The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1897-06-25
WHOLE QUESTION BEGGED
BUT TOBACCO TRUST is SOLID
WITH ONE JURYMAN.
NOT ONE OF THE CHARGES DENIED
A Pitiabe Reference to an Alleged and lrele-
want Fact that National Cigarette Com
pany Bore Part Of the Expenses
of the Prosecution.

New York, June 24.-President Duke,
Of the American Tobacco Company, was
the only one of the officers of that organi-
zation present in the court of General
Sessions this morning when the trial of
the company's officers on the charge OF
conspiracy was resumed
Solomon Rosenbaum, who, up to March
last was a salesman in the employ of the
American Tobacco Company, was the
first witness called by the prosecution,
to-day Rosenbaum said that in addi-
ton to his work as salesman, he reported
10 the officers of the company as to the
manner in which the holders of consign-
ment agreements conducted business. 1t
was his duty TO deliver goods to the job
bers, who purchased supplies under the
consignment agreement.
Witness reported Morris Hirsch, of
Brooklyn. for selling cigarettes manufac-
tured by the National Tobacco Company.
Hirsch. who had dealt with the Ameri-
can Tobacco Company, told witness that
he mad become an agent for the National
Company.
The witness said that he was present
at meeting of about 100 members of
the Tobacco trade, held in 1895, at which
a vote was taken on a proposition to con-
tinue the consignment agreement. Wit
ness was not allowed to say whether The
results were in favor Of or against the
continuance of the plan. Witness ex
pressed the opinion that there was not
one jobber or dealer in the district COW
cred by him who did not handle paper
cigarettes made by the other manufactu-
rers than the American Company.
Edward B. Sperry, who was employ
Ell as stenographer by Secretary Josiah
Brown, of the American Company, next
took the stand. He said he had been
subpoenaed to produce the minute books
of the meeting of the board of directors
of the American Company during the
years 1892 and 1893.
He said he had not produced the books
because he had no control over them.
He did not remember what directors
were present at the meeting when the
consignment was agreed upon. He final
~ remembered that Lewis Ginter, di-
rector, was present.
After a recess, Mr.. Sperry was allow
ed to take the stand to correct state
ment he had made during the morning
examination.
Il did not mean to say that / had
seen the minutes of the meeting at which
the consignment agreement was adopted;
] should have said that | saw the resolu-
ton in which the agreement was embod-
led"
Solomon Rosenbaum was recalled and
questioned by the prosecution. He re-
affirmed the statement made by him that
jobbers who had been Disseminated a
gainst by the American Company could
procure the goods of that company at in
side prices and that company's action in
oofi-
cally of no effect.
This closed the testimony for the pro-
secution and Mr.. Fuller then began the
opening address for the defense.
Mr.. Fuller's argument was based on
the statement solely, that the consign-
ment agreement was not a violation of the
law. He said that competent legal tai
snt had so decided before it was put in
operation. He declared it was the out
come of complaints from the jobbing
trade who wanted some protection from
ruinous competition. After the rebate
system had been tried and found want
ing, the consignment agreement was put
on the market. The fact that Messrs
Hauptmann, Heir, Dressler and Wha-
len, witnesses for the defense, had pro-
tested, claiming that they were debarred
1TOlu MI Il uliCl lAOuSAt was
cient proof that it was a good thing for
the jobber. He dwelt with stress on the
fact that the National Cigarette and
Tobacco Company had guaranteed a
gainst loss jobbers who had consented
to break the agreement and handle Ad-
miral cigarettes.
Mr.. Olcott objected to Mr.. Fuller's
summing up in his opening address,"
and the judge sustained the objection.
Mr.. Fuller read the consignment a.
greement to the jury and announced that
the case as far as the defense was con-
cerned, would stand or fall by it.
Mr.. Fuller said that the introduction by
the District Attorney, as a witness, of
State Senator Lexow, chairman of the
trusts investigating committee of the
legislature, by means of which the testi-
mony given by President Duke, Secreta-
ry Brown and other officers of the Am
erican Tobacco Company before that
committee was brought out, made it un-
necessary for the defence to produce
any of these officers as witnesses. They
would stand by the testimony given be-
fore the investigating committee.
When Mr.. Fuller closed his address
court was adjourned until morning.
Jackson, Miss, June 24.-The Capitol