The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-02-07
John ArbuciIe's Testimony that His
by His Business Partner.
RIO THAT COST TEN CENTS
SOLD TO MIDDLEMEN At Is POUND
BEFORE THE FIGHT BEGAN.
Additional Testimony by Mr.. Have
meyer, of the Sugar Trust-JOhn
T.. SearIes Cited to Appear.


yesterday Chairman Lexow announced that
failure on the part OF John Z. Searles. Sec
rotary and treasurer of the American SUI
gar Refinery Company. TO appear before
the committee to-day would bring on him
such punishment for contempt as the laws
of the State of New York prescribe Mr..
Searles was not on hand to-day. Edward
NJ. Shepherd and John E. Parsons. attor-
neys for the sugar company, explained
that the subpoena to appear before the
committee was served on Mr.. Searles just
as he was leaving the city. He was to-
day in Washington and could meet the
committee on Monday. On that day Mr..
Shepherd said Mr.. Searles would be either
in this city or in Albany, as would best
suit the convenience of the committee. and
submit to the proposed inquisition. Chair
man Lexow said that the committee would
decide in executive session what should be
done in the premises.
John Arbuckle was then called to the
witness chair. He said it was not true, as
stated by President Havemeyer. that the
American Sugar Refinery Company did not
threaten 10 force him out of the coffee
business if he engaged in the refining of
sugar There is no profit in the coffee
business for us now Mr.. Arbuckle said.
and he went on TO explain that the profits
from coffee in 1886 was only three-fourths
of cent d pound; in 1895 little less than
six-tenths of a cent and in 1893 little less
than six-tenths of cent pound.
James n. Jarvie. the business partner of
John Arbuckle, was recalled. and. in the
course of his testimony. said that coffee
had fluctuated in the market within the last
ton 10 c1ih N
the coffee business nowadays and read sta
tiSticS to that effect This was in contra
tiction of the statements made yesterday
by Mr.. Havemeyer. who stated that the
coffee business was "a thriving and proi1ta-
bic field of mercantile industry.
In reply TO Senator Lexow, witness testi-
fled that the firm of Arbuckle * Co. and
William +. Mclaughlin, of Chicago, con-
troll the coffee package trade in the United
States and that the Havemeyers control
extent. Witness said there were several
grades of coffee, ranging in prices from
ten to thirty g, cents mt pound Mocha 6ne latter
when the American Sugar Refinery Com
pany went into the coffee business through
the Woolson Spice Company" he was
asked.
II should say the market price for Rio
coffee was 10 cents pound. and it sold at
What price do you sell at now?' e.
''At 1872 cents per pound.
"A
Il am not prepared TO say just now
at 13 cents a pound?
do you. as a manufacturer, consider it
fair to amass from the consumers enormous
profits to be distributed among the direct
Ors and stockholders in the charge OF I'M
reasonable prices?'
The witness tried to evade the question
and the spectators gave noisy evidence OF
senator Iexow pounded the desk with
his gavel and ordered that no display OF
feeling be permitted
thing do you Think" asked Senator Lexow.
Witness said that the 30 per cent. diNi-
dend only represented per cent. dlvi-
dend on the present value of the stock he
said his company paid $1,000 for simple
share of the Woolson Spice Company.
rs it fact that they are putting up a
the purpose of driving you out OF the mar
ket?"
Il think our coffee is better than theirs, y
the witness replied.
AT this juncture Senator LeXow asked Tor
III. o. Havemeyer. and Mr. Parsons sald ne
had lust received word that Mr.. Havemeyer
would be on hand at O'Clock. TO which
hour recess was taken. Senator LeXow
then announced that during the recess the
committee would consider the question OF
Mr.. Seares's disobedence TO the order of
the committee. After recess chairman
Lexow announced that Mr.. Searles would
be given until 10 a. m. Monday TO answer
the subpoena of the committee.
President Havemeyer was then recalled.
He said that the four refineries in Philadel-
pha which were absorbed In 1881 sun con-
tinue in operation.
How many men had you in your employ
i'm New York State at the time of the Or
ganiZation?' he was asked
Il am unable to tell you.
Were there ten thousand on the east
side?''
lis il not true that seven thousand men
were at one time discharged!
1T is not true. We did not have that
number employed
In reply to another question. he denied
there were any sugar refineries closed after
the consolidation of 1891. Il think. he
said my brother was in error when he
said that some of the refneries were closed
after the consolidation in 1891 The wit
ness further testified that prior to the con-
solidation six factories, employing three
thousand hands. were closed down. Mr..
Havemeyer then read long list of figures
showing the profit per pound or refining
sugar derived by the company for spe-
John Bergen. who had been in ting employ
of the American Sugar Refinery Company
in various capacities from 1916 to 1874. was
next called. He said that in 1892 he was in
the employ of the sugar company as dock
foreman. and at the time of the formation
of the Sugar Trust. in 1887, between five
thousand and six thousand men We're dis
charged.
Asked as to the number rendered idle by
the closing down of the brooklyn concern,
witness said that he understood that one of
the closed refineries was now being OPP
Grated as q coffee mill. Eight refineries
were closed. he said, since the formation of
the company, and this coffee concern is the
only one of them now in operation.
John Arbuckle again took the stand, and
testified that he controlled at least one
quarter of the coffee trade in the United
States. Mr. Arbuckle said that he wanted
to explain that the price of coffee very
variable. and gave ii as his candid opinion
that ii was the most speculative business
in the world.
Have you any agreement with the other
big firms 10 fix prices?
NO sir: we have no agreement We only
fix our own prices.
This ended the work of the committee for
the day. and an adjournment was taken
until 10 o'clock Monday morning.
Is This "a Knit Goods Trust.
NEW YORK, Feb. 6-At a meeting of the
hosiery and underwear manufacturers held
in this city. a permanent association was
formed for the purpose of looking after the
knit goods trade of the United States A.
Il. Valentine. OF Burlington. VT, was elect
ed president and among the vice pre- sidents
chosen were the following: j. Y. Hanson
Macon. Ga. j. Il. Colvin. Ypsilanti. Mich,
and Theodore Frelinghuysen. New York.
The executive committee includes in it's
membership w. c.. Maxwell. Roanoke Rap
ids. y. c.: A. S. Ruhl. Rockford. Ill.,; Owen
Osborne Philadelphia, and Charles Chip
man. Easton, Pa
ANTITRUST Bin Passed.