The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1897-02-17
RUBBER TRUST NOW
Little Lexow Has a Rocky
Time of 1t with Wit
ness Flint.
EXPLANATIONS NOT WANTED
Committee Only Looking for An
swers That Will Cause Excite
ment Among Socialists.
EXPLANATIONS NOT WANTED

/
monopolies in this State resumed its ses-
sion this morning. Charles B. Flint
treasurer of the United States Rubber
Company. again took the stand. Before
beginning Mr.. Flints examination Mr..
Lexow announced that the affairs of the
National Wall Paper Company would be
| taken up tomorrow.
/ Mr.. Flint was asked If he had any OF
the documents concerning the organiza-
\ tion of the United States Rubber Com
pany with him and produced the certii-
cate of organization of the company.
Mr.. Flint then gave the capitalization OF
| the various companies that composed the
United States Rubber Company. The
Elkan Candee he, said, was organized in
| 1912 with a capital of $500, 900; the Good
year Metallic Rubber Shoe Company in
1S43, capital s1,O0O,Ooo; Meyer Rubber Com
pany in 1914. capital 100000; New Jersey
| Rubber Company in 1870, capital, 100000;
New Brunswick Rubber Company in 1S49,
capital 100000 American Rubber Com
pany in 1877, capital $1,ooo,00o; Boston
Rubber Company in 1888, capital $500, 600;
Wyoming about 1886, capital $400,0 900;
Rubber Manufacturing Selling Company
in 1891, capital $500, 900.
How much stock of the United States
Rubber Company was issued for these
companies?"
I'm round numbers about $1,000, OOo.''
He could not say how much capital
stock was issued for the Boston Rubber
Company.
Witness refused to acknowledge that he
was the prime mover in forming the rub
Der combination, but admitted that he
was active in organizing it. He did not
think the capital stock in payment of
the companies bought in was issued by
him. He felt sure that he did not sign
certificates of stock amounting to $780,
100000 and explained that he was not
treasurer at the time this stock was is
sued. John P. Townsend, president of
the Knickerbocker Company, he said,
was treasurer then. He declared that
every precaution was taken toImake sure
that stock issued for the requirement
of the other companies was legally is
sued.
Witness said he had made no personal
examination of the properties for which
the stock certificates were issued. as the
figures were not accessible. He added
'1The appraising committee were men of
the highest standing and I had the ut
most reliance on their report" He fur
ther said that the report was kept in
the archives of the United States Rubber
Company in New Brunswick, N. j., and
under the bylaws could only be opened
in the presence of the officers of the COM
pany.- The stock. Mr.. Flint said, was
placed in bulk with the Bankers N. B.
Hollands & Co., who distributed it to
planation-'' began Mr.. Flint.
AT this point Chairman Lexow inter-
rupted and said that witness was explain
ing too much.
Mr.. Flint replied that he had no ex-
perience as a witness and had spent more
time in the present hearing as a witness
than he ever did before.
Mr.. Lexow cautioned him that he would
spend more time unless he stopped ex-
Witness declared that there was no
money paid to any of the companies for
their stock.
pany?''
Il never had a company
Were you ever interested in a COM
q was interested in the Lyconing Rub
Der Company to the extent perhaps Of
tion."
Don't you know what you got for ft?.,
do not. I can find 1t out"
1t has taken about fifteen minutes to
ascertain that you were interested in any
tb ob the n9n,eo5 companies that were taken into
first you denied emphaticaIly that you
we're interested. Now you say you were.
Can you not say what you got for your
Il can ascertain, sir''
is 1t true that the United States Rub
Der Company paid the baIkerssa a COM
mission of 21s per cent. for selling the
stock OF the various companies?"
Witness wanted to explain but the
chairman held him to the question, and
he finally said he thought the amount
paid was $5o0,000 in stock.
Who protected the interests of the
rubber company in that transaction?"
Mr.. Simmons and the Simmons Com
mittee."
'Will you produce the data in regard to
that transaction after recess?''
| will endeavor to do So"
I'VE must have these data?'
Wei, Mr.. Chairman, I am willing to
give the committee all the information 1
can: l had been advised that we being
New Jersey Corporation need not tes-
tify here, yet came here and answered
your questions
Now, Mr.. Flint, we don't want to be
too severe in regard to this matter, but
we think that the question of capitaIiza-
tion is most important and whether your
company is New Jersey corporation or
New York company we must have the
Information we seek" said Senator
LexoW.
T viii try to get it for you, Mr.. Chair
Witness said the companies we're run
as Independent organizations andTthe U.
to that of a commission agent toward
the ordinary manufacturers.
Have you any knowledge, asked Mr.,
Lexow of the witness, .of these agree
ments of the trusts with the agents?1
u want to say