The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1897-01-01
ATTACKS PAPER TRUST.
Manager of New York World Tells
Ways and Means Committee
About Tt.

Washington, Jan. 1.-The disputed
existence of a paper trust was a bone
of contention before the ways and
means committee and furnished the
most Interesting episode of the tariff
hearings up to date. There was
warm controversy between Mr.. John
Norris, the business manager of the
New York World, who attacked the al
legged trust, and ex-Congressman Will
liam A. Russell of Massachusetts who
is reputed to be at the head of the
combine, and ex-senator Warner Mil
Ter, of New York, who has large inter
ests in paper manufacturing.
Messrs. Russell and Miller denied alb
Solutely the existence of a trust.
The lumber and pulp and paper Sched-
ules were the order of the day.
Mr.. John Norris, business manager
of the New York World, first spoke say
ing that while the World consumed
one-thirteenth of all the paper used in
the United States, or 10 tons on every
mill day, he thought he voiced the
tinued:
L appear to formally apprise this
committee of the fact that the "a or 25
manufacturers of white paper in the
United States are perfecting their ar
rangement by which every newspaper
shall be at the mercy of a central
agency by which these manufacturers
shall receive an additional profit of
four five millions a year and tax
knowledge to that extent
The purpose of the trust, said Mr.
Norris, was to keep the price of paper
at about 212 cents, while the present
ruling price was about 2 cents and by
cutting off various concessions to news
paper publishers, increase their profits
in that way also
Being asked by Mr.. 'Tawney whether
the trust had been actually formed, Mr.
Norris explained that he had been in
formed by members of it that all the
details had been arranged by the man
ufacturers, it having been in process
of termination for a year and half
Ihat lawyers were now tinkering upon
the agreement and had practically fin
lshed 1t within "a hours, that the CEN
trail office had been established in New
ork and the men who were to repre-
sent the combine in London, Chicago,
San Francisco and other cities had
been selected
Messrs. Dingley, Payne and other
members of the committee questioned
Mr. Norris closely to show that if pa
per was put on the free list, American
manufacturers would be driven out of
business If prices were unduly raised
by the trust, Mr.. Norris said. newspa-
perS would establish their own paper
factories. He had no recommends
tions to make as to the proper duty. he
concluded, but thought it we'll that the
congress should be informed of the sit
uation, that it might make the bill a
menace to such a combine as the one
being formed.
Ex-Congressman Russell of Massa-
chuSettS, said: Il denv that any com
bination has been practically formed or
that any consideration of such a COM
bination by the manufacturers has con-
| templated a rise of prices"
The newspaper publishers knew that
no rise of prices was contemplated be-
cause they had refused to avail them
selves OF opportunities to make con-
tracts for terms of years at the present
| prices. 1t may seem incredulOuS, but
| the Is or 20 gentlemen who came to-
| gether about a year and a half ago had
| for their objects economy in conduct
N hDiT TNla
they might save a million and a half a
year by reducing their working forces.
In reply to a question from Mr.. TaW-
ney whether the manufacturers had
petition, Mr. Russell said: IF prices
! were cheaper other manufacturers
could not exist, but if we put up prices
| we would hold the umbrella over all
In answer to more questions, Mr. Rus
sell admitted that the second attempt
to form combine had not been aban-
doned, although he thought it would be
fruitless.
Chairman Dingley asked: HAS there
| ever been talk of a combine of pulp
manufacturers?
| No SIR" replied the witness.
Ex-senator Warner Miller of New
| York, repeated practically the
| statements made by Mr. Russell. The
purpose of the pending attempt to form
| a combine, he added, was not only to
| introduce economies, but to enter the
markets of Australia, South Africa and
| even England, which would REQUIRE
strong selling agencies backed nv a
| dozen strong factories. Mr. Miller said
ne would like to see the threat that
| newspapers would esta blish their own
| factories carried out. It has been tried
| before and failed, showing that the
| newspaper men had better stick to the
| business they undertook. In reply to a
| question from Mr.. Norris Mr. Miller
denled that ne held the office of secre-
| tary of the Manufacturers Paper com
| pany or had any interest in it