New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-02-24
HOW SUGAR PRICES ARE FINED.
MR.. SMITH DErENOS TIE FACTOR AGkhh
MENTs-FONMarION OF THE CIGAR
ErrrI TRUST.

MR. SMITH DEFENDS TIE FACTOR A'rhh
MENTs-FONNArION OF THE CIGAR
ErfD TRUST.
Tho fret witness calied before the committee
YESTERDAY morning G. Waldo Smith. presiuehl
OF the Wholesale Grocers Association reps'e
70 Ny Lcxow he said that the assoclauoh was
NOT INCORPORATED. TIE chairman also questioned
tho witness as 10 the formation CT the assocd'o'
&c scope the territory 1t covered and facts rela-
ing 10 its membership. In :he course OF ms eN-
animation Mr.. Smith said that the assoc'a''o'
had no jurisdiction in the South ana eApia'Neu
that the grocers and jobbers OF the oo"(.
orcan,zed under the title Of the Southern Grocers
Association. , ,,
II NAV be remembered that Mr.. Seares' IN giving
evidence A. 70 the Sugar Trust, SAID that the i'0
tore agreements under which the prouucI Vi Wv
inst was distributed were insisted upon py inc
Wholesale Grocers Association, because 'iie '"'''
..or,od that unless the price OF rehneo sugar
800 rcai,,otred at a fixed level It was impossioe
70 obtain profit from its sale. Inc o"us al ,d
NJ these agreements and or the Mlis Vi
u,as cast upon the Wholesale Grocers Assoc''oi
Yesterday however in reply TO one Oh oeha'o
. ,,,,r,es Mr. Smith stated that the asso-
carton neither fixed nor controlled the priFe VI
suear in any way. All the association oiu "a' ~
sand ont notices Of the change OF prices III 'uea'
:. ,.as ,rue however, he said. that the same
course was not taken In regard 10 o'hei eoou'
and explained this distinction by SAYING 'la'
- ,ha rnost important product sold by the asso-
cia,ion The sugar refners adopteo CERTAIN 80
NJ sale and in order 10 benent oy 'hoso $3.50
tho secretary was instructed 10 SEM ou' NJ 80,
~ 49,. change In price. These terms. MI oini''
u "'' ID no, ween the officers Of the Whole-
So Cooers. Association. Mr.. Searles. Mr.. haVe-
never and other sugar refiners' Du' ITO 'oO'O NV
roroenober the names OF the ia''ei' 49,, -.
feni ' anos vour association get the price OF
sugar. ,.
49,. .o, know that your secretary gets the
- IRON, the American Sugar henhi's Oo'''
pany?" .,.u ,bo nr,ce ,s hung up in
their office, and the secretary goes '''''
It," ~ &c ordered to 20 there
-, a., know anything about H.
III ,.ass said that The rules of tho Whoiesai7
>aoo~s, Association had been Drawn up ''''''
o and never changed since theh'
years aso' ~. American Sugar Refining Com
NOW. u,D NV the rules that govern your associa-
tom" .
Not 10 my knowledge. 40. oomn,nv
-, he careful VIII you swear that company
ooos NOT nay for the printing of tho rules
~ do mt know; don't think So :.
..Do YOU mean TO say you arc 'o''"e '
selling sugar? .oL,ro q, nv own
Yes. sir; that Is 3D. ~
firm" .,e.h =, q rant ner
pound as a rebate?'
Yes sir" .... A,,ar,c,r
G.. poering Company is responsible for tho code
~ rules puting the price OF sugar on al e9ua"'S
e,.erywhere and not the Wholesale Grocers Asso
citation"
NOTHING TO DO WITH THE RULE
"rhe Wholesale Grocers' Association had nothing
10 do with that rule to my knowledge .
did your association solicit the American sugar
Refining Company to fix the pricesT
Our association had nothing 10 do with the hHiht
Of prices since five or six years ago.
Mr. Smith said his firm bought goods from th'
American Sugar Refining Company and from The
Mollenhauer Company.
And you get the same documents from both com
panies?"
Then the product Of the Moenhauer Company
is fixed by the quoted prices Of the American Sugar
Refining Company"
Il have no knowledge of any such thing"
But don't you fix the price asked?"
Yes daily telegraphed by our brokers"
Now" said Senator Lexow. rising in his sea
and handing Mr. Smith copy of the factors
agreement Il sorry should know moro
about your business than you do"
Mr. Smith examined the document carefully ant
then remarked: "All thai is In that agreement 1:
that We make an affidavit TO maintain the price
Of sugar"
us that all?" asked Senator Lexow. quietly.
That's all. to my knowledge. l never signed
the affidavit"
who signs the affidavit for your
1 "Mr. Sis."
J "Now let me show you the sffidavits you make
fDo these afdavits not state the conditions undei
(which you receive the sugar.
mo. sir: found We were handling sugar q
bet cost. which meant ruin. We went 70 the sugar