The morning times., 1897-02-20
DROVE OUT COMPETITION
How the National Wall Paper
Company Disseminated.
IT COERCED THE JOBBERS
Mr.. Flint, of the United States
Rubber Company, Said Combina-
tions of Capital Keep Up the
Wages of Labor and Cheaper
Prices to the Consumer.

New York, Feb 19.-The joint legis-
lative committee appointed to invesu-
gate the existence of trusts and monopo
lies IN New York resumed its sessions
this morning.
Henry Burn, president of the National
Wall Paper Company, who was on the
stand when the session adjourned yes
terday, was recalled.
At request of Chairman LeXow, Mr..
Burn handed him the factors contract,
one OF the clauses OF which requires that
the customers of the National Wall Paper
, Company only sell the goods of that com
pany.
Has this clause always been in the
agreement"
Not until the past year
What obtained before that cause?''
I'VE gave our agents an option of
handling our goods on q rebate
Then the clause was not inserted until
you had practically driven out all com
petition"
We never drove jobber out of busi-
ness yet"
did you not have a struggle with job
bers OF the country two years ago?'
No, sir; but we gave the trade the
| same discounts as the jobbers."
| In reply to another question: the wit
| ness said that his company had an agree
| ment with the labor unions by which the
| employees worked eleven months of the
year.
| Does the agreement hold through tha
| United States?"
''Yes, sir: in every one OF our factories -
'.How many factories were closed after
| consultations"
Il think ten factories were closed within
two weeks"
This, the witness admitted, caused a
decrease of 10 per cent in the labor en-
| ployed. The factories We're closed because
they Were making inferior goods.
Charles K. Flint. of the United States
Rubber Company. again took the stand.
Mr.. Flint admitted that he took an
| active interest i'll organizing the United
| states Rubber Company.
DO you not believe it is against public
sentiment that you and your colleagues
| concentrating everything in the hands Of
a few Individuals"
Il believe that in all human organiza-
tions disadvantages may arise. l am
satisfied, however, that these combina-
tions offer the only means in this country
of cheap price to the consumer ana result
to the best interests OF this country In
the main. They also are the means OF
keeping up the price OF labor"
''Do you believe it would be beneficial
to the public to apply your scheme to
every industry. and to make them the foot
ball OF spectators on the stock exchange?
Is that good State or national policy"
Il don't believe in monopolies, AMI /
don't believe in speculation. / think that
speculation is demOralizing 1t is very
difficult however, TO regulate the laws
OF trade"
The agreement between the United States
Rubber Company and the bankers, il was
brought out, stipulated that the bankers
should devote their energies in the future
to the acquisition Of additional rubber manu-
featuring concerns in the United States and
Canada for the company.
How do YOU explain that the agreement
is not i'll the line OF monopoly asked
Senator LeXow.
From the fact that the United states
Rubber Company controls only Go per cent
OF the rubber trade
Now, is it not practically the fact that
| you nave iollllct d CoIIbindlloh thdt uOe'
not fear competition?'
No SIR
James B Ford was then called. He said
he was vice president OF the United States
Rubber Company. He was connected with
the New Bruins wick Rubber Shoe Compan!
before the consolidation.
He was subpocnaed to produce the sched.
ules that contained the data Of the pur
chase of the various properties, but did no
bring them, He said he did not know where
they are.
Adjournment was taken until tomorrow