The morning news. [volume] (Savannah, Ga.) 1887-1900, 1897-06-19
TOBACCO TRUSTS GRlr ON TRADE.
A st. Louis Dealer Tells of His Expo
rience.

New York, June 1S.-The trial of the off,
indicted for alleged conspiracy under the
antitrust law of this state, was resumed
to-day after an intermission of day.
Theodore Allen was recalled by the pros
ecution and questioned respecting the num-
Der of all-tobacco cigarettes manufactured
in 1888 as compared with the number of
paper cigarettes made at that time. He
could not say what the statistics were.
Asked again concerning his suit against
the defendants at the time of the forma-
ton of the so-called trust, for commissions
earned as alleged in bringing the compa-
MES together, he declared that all differ
ences had since been amicably adjusted.
and that he was now on good terms with
all of them.
An attempt on the part of the prosecution
to bring out evidence as to the methods
of the trust prior to 1890, was objected to
by Mr.. Choate, and the objection was sus-
tanned
The witness, Mr.. Allen, testified that In
| conversation, Mr.. Duke previous to the
formation of the combination, told him
that it cost his firm $50s,0e0 for advertis-
ing in 1885, Ginter told him 1t cost his
firm $250,00O for advertising the same year.
There was some talk as to the remedy
for competition.
Upon cross examination, witness said
| that the consolidation was formed for the
purpose of promoting economy in ciga-
rettes. He had received a letter from
Allen & Glnter on Sept. s, 1889, in which
the firm stated that they were averse to
| joining trust In the literal meaning of
| the term, but If other companies were con-
sidering a combination they might be in
| duoed to join in the plan. Witness said
that the present price of cigarettes was
| 10 per cent. less than when the companies
| were doing business Independently.
Mr.. Fuller requested that the witness
| produce in court a letter which he re-
| ceived from Einstein & Townsend, on
| May q, 1897, asking him to lend his aid
to the prosecution. He was also asked
| to produce a copy of the letter he sent
| in answer.
MIR. Fuller occupied more than an hour
| putting questions relative to trade marks
| and their value to the manufacturers, to
| the witness, all of which were ruled out.
Peter Hauptmann, of the firm of Peter
| Hauptmann & Co, dealers in and job
Mr.. Allen, had become so wearied that he
| asked to be excused for the day. Mr..
| Hauptmann's firm does business in st.
| Louis. He testified that previous TO 1898
| his firm handled about 15,000,0O0 trust Gig
| arettes yearly. In 1898 he bought cigar
| cites from the Nationals Cigarette Com
| pany, and after that th& American To-
/ y,scco Company refused to I'll his orders
| claiming that he had violated the agree
ment by which the trust held the jobbers
| He went to the st. Louis headquarters of
the American Tobacco Company and had
| a conversation with Mr.. Brown. The lat
| ter told him he must quit selling Admiral
| cigarettes, or the trust would stop SELL
| ing him the goods of it's manufacture
Mr.. Brown told him the American Tobacco
| Company sold 81 or IS per cent of all the
| cigarettes manufactured in the country
| and did not see why he would not sell
| trust goods exclusively. He was told by
| Mr. Brown that If he stuck by the trust
he would sell 100000 cigarettes.
| Witness was asked by District Attorney
| Olcott If he gave in to Mr. Brown, and he
replied that he did not. A letter sent TO
| the witness by the American Tobacco
| Company was introduced as evidence 1t
was to the effect that the company felt
| constrained to discontinue sending him
further goods except at net prices without
| discount. Not until June, 1885, was the
witness able to purchase goods of the
American Tobacco Company's manufac-
| ture Spot cash had always been paid by
| him for the trust goods. The trust not
| only refused to sell him tobacco but he
| also was not allowed to buy goods from
other firms in st. Louis that handled the
| trust cigarettes. He said he never was
an agent of the trust.