The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1897-02-18
THE TRUST INVESTIGATION.
THE SUGAR TRUST DROPPED
FOR SOMETHING MORE
ELASTIC.
HAVE TAKEN UP RUBBER COMPANY
Treasurer Flint Tells How the Trust
Gobblcd Up mpetition-Formation
of Sugar Trust Threw 10000
Men Out of Work.

New York, Feb. 16.-Charles II. Flint
and NJ. G. Martin, director of the United
States Rubber company, were in waiting
to be examined by the joint investigating
committee of trusts when the committee
met this morning, but were excused.
Secretary Searles of the sugar trust
was placed on the stand and further
questioned.
Mr.. Searles, in reply to questions by
Senator Lexow, said the average margin
of profit for the five years preceding the
trust was 1884 cents per pound, and dur
ing the FIVE years subsequent it was 1856
cents per pound.
rs it not true that the average price
of the raw material after the trust was
formed dropped .957 cents pound, while
the charge for the refined increase was
1877 cents pefippundY'
Undoubtedly, sir"
| Mr.. Searles contendcd that as the
years preceding the trust were years of
disaster in the sugar business, there
could not be fair basis of comparison
/
FIVE years succeeding the formation of
! the trust. He denied that there was q
seven-fold capitalization of the stock OF
to $4,000 people, 10000 to 1900 being
discharged after the formation Of the
trust. -r,--l.
I'VE will now take up the Rubber com
pany," said Chairman LeXow, and Chas
X. Flint, on being sworn, took the stand
He said he was treasurer of the com
pany and was also member of the board
of directors. He stated that the compa
ny was Incorporated in 1890 with CAPT
tai of $20,000,O 900, under the laws of New
Jersey. In reply to questions from Sena
tor LexOw. the witness said that the com
lpany purchased the plant of the New der
sey Rubber company for $2,OOO,OOO.
"Aftcr the acquisition of that plan
there was an appraising committee aD
pointed to make report as to the pur
chase of other properties. They made,
thorough examination and recommended
the purchases for $4,000, ,OOO."
What were the properties?"
"The Wyoming Rubber company. tn
Mcr Rubber company of Milltown, \. j.
the II. l.. Candee company of New
Haven. the Goodyear Rubber Shoe com
pany, the National Rubber company, tn
Boston Rubber company, the Franklil
Rubber company and the Rubber Manu-
featuring company.
The witness said that the purchase a
the figures given did not include all tn
, stock of the corporations named.
what is the total capitalization of al
these concerns acquiredT'
: the company.
, Have you given the matter of pre-
ducing the books of the company an
, further thought, Mr.. SearlesT aske
: Senator Lexow.
: 81 have not"
Then your answer is the same as yes
terday?"
: Eyes"
Mr. Searles said he could answe
definitely about the books after the d
rector's meeting. The committee cor
ferred together, and Senator Lexow sal
: he would give until Thursday mornin
before taking definite action.
. Charles Il. Fuller was then called. II
said the refineries, before the formatio
! of the trust, gave employment to 5000
about $40,000,OOO."
: With the acquisition of the concerns
| the United States Rubber company, ]
I 1893, averaged G5 to Is per cent of tn
total output of the United States.
Q "Since the organization it has been on
: endeayor to earn all the money we law
2 fully can for our stockholders" said MI
Flint.
Witness said that $12,00O,000 of stOc
, had been issued by the trust.
: Now, will you swear that the elemei
! of shutting off competition was not col