The times. [volume] (Richmond, Va.) 1890-1903, 1895-05-23
THE JOURNAL OF COMMERCE WILL
NOT own UP.

The reluctance or men TO confess TO
error is very striking The Journal of
Commerce of New York city is one Of the
FIRST commercial newspapers I'm the world,
and it is I'm the main very candid and
very fair. But # has the prevalent re-
luctance to admit that it has made a
mistake
Some weeks back # had n review Of
the published condition Of the American
Tobacco Company, which was both un-
fair and erroneous Major +. R. Scott. of
this city. who is considerable stock
holder in that company addressed So n
letter. pointing out the errors into which
it had fallen. which the Journal Of Com
MERGE published. but with comments. I'm
which it charged. amongst other things.
that The company was "a trust, condemned
hy the spirit and intention of our laws
Major Scott replied TO that, and the Jour
nal publishes his letter and replies with
an elaborate attempt to prove that the
Tobacco Company is a trust. 1t makes
out fits case thus.
"Thc American Tobacco Company IS
formed out OF the combination between
q company incorporated under the laws
of the state of Virginia. "a company in-
corpCratcd under the laws of the site OF
North Carolina. a company incorporated
under he laws of the State of New York
and two private firms engaged iu bust
ness in the state of New York Before
tne combination was perfected the two
latter had themselves made into corpO-
rauons Also The company itself is iuCor-
poratcd under the laws OF the State of
New Jersey where. as a matter of FORM
IL has am office. but where it has neither
factories. depots. nor any place for the
transaction of other than the purely for
mai business of the corporation The
capital stool, of the company was fixed
az S-'OWW' eighty per cent of which
Was divided in certain stipulated proper
ions among the parties 20 the original
agreement. OF the remaining twenty
per cent part was used in the purchase
OF the real estate and live assets of the
five companies. and the remainder was
divided among them in the same proper
ton lu which the eighty per cent. had
been divided. From The first the manage
ment of the affairs of the company has
been in The hands Of the original incor-
poaions. and, excepting a legal process
now pending, the only serious menace 10
the Integrity of the company has come
from the disposition TO scccdc manifested
10y one of its original components. 10 has
steadily pursued The policy of buying
mp competitors. however petty in charac-
ter or worthless I'm equipment. At present
there is but one competitor of any re-
cognizable strength in The field against
it,"
The Journal then quotes the following
from the opinion of the New York Court
of Appeals. i'm the case Of New York vs..
Sugar Rehneries case in which the New
York courts dissolved the trust agree
mcnt between the sugar rehneres, to-
Wit:
"If corporations can combine and mass
thelr fortunes i'm a solid trust or part
nership. with little added risk TO the cap
ltal already embarked. without limit 10
the magnitude OF the aggregation. a
tempting and easy road is opened 20 enor-
nous con binatons. vastly exceeding in
numbers and strength. and I'm all their
power over industry any possibilities Of
Individual ownership. and the State. by
the creation OF the artificial persons con-
shutting the elements of the combination
and by failing 10 limit and restrain their
powers. becomes itself the responsible
creator the voluntary cause OF an ag-
grogaton of capital. which IL simply en-
dures I'm the individual as the product
Of his free agency. What IL may bear is
one thing. what 1t should cause and
create is another"
We should rot charge that the journal
OF Commerce Intentionally perverts the
case to avoid a confession that II has
made a hlunder. but If II knows no more