The times. [volume] (Richmond, Va.) 1890-1903, 1897-02-17
THESUGAR COMBINATION
NIX, sELRLES AGAiN pCISfi"'""
By CHAIEMIN LEXO"
..,o whether the Consumer Can Get the
Benen. of the Reduction IN WI"
Price OF Raw Materials

between the raw anu i'ih'" '''
during the hvc years preceding 'Ne loi ~
alton of the sugar combination WIS ,','
and during the five years subsequent ~
lie admitted that after the conhD'n"'o
IA noon formed the average price OF
,.,' material had dropped .9j7 per cent
mr. nound. while the charge OF the re-
rne increased Is; per cent. per pouhu
witness said there was very Ht'le pIo"'
in tho busin,ss for the five years Delo'e
The combination was formed ana ue"i'u
hat there was sevcn-fOld capitalization
~ the stock after the consolidation %
the retncries. -. o,o,,id ho
"vo,, said Yesterday that 1t should D"
The Motley OF the legislature 10 ehDo"'"7
capital instead OF driving IL AWAY 49,
! thai il is Investigations Ike lhese '"".
drive capital out Of the state 10 sou
consider that capitalization III '"o w.
YOU have mentioned. where inc 'o''- .''.o
b. not considered. and whereby monopo-
lies or ouasi-monopolies are created
should not be intcrfcrod with by the "7
islature?' -,
Il can scarcely remember an '""'
question" said Mr.. Scaries.
The stonographcr read the ques''o"
over. and Mr.. Scarles replied
"In so far as that question refers 10
tho American Sugar Refining Company
do not see any objection TO IL.
THE CONSUMER.
Senator LoNow then put NUMBER oil
| questions as 10 whether the consumer
| can get the benefit Of the reduction III
! tho nrico Of raw material so long as az
gregations Of capital designed TO con-
! trol uriccs are permitted 10 exist.
~ can't imagine such thing eNlstihs'
| don,f believe tho Legislature can rem
| ody such q state OF affairs II IL eNlsleu.
| As said before. the law or supply ana
| demand will regulate all these things III
time" .,.
| I'm replv to another question. the VIII
| moss admitted that the consumer had n"t
J received the full benefit Of the decrease
| i'm the price Of raw material
when the nation permits the creation
| Of "a monopoly or puasi-monop0ly. do YOU
| consider that there is At least an undeI-
| living obligation 10 give labor on t.ie V"o
| land. and the consumer ON the other an
| adequate share in the dement's OF as
| economy ,,-,. 49,.
III the monopoly exists / think there
should be some such obligation
do You think the American sugar f'e-
hning Company In the monopo'y
ouasi-monopoly IL has shown Itself 10 DO
here. should be fostered in the absence
of the two considerations have mention
ed I'm my former questions
Mr.. searles got hot al this question ana
| snapped back:
"The American Sugar Refining Company
is not "a monopoly or = quasi-monopoF, I'D
| any sense OF the word. The American
| Sugar Refining Company IS IN the inter
ests of the consumer. and there is no
reason why the State should interfere
with its busiess I'm particular
| Senator Lexow then went of on another
tack.
| Mr.. Searles had not brought the books
that the committee wanted. ana 10 WIS
stated that the directors of the Amei-
can Sugar Company would meet to-mor-
row. when the demand Of the committee
would be laid before them Mr.. Scarlcs
would not be I'm town on Thursday hut
Mr. Uavemcyer would bring 10 IN" COM
mittee the answer OF the directors
In reply TO further questioning. Mr.
| Scarlos expressed the belief that the cost
of sugar 10 the consumer would Boz h1li
cent per pound greater without me
| combination Of refners That there was
as much. II not more. labor employed in
the business now than before the consoii-
dation. and that wages were Increased
10 per cent after the formation OF the
| combination.
Did YOU say that the trust was form
cd because Of Illegal combinations OF
labor"
IL said that there were combinations OF
labor which melted strikes.
And these strikes were for increased
wages
Yes. sir
This closed the examination of Mr..
Seares. who lett the stand smiling.
Lawson y. Fuller was then recalled.
your competency as an expert I'm sugar
seems to be questioned Now, please
state your experience said Senator
LeNOw.
EXPERT FULLER.
Expert Fuller then said that between
1850 and 1860. there were forty-eight sugar
rcnmcrics doing business and that they
+ employed between 2iO99 and 5000 per
SONS.
Mr.. Fuller said that twcnty-eight Of
these rcAnerics went out of the business.
thus throwing between 1000 and llwJ
men out of employment
do YOU think there were more men
employed then or now?'
We'll. / should Judge that forty-eight
rcnneries would employ more men than
two rcnneres. said Mr. Fuller
4 moment later hc added:
III tho sugar trust was not formed 20
reduce expenses. ! don't know what 10
was formed for"
Mr. Fuller said there was more ma
chlnery employed now ana consequently
less men.
, Mr. Searlcs stated that the trust WAS
: formed TO get rid of the weak men in The
, business but say II was formed 90 eeI
: rid of the honest men, said Mr.. Fuller
, Mr. Fuller then told how there was m
: Investigation before % congressional com
: miitce IN 1881 600 regard 90 charges mad
by the witness that certain rcdncrs 30
n | their sugar cheaper throush tie custom
. house than others.
. How did the committee report:
- "Oh IL WAS not much of q report. TN"
a could not get at the facts
7 Mr. Fuller then paused moment am
k said.
I Now want TO say that IL YOU eiv
i us honest senators We VIII have chc1pe
K sugar 1 am IN favor of elcctng men {
!, Congress who will lcsislate in favor q
= the public"
There was applause from the spoctd
! tors At the remark Of Mr.. Fuller. whic
: Chairman Lexow suppressed.
TIE RUBBER COMPANY
:. I'VE will now take up the United state
n Rubber Company" said Senator LcXow.
e The first witness was Charles r. Fin
J, who was duly sworn. Mr.. Flint is treas
e urcr and member OF the Board OF Tru'
tees of the rubber company. which W.
n a New Jersey corporation capitalize 9
s. fifty million dollars. IL had been forme
: bv a union of competing firms. The wi
/ ness said there was an understanding
10 the rubber business in regard 10 price
e for the past twenty years.