Kansas City journal. [volume] (Kansas City, Mo.) 1897-1928, 1897-02-19
INVESTIGATION OF THE HAyEMEY-
ERs' TRUST CONCLUDED.
WALL PAPER ON THE RACK.
RUBBER COMBINE WILL. CONTINUE
TO BE LExOwED.
Henry Havemeyer says His Trust Is
Being Persecufed-Henry Burn
Says That There Are Two
and Competing Wall
Piper Trusts.

treasurer of the United States Rubber
Company, was the first witness examined
before sthe joint legislative committee on
trusts to-day. When Mr.. Flint took the
: stand he was asked IL he had provided the
data which he had promised at yesterdays
hearing to produce to-day. He said he had
only 4 part of it. He admitted that the
United States Rubber Company owned all
the stock of the Brookhaven Rubber Com
pany, but did not know whether the small
er plant had been torn down or dismantled-
He did not know whether or not $50 hands
had been thrown out of work by the order
Of the United States Rubber Company
closing the Brookhaven concern last sum
mer. He said the Brookhaven concern was
bought merely because it could be bought
cheap, but he did not know what its stock
sold for He added that other purchases
of plants were in contemplation
Concerning the Setauket plant, witness
said labor there was paid 25 per cent less
than in the United States Rubber Company
Senator Lexow asked, If this was the case.
why the trust had bought and closed the
Setauket mill. The witness did not give d
direct answer to the question. but entered
on an explanation showing that the United
States Rubber Company had paid and was
now paying, higher wages than any other
concern in the rubber business
After recess. Mr. Henry .. Hayemeyer
and John E. Parsons, president and eoun-
sell respectively, of the American Sugar
Refining Company. were present.
tbs wHsn Witness sfand he Was asked number
of questions covering ground heretofore
gone over.
do you know where the original deed Of
finally queried Senator Lexow.
No, sir. do not" was the reply.
showing the distribution of the original
stock of the company were cut out by Mr.
Parsons by permission OF the Arnold com
mittee at the time Of the investigation by
the senate committee.
DO you mean that?
Yes. sir. / say the figures were cut out
Mr.. Parsons, without regard to anything
before or since The figures were not re-
placed to my knowledge
WHO had taken custody Of the mutilated
trust deed?'
Mr.. Parsons
why was 1t that you and your asso-
"A hundred people agreed to have that
should have been destroyed. because, in
my Judgment. 1t was that deed that caused
ali the trouble and hostile legislation and
You mean prosecution. don't your"
mo, l say persecution All the fuss has
been over i that deed; H. II that deed had ,9d not
have been fighting the air. All this thing
has been swept aside by the supreme
what do you mean by that?"
.'Oh. thought you were conversant with
things that have gone before In this matter
by former investigation / mean that We
have had this Investigation before, and
that one judge has ruled that We were a
ana eomrf
this aside by declaring we were not mon
opoly inasmuch as We did not stifie COM
Mr. Parsons was then sworn. He admit
ted having been the custodion OF the trust
deed: not in legal way, but as counsel
that was extracted?
'I have no recollection of seeing 1t. 1t
tbs5 Was claimed at snat bW ;b nsper should
MIR. Parsons said he had not seen the
question. said the directors at their meet
ing yesterday had not considered the ques-
ton Of producing the minute book
Senator Lexow then let the other Witness
es of the American Sugar Refining Compa-
ny go, and this finished the probing OF that
company.
Wall Paper Company, was then called. He
said he was not one Of the original incor-
porators or original directors Of the organ
ization. which was organized In July. 1882.
The witness said the National Wall Paper
Company was composed of twenty-eight
different companies.
the combination?"
About seventeen"
What amount of business did the COM
About 65 per cent, Judging by the ma
chimes we employed. We have 1SS machines
as against eighty-eight Of those not in the
combination"
What was the capital stock issued?.'
1.-THE original issue was s1400Q0OO, subse-
Quently raised to $27.00O 600 or $2S, 900"
l. WAS all common stock, the witness
said, and the corporation was not organ
lied in the state Of New York.
How did you arrive at the proper distri-
button of stock?"
1--WE calculated the profits of the various
concerns for certain years and multiplied
ii by sixteen"
In reply to another question witness said
the output OF the consolidated concern In
1896 was 125. .0O00 900 rolls of wall paper.
1.-The consolidation brought about the in
crease OF the labor in the various con-
cerns" Mr.. Burn said.
The witness further testified that wall
paper had been reduced 10 per cent and
that wages had not been reduced, but were
more since the consolidation.
Does the agreement you have with tho
sellers or jobbers restrict them to the sale
Of your product?"
Yes, sir"
Witness said he had heard of the exist
ence of a wall paper trust or club which
was In competition with the National Wall
Paper Company. Where 1t was located. or
who composed II, Mr.. Burn did not know.
On promise that Mr.. Burn would produce
certain statistics needed by the inQuisttors,
Mr.. Burn was excused until 10 o'clock to-
morrow morning, to which hour an ad-
jturnment was taken.