New-York tribune., 1906-06-13
WISH IMMUNITY BATH.
CHARGE OF III. W. TAFT.
Alleged Game Of Tobacco Trus
Men to lid Their President.

w CB ~ -fa Il fcfH fCcttChS.
For the second time within a week the federal
grand jury made presentment TO Judge La
oombe. OF the United States Circuit Court. yes
terday asking for the punishment as recalcitran'
witnesses of William II. McAlister, secretary
OF the American Tobacco Company; William e.
Ransom, secretary of the MacAndrews & Forbes
Company. and John s. Young. of the ]. S. Young
Company. of Baltimore The three men. according
10 Special Attorney General Henry w. Taft
brother Of the Secretary OF War, who is conduct
ing the governments investigation of the To-
hacoo Trust. have refused TO produce certain
material books OF the trust demanded by the
federal grand jury. These books Mr.. Taft as
serted, would show that the American Tobacco
Company, through the MacAndrews & Forbes
Company and the John S. Young Company, both
subsidiary corporations of the Tobacco Trust,
had a monopoly not only in the United States
but practically in the world, of the sale Of lico-
rice paste, article used in the manufacture
OF plug tobacco; that through their inability to
obtain this paste many minor and independent
companies were practically forced out Of the
plug tobacco manufacturing business.
Mr.. Taft also made the statement in open court,
in the course Of his argument yesterday, that
the three alleged recalcitrant witnesses had re-
fused 10 produce the books demanded, on the
advice Of counsel, hoping thereby to force the
government 10 subpoena as a witness Karl jung
bluth president Of the MacAndrews & Forbes
Company. The appearance Of President jung
bluth a grand jury witness would pract-
oaily give him immunity from prosecution by
the government for any violation Of the Anti.
Trust law. for under his constitutional privilege
he could not be forced to give evidence against
himself. Should indictments be returned against
him under such conditions, they would. under
all legal precedorts. be easily dismissed through
demurrers and ii is this situation Mr.. Taft IS
apparently endeavoring to avoid.
In the subpoena served on the three men they
were ordered 10 produce certain data, Mr.. Ran
som especially being cited to produce the minute
books Of the MacAndrews & Forbes Company,
as well as the letter press copybooks of the
same company from May to August 1904. Only
a part Of the data demanded produced by
the three men when they appeared on June 4.
A presentment was made 10 Judge Lacombe on
Friday last and Mr.. Taft asked that the three
men be punished for contempt Judge Lacombe
ordered them 10 comply forthwith with the re-
quirements OF the subpoena The grand jury
then adjourned until Monday, at which time it
was expected that the three men would again
appear and comply with the courts orders.
on Monday when, the grand jury met, Ran
som, Young and McAlister We're hand with
a quantity Of books and data When the grand
jury adjourned for the day and the three men
were not haled before Judge Lacombe for pun
ishment for contempt. it was thought they had
finally complied with the subpoena and produced
the letterpress copybook. which Mr. Taft
pecially wanted. But it seems that Mr.. Taft
yesterday found that the much wanted book
was not among the data furnished. Then there
was & hurried call for Judge Lacombe and
second presentment against the three men was
handed him.
De Lancey Nicoll representing the accused
men, declared that the books demanded con-
tained the personal letters of Karl Jungbluth,
> president of the MacAndrews & Forbes Com
pany. although it might contain well. he ad-
Initted. some business correspondence, but the
government had no right TO see copies Of Jung
bluth's personal letters.
Besides" said Mr. Nicoll Il will state frank
ly. Mr. Ransom has not the physical possession
Of this book. Why does not the government
subpoena the man who has it? Then it will
be produced
That is just IT," heatedly returned Mr.. Taft,
they are refusing, under counsel's advice TO
produce this book. hoping we will subpoena the
president Of the company, and render him i'm
mune from prosecution should violations of this
law upon his part be disclosed"
Mr.. Taft wanted to know If the court was
going to hold that by distributing its books of
Andrews Forbes Company should be in actual
physical possession Of Secretary Ransom,
among its various officials, the government
would be compelled TO subpoena these officers
thereby rendering all Of them immune from
prosecution. The government admitted he con-
unued, that the much wanted letter book might
contain some private correspondence of Mr.
Juhgbluth' but the major part was business let
ters ana important business letters. The de-
fence knew il and wanted to force them 10 call
Jungbiuth TO get the book
but Numbered MIR. Taft does the court
propose TO hold that president Of a corpora
Ton can, by having copied in his letter press
copybook a few private letters. render that book
immune from the governments examination
because, forsooth, il is his private correspon-
tiehce Why, your honor, a man knowing the
iellers he was about to write would be damag-
ing II produced in court could, if this contention
proves true. laugh the government to scorn bv
merely copying in the book a single privats
ltller such an act would defeat the ends of
5ustce, and render an examination into the acts
OF trusts violating the governments laws a
Judge LacomDe suggested that the letter hook
~ question be produced before him and that he
would examine IL and determine what portions
oi II were material. He then set the arguments
on the motion to punish the three men for con-
tempt down for Saturday at II 30 a. m
STEAMER HIT BY WATERSPouT.