The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1897-02-11

| rs IL not TACT tnht tnc 9O,ODD,UW
worth OF stocks in the sugar trust are
only third Of the figure in actual valueF
by actual value do you mean bricks
and mortar?" inquired Mr.. Searles, who
finally stated that his mind was not suf
| ficiently clear on the subject.
| Witness said he had not known the
| figures in the case and on being asked
By Senator Lcxow If they were available
| Mr.. Scarles said he presumed they could
| be supplied from the books Of the com
pany.
How much did the four Brooklyn re-
| fleries that were shut up receive in Ger
| tfcatcsf"
| II do not remember the amount"
| "Was Mr.. Havemcyer mistaken when
| he said that the sugar trust had accept
| ed the figures and estimates of the va
rious officers and stockholders OF the COM
| ponent companies without investigation
| and issued certificates upon that basis
IL think statements Of the representa-
| tiyes Of the various companies were gen
orally accepted as basis for estimating
the value Of the property"
He denied positively that his company
| controlled the price OF sugar ana also III
legations that il forced competitors TO
the wall by reducing prices in certain To-
| calitics.
Mr.. Searlcs said the capital stock did
not represent ms intrinsic value, and the
not represent its intrinsic value, and the
public often suffered in case of over
"Thc companies first representing the
sugar trust were Haycmeyer and Elder,
with "A capitalization Of $OO,OOO; DICK
and Meyer, 100000; and others entered
on n basis of 100000" the witness said.
."Tben the value of the property. said
Chairman I.exow, was not correct ~
rcnortcd i'm the certificates, or else the
capital stock was falscE
The witness did not think 50.
"Wys not the actual cash value OF the
vorions companies that comprise the
American Sugar Refining company SO,
600 600. and was not there Soo,Ooo,ooo
in certificates issued! .-.-, -,
"Will YOU swear that the actual casn
There was no cash appralseme,ht Vi
the actual value Of the companies. ,
value represented iiiorc 'h""
S13,000,OO0F'
II should. most assurcdly."
Asked by Chairman LcXow II he had
made n report Of the transactions OF the
trust at any time since its organization,
witness SAID: ,,,., &c
II do not understand that the laws OF
thc state of New York require such
proceeding in the case of foreign cor
poration.' :.
lie added that one had been made i'll
Massachusetts in 1899, as required by
the laws of that state.
What other company except the So
called California company is in competl-
ton with the Western Refining com
pany"
None that know Of.
Witness said that out OF Il total OF =
100000 tons of sugar produced ANNUALLY
in the United States the American Sugar
Refining company controls ~ per cent
of the product nominally, but denied the
company controlled the whole product.
when we enter the market our com,
DCtitOrs buy and sell Mt their own nNeu
price" the witness said.
Senator Lexow read part of the testi-
mony given by Scarles before former
committee, which, the witness said, eX-
pressed his views ut present in regard
to the control of the output OF sugar in
order TO get rid of free competition pre-
yailing between free factories.
"Do you agree with Mr.. llayemcycr,
who states that the principal object IN
consolidation was to stop competition!
mo, sir
Asked by Chairman LcXow if any re-
fincres had been built since the amnlga-
affirmative, saying that two had gone up
in this state alone.
"IIow do you explain your testimony
before the senate committee
"Oh, that must bc read in context.
I'VE are obliged to notify you formally
To produce at the next meeting OF TINS
committee the minute book of the COM
pany and any. other data in regard to the
four Philadelphia companies and other
transactions in the amalgamatlon, sald
the chairman.
Personally have no objection, but
! can not do SO without the consent OF
the board of directors" the witness
responded.
In reply to another question the wit
ness said he disagreed with ans state
mcnt that the American Sugar Refining
company controlled or fixed the price OF
the product in the United States.
is it not fact that where you have
competitors you cut down the price IN
their particular locality and force them
To the wally'
mo. sir; it is not We only control the
price of our own sugar
"Thc policy of the American Sugar Re
filming company is to produce the largest
quantity possible and always in advance
of the demands that the consumer may
obtain the product ut fair standard
price" added Mr.. Searles.
In reply to another question the WIT
ness said that since the consolidation the
wages of employees of the company in this
state were increased 10 per cent.
What was the capital stock OF the
llavcmcyCr Refining company at the
time of the consolidation
Zone million dollars
What was the amount of certificates
received by the pool?'
IL can not tell you now"
You have the figures"
"Oh. yes"
You reduced nineteen active COM
pancs to eight, did You notT
mo; it was from fifteen to eight.
You have a factory that could furnish
the entire demand of the United States
I'VE could do il very easily"
At the time of the organization of the
trust the witness testified. there were
only few hundred stockholders.
How many are there now
''Well, there were 5000 dividend
checks sent out on January /"
Witness said he was not positive as to
whether or not the majority of the board
of directors held the largest number of
shares in the company.
Have you not been n Sclf-apponting
body since the organization
No, sir; the directors are elected hy
the stockholders"
Have the stockholders asked for
yearly statement"
"No, sir: they are perfectly satisfied to
leave the matter in the hands of the