ana
vigorously TO prosecute al otcndcrS Ihe igt a una,
indictments found by the Boston Federal "ralu
Jury against the member, of the Whishey Trust most
u whom live in the West. simply shows thit there
found In Bo'ton some one VINO had me courage ~
attack the the risk o having his business dc
stroycd II he fnie. b. make good Ms cas- Incrr Is
talk some time ago Of the Grand Jury here lnVGsugii
Ing tho Whiskcy Trust mrthois began an lnVe>t,
CATION. but complete war the terrorism tti6ll,hea & @
over ilquordclcr, hy the Trust that | coud ma no
one who would make formal complaint The onN
evidence bad which , could be- considered
complains by man In Georgia had any number
Of Informal complaints: ,
The Trust obtained It's power over consumers Of
and dca.r> n spirits by of the rebate system,
continued Mr.. Nilchrst. " \ reduction ot ; cents
gallon allowed To purchaser Of spirits from the
Trust payable six months after the date Of the rur
chase, provided that In tho meantime th" customer
had bought all his supplies from the Trust and had
sold hi, goods and products at the prices fixed by
the Trust. Violation of either Of these obligations
dis the Trust refused to sell siirit TO any dealer
who had rcbelled against IL rules either by buy
ing good. elsewhere bv selling below the fixed
rate. 1t the competcst trade tyranny ever
known
Cincinnati. Feb 90 Treasurer William NJ. Hobart
and Director l.. H. Greene OF the Cattle Feeding aud
Distillng Company nominally arrested here
to-day by being requested to appear before Commits
soner Hooper The warrant requires their appear
at Boston forthwith. They were using the tele
graph to-day with u view OF going In "A body II that
Is necessary. Mr.. Hobart says that dealers In
Boston WHO handled some Of the rebate have also
been indicted.
(1eyel Eeb - nrplp
Julius French the two directors Of the Whskey Trtls
living In Cleveland, arrived home today from the
East They were met AT the train by United states
bcputy Marshal who informed them that he Lad
warrants for their arrest. They went at once Lefore
Judge Rclts, OF the United state, Court. and
endered themselves, giving bail each In the sum
Of $4,000 for their appearance in Boston whenever
,hey shall be wanted.
Boston, Feb. 29.-BO.tOn newspaper men nave been
ngiistrd to-day over the discovery OF the tact that
indictments lad been found here against onSlais Oh
the Whiskey Trust. When United states D.otrlft-
Attorney Allen asked his afternoon II Indictments
had been found against the Officials Oh me ne W,,hey
Trpst lie declined Ia anything about Tue maurr,
although he told that o. -mich from chicago has
Attorney Allen went TO Judge Nelson and procured
from him order 10 the clerk oi the court not 10 put
upon any records the fart oi tne ilnuhg Oh A any
indictment which was returned on fsnt dIy against
Mr. trccnhut Herbert J.. IcrIril. or New iofh, wee
president William VI. IIobur, Of Cincinnati. treasurer;
Warren H. Corning aud Julius +. Branch; Ct Cleveland;
g.. Louis trceD, Of tliclhnaH Nei'on 'TorS'
j. Gibson Peter J. Honnessy, OF Chicago. dectoS
Oni,er, 81 the Trust II was stated that the great
secrecy observed by the in order that
Of the official. who are indicted would be enabled
to escape arrest, the fears of the Government being
excited by the fact that they had learned that Prcsi
dent Grccnhu had engaged passage for Europe on next
saturdays steamer. II Is understood that Mr.. Prince.
the counsel FOR the trust was much surprised ANY
one 10 learn that indictments had been found. The
indictments were not served by an Ofcer sent from
this district, but sent 10 be served upon the de-
fendant, in the places where they live.
Late this afternoon District Attorney Allen received
n telegram from Chicago which announced the fact
that Measrs recnhu and Icnnessy had been arrested
and given $4,000 bail To appear before the next term
OF the United states District Court IN Boston. and that
Mr.. Morris In California Mr.. Alien thereupon
said that he had received word Of the arrest OF the
officials, no Lad objection o saying that the indct
ments had been found charging the officers OF the
trust with violation of the sherman Anti Trust
law. Mr.. Allen added that never he believed
in the history of The courts had there been
"a case presented where much pressure
| brcu the District tOrue %