The Portland daily press., 1897-02-16

tories closed last September. He added
that the Delaware was not closed but
consolidated with Spreckles. He did
not believe that 1000 men were dis
charged nor that the men were dis
CHARGED from the Franklin refinery in
Philadelphia without warning. The
American Sugar Refining company pur-
chased the Baltimore refinery in 1896 be-
cause the company thought it a good
purchase, and that the sugar could be
conveniently distributed from that point
to the South and West.
The witness admitted that whatever
plant has been acquired by the company
had been competing plant. He denied
that the company could close all the fac
tories in any state and still be able to
supply the country; also that there was
special sum set aside for supporting
idle refineries.
In reply to questions about the organ
ization of the sugar trust the witness
said there were about 5000 shareholders
when the original American Sugar Re
fining company was for med. There are
now about 5000.
ssWho sold the holders the additional
5000 shares of stock?"
cit was sold on stock exchange"
Sand you have recapitalized the stock
from $1,000 to $4,000 and increased
ownership by 30oo?"
'sThat's SOL
ssNow, why did you not let the public
get chance at the stock when it was
owned by hundred people and not wait
until it was increased in nominal value?"
1.-THE stock before the consolidation
was in the hands of a few private people
and the great public could not gain ac-
cess to it. replied the witness.
Senator Lexow here announced re-
cess until 2.3O Before Mr.. Searles left
the stand the chairman asked him to
bring the books of The company after the
recess.
After recess Mr.. Searls said that the
only retailers mis- company ever sold
sugar to were large concerns.
ait is not fact that YOU have an
agreement with the wholesale grocers
association"
"No SIR We have an agreements with
the wholesale grooe1s ia regard TO freight
from the refining point to the point aaof
sale.
Witness gave the items of original
Capitalization of the original sugar trust.
There were fifteen companies and their
capital amounted TO S., $40, 900. He had
not seen the certificate books since the
said Lexow, "the books that show an In
crease of SAB, 900, 200 from tho capital of
So, 900, 0G0 are not in existence according
to .! yoI:,' 90 nan,,oa tho w,t,ess
Senator Lsxow asked the witness II he
had the minute book of the Sugar Refin-
ing company with him.
~ have not, replied Searls.
eve want to look at the minute book
to find out something about the capital
,zation of the original companies Are
you prepared to produce the books now?'
asked the Senat0r.
81 submitted your request, " replied
MI Searls, ''to as many OF the directors
as could reach, anu was unable to get
their permission to produce the minute
book in court. If what you desire IS to
get the figures relating to the property
that would be another question, which l
would be willing to submit to them. AS
far as the minute book is concerned, they
decline to produce 1t.
Lexow directed stenOgrapher to note
that the committee was going to sub
poena the directors to produce the minute
book. Lexow went back to the con-
solidation and wanted to know how the
stock was apportioned. tho witness re-
plying that it was apportioned according
to the earning capacity of the various re-
fneries.
Lexow asked the witness to inform the
directors that the committee wanted the
minute book. :,5GG :,
"Ia regard to certain hgures, SAID
Mr.. Searls."
"Why can't we have all the ipforma-
tion in the booka' asked one of the COM
nitteemen. "Because our company does
not wish to expose its business to our
competitors, 4" replied Mr.. Searls. The
proceedings adjourned until morning.