The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1899-06-15
HAvEMEYER TELLS
OF HIS TRUST
Frankly Talks Of Workings Of the
Big Concern
TO INDUSTRIAL Commission
Not in the Business for Phil
anthropY
He ATTACKS THE CUSTOMS TARIFF
Sugar Refiners Should Pay No Inter-
nal Revenue Tax.
ADMITS POWER OF THE TRUST
Declares That $24OOo,OoO Has Been
Taken from the People and Given
to the Louisiana Cane
Growers.
Sugar Refiners Should Pay No Inter-
nal Revenue Tax.
ADMITS POWER OF THE TRUST

Washington, June 14-Mr. Henry o.
Havemeyer, president of the American
Sugar Refining company, was examined by
the Industrial committee today in connec-
tion with its investigation of trusts. His
testimony related almost wholly to sugar
industry and he opened with vigorous
attack upon the customs tariff, in written
statement which the witness had prepared
before making his appearance before the
committee, and which he read in a ringing
voice. His statement follows:
'The mother of all trusts is the customs
tariff bill. The existing bill and the pre-
ceding one have been the occasion of the
formation of all the large trusts with very
few exceptions, inasmuch as they provide
for an ordinate protection to all the inter-
ests of the country-sugar refining ex-
cepted. Economic advantages incident to
the consolidation of large interests in the
same line of business are a great incentive
to their formation, but these bear a very
insignificant proportion to the terms and
the way of protection granted under the
customs tariff. There is probably not an
industry that requires aprotection of more
than 10 per cent. ad valorem and it is to
obtain what is provided over such percent
age in the tariff that leads to the forma-
tion of what are commonly spoken of as
trusts
with protection to an industry not ex-
ceeding ten per cent all menace to the COM
munity of trusts would cease. This ten
per cent. would represent the difference in
cost of production and likewise act as
protection against surplus products of for
eign countries being dumped on our local
markets, thereby interfering with the
economic working of our industries. Any
advantages that might accrue to such COM
binations, they would be fully entitled to
and without damage thereby, as the price
would be met by foreign competition and
relief.
Sugar an Exception
ST have said that sugar was an excep-
tion. The rate of protection on sugar is an
eighth of a cent per pound which is about
per cent. ad volorem. and is not the diff
ference between the refining of this and
foreign countries. The least it should
have is per cent, or, In specific figures,
IA per cent. per pound, for the sugar refin-
Ing industry of this country. No matter
what it's organization is entitled to, equal
rates are necessary. There are at least
100000 people dependent upon it, What it
pays to it's stockholders represents moth
ing more than fair return on the invest
mert
"The United States tariff in assessing
about $40 per ton on imported sugar pays
into the pockets of few Louisianans in
their annual crop (25O,OOO tons, $1OO, 600; to
To, ;io, ;eIo oHal 60 h.
Chinese, on their 100000 tons, $4,000, ,OO0
Here you have s24OOO,OOO extracted from
the people of the United States for the
sake of getting revenue which $40 per ton
on foreign sugar provides. This is merely
illustrative of the whole tariff-every line
of it-and its effect upon the people. In
fact, the tariff bill clutches the people by
the throat and the governors and attorneys
general of the several states take action
not against the cause but against the ma
chinery which people emplay to rifle the
public pocket
There appears to be in the public mind
a distinction between robbery by an in
dividual and that done by corporation
What is commendable in an Individual ap-
pears to be dishonest in corporation.
~ maintain that it is immaterial to the
public in what form the business is done
whether by an individual, firm, corporation
or even trust. These are merely forms of
conducting business, or, in other words
machinery for the operation of business. 1t
is the duty of the government to see that
under the tariff laws they enact the ma
chinery cannot in its actions result to the
detrlment or impoverishment of the pub
lie.
An Internal Revenue Tax
at would have been easy and proper for
the government to have put a correspond
ing internal revenue tax on sugar stimuli
taneously with the imposition of the Gus
toms duty, and have the $24,00O,000 which
now goes into the pockets of few indi-
viduals, go into the treasury for the
benefit of the whole people. If no expenses
Of the government need to he provided for