The Savannah morning news. (Savannah, Ga.) 1900-current, 1901-12-30
To BREAK UP TRUST
THE VIC. CHEMICAL COMPANY TO
BE AsSAILED.
SUIT BEGUN BY BELLINGER.
TO UPHOLD SOUTH CARoLINA's
ANTITRUST LAWS.

Suit Also Brought Against Six of
the Large Phosphate Companies
Now Controlled by the Virginia.
Carolina Chemical COmpany-Lat-
ter Now Controls Practically All
the Phosphate Mines, Fertilizer
Factories and Oil Mills of the
State.
Columbia, s. c., Dec. 19.7The state
of South Carolina, Through her Attor-
ney General, G. Duncan Bellinger, has
begun suit against the Virginia-Car-
olina Chemical Company, charging 1t
with being a trust and monopoly.
Under the same act that this suit is
brought, six of the large South Caro-
lima phosphate Sompanies chat have
been purchased by the virginia-Caro-
lima Chemical Company are sued in the
same action.
The Attorney General, in his COM
plant, sets forth that the Virginia.
Carolina Chemical Company has pur-
chased or obtained absolute control OF
phosphate factories and cotton seed oil
mills in every county in the state and
as it owns all except three or four mi
nor concerns, already has a complete
monopoly of the fertilizer trade in
South Carolina. He further alleges that
the. same company, to further SECURE
it's monopoly and shut off competition,
has obtained control of most of the
phosphate producing lands in the
coast counties 1t is further al
legged that having control of the cot
ton seed meal which is largely used as
fertilizers, and the phosphates, the
virginia-Carolina Company now fixes
the price of fertilizers that the far
mers must buy, and in proportion as
it advances them, it reduces the price
of cotton seed that the farmers are
forced to sell to it's oil mills, having
no other market.
Has Paid out Millions in state.
The Virginia Carolina Company has
paid out in South Carolina for the
fifty-five or sixty mills and factories
that it has acquired, upwards of five
million dollars. The law provides that
it is illegal for a monopoly to exist
and that the acquiring of competing
| concerns for the purpose of getting a
monopoly is Illegal, null and void.
1t is for the state to establish in her
own courts. therefore, that the Vir-
ginia- Carolina Chemical Company is
a monopoly or purposes to control the
fertilizer trade in South Carolina. This
being done the process provided by the
act of the last Legislature, would re-
quire all the fertilizer and oil mill COM
panies that have passed under control
of the monopoly or trust, to resume
control of the properties, refunding to
| the Virginia. Carolina Chemical Com
pany the amounts paid for the proper
| ties. Pending the resumption of busi-
ness by the domestic companies, re-
ceivers appointed by the state courts
will take charge of and operate the
| properties The charter granted the
| Virginia. Carolina Chemical Company
all foreign corporations having to be
chartered in this state before doing
business-will then be Immediately
cancelled and the company will be ex-
| cluded from this state.
Some Difficulties in the Way.
The attorney general is confident he
can establish his claim that the Vir-
ginia- Carolina Chemical Company is a
monopoly, but is in doubt as to whether
| the act can be carried out in it's de-
tails. Just how, for instance, money
is to be refunded to individuals who
have sold their stock and spent the
money, or invested it in another state,
and who have no money within reach
of the courts, is a contingency that the
Legislature did not provide for. The
outcome would seem to be that the
state would be operating many of these
mills through receivers, who would
lack capital, while the Virginia. Caro-
lima Company would be barred out OF
the state, and at the same time would
be unable to get reimbursed for the
| property taken out of it's possession.