The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-07-10
BOnaparte's New Plan of Attac]
Is Inaugurated.
Petition Against the TObacc,
Combine Is Filed.
WIDE IN IT'S SCOPE.
About 60 Companies and 2s
individuals Included.
Details of Organization and
Operation Are Set Forth.


New York, July 10-The govern
ment today filed in the United States
circuit court in this city a petition
against the American Tobacco COM
pany, the Imperial Tobacco company
the British-American Tobacco com
pany. the American Snuff company
the American Cigar company, the
United Cigar Stores company. the
American Stogie company, the Mac
Andrews & Forbes company, the Con-
ley-Foil company and fifty-six other
corporations and twenty-nine individ-
uals Connected with the named COM
panies. These corporations and indi-
uals connected with the named COM
known as the Tobacco Trust and the
petition directed against them sets
forth the purpose of the government
to dissolve this trust by breaking up
the agreements under which the con-
solidated concerns are working. In
showing the growth of the trust
since it's organization in 1890, the con-
clusion is reached that at an early day,
unless prevented. it would completely
monopolize the entire tobacco in
dustry.
That all of the defendants are en-
gagged in Interstate and foreign trade
manufactured therefrom is alleged by
the petition. 1t is stated that the act
of July 2, 1890. Ito protect trade and
commerce" and subsequent acts have
therefore seeks to prevent and re-
strain the unlawful existing agree
ments, combinations and conspiracies
and attempts to mOnOpoliZe, and break
up perfected monopolies. The govern
ment asks that the existing combina-
tions, consPiracieS and monOpolies be
enjoined and that each of the defend
ant companies be- restrained from
holding or controlling stock in any
other 1t is asked further that the
Imperial Tobacco company be enjoin-
ed from doing business within the jur-
isdiction of the United States until it
shall cease to observe the terms of it's
agreement with American companies;
that certain of the defendants be de-
trade and be enjoihsd from engaging
in interstate andN foreign trade and
commerce or that a receiver be ap
pointed to take charge of their affairs
and administer them so as to bring
about conditions in harmony with the
History of the Trust. "a
The organization of the tobacco trust,
according to the petition, dates from the
formation of the American Tobacco
company in 1890 to acquire five COM
peting cigarette manufactures with
joint assets much less than $25,000,000
and an annual consumption of leaf un-
der Is million pounds. The petition
,
ment and growth of that company until
its total assets now exceed $275,000000
and likewise the origin and manipula-
tion of scores of created, acquired and
controlled corporations utilized as agen-
cies to accomplish the general design;
the progressive absorption and elimina-
tion of competitors and destruction of |
formidable opposition; and the entry |
by defendants into various departments |
of manufacture and trade, domestic and |
foreign, into tobacco products with in |
tent to monopOlize.
The allegation is made that the mem |
bers of the combination have divided up |
the tobacco business of the world, as |
signing to each some special territory for |
exploitation. 1t is declared /
that the consolidated corporations an |
nually purchase ATS million pounds of |
domestic leaf and of the total produced /
in the United States manufacture, sell |
and distribute more than 280 million |
pounds, so per cent, of the smoking and
plugS tobaccos; 95 per cent of the snuff;
so per cent of the. cigarettes; rs per cent |
of the small cigars; 95 per cent of the
licorice products; 80 per cent of the tin
foil products and 10 to Is per cent of the
cigars and stogies; that they are rapid
ly acquiring control of the ordinary
wholesalers and re-
which tobacco products
are distributed.
OF the total annual production of do
nestle tobacco, estimated at S00,000000
American Tobacco company and its as
sociates and it's allies at prices which
The government alleges to be unlawfully
Influenced by the combination. 1t is
said that this is in defiance of the usual
avs of trade where open competition
oy many separate and Independent con-
,erns controls the prices.
Began With Cigarettes.
The petition continues:
'sThe American Tobacco company of
New Jersey, organized in 1890, with $685.
zoe. 900 capital took over the business
# Allen & Ginter of Richmond; w.
Duke Sons & Co.. of North Carolina; |
,all & Co., and Goodwin & Co., of New
FORK. and thereby acquired control of
he manufa cture, trade and commerce in
cigarettes. 1t was Immediately success
ul and shortly after its formation the
Interested parties began to extend its
,perations and with others united from
ime to time have steadily sought
Trough it to acquire dominant power
nd to monopolize the different branch
s of the tobacco industry. This COM
any has the principal agency through
which the designs of the combination
ave been accomplished, but many diff {
erent corporations have been organiz-
d. the control of many others has been
ecured and in various ways these have
cen manipulated and utilized.
THE operations of the MONOPOLY ac- I
ording to the petition have been along
his general plan: To acquire through '
ther confederated companies the bus '
ness of successful opponents, taking
rom owners and managers power
hereafter to engage in the tobacco
usiness; to drive out other opponents
v destructive competition; to deter
nv who might wish to engage in the {
rade; and finally to gain control of the {
gencies through which tobacco prod
cfS were distributed. 1t is said fhaso | {