The Washington herald., 1907-07-03

Attorney General Bonaparte is con-
Quoting a vigorous investigation with a
view 20 dissolving the Guggeuheim
smelter trust This investigation. which
was personally ordered by President
Roosevelt, has proceeded as secretly as
possible, and efforts have been made 20
prevent the American Smelling and Re-
lining Company-the parent corporation
Of the smelter trust-from discovering
that they are about 20 be placed on the
hot grill Of the governments trust
busters. These Efforts were unavailing.
however. and the trust managers know
of the inquiry
The scope Of the investigation includes
not only violations of the antitrust law.
but also the relationship sustained by the
smelter trust toward the railroads which
traverse the country in which smelling
ores originate.
Submitted 10 President.
It is known positively that about four
months ago a statement was submitted
personally 10 President Roosevelt. in
which it was alleged that the Guggenheim
smeiter trust at the present time approxi-
mates absolute control Of smelling in the
United States; that the trust has become
so powerful that it is able to dictate ore
rates on the rail lines agEregating thirty
60 forty thousand miles. which are con-
troiled by T. II. Hartman and James J.
Hil, that the independent miners have
been crowded so closely TO the wall that
many Of them must either 90 into
bankruptcy or submit 20 the terms Of the
smelter trust
Il is also known authoritatively that
the Independent mining interests have
been advised Of this Federal investigation.
and have taken preliminary steps toward
the formation rival smelling cor
p7baion. pine & assurances have been
,H m. Diu'l 'ful Wall street fnanciers
t.... nl htal VIII De forthcoming for
stiea-sn enterprise.
GugenheiIu Bros. in Control.
The American Smelling and Refining
company. which was incorporated in New
Jersey IN 1859. IL controlled by the Gug-
genheim Brothers. ones Of whom IS Simon
Fusgenheim. the newly-eIacted Senator
rom Colorado to succeed Thomas N.
Patterson. It has authorized and issued
J0M00Q Of common stock and N0.0O.OgO
f : per cent cumulative preferred stock.
Since December, 1893 dividends have been
/ paid and al the present time the COM
/ mon stock earns per cent and the pre-
1 ferred ! per cent. as provided for in the
/ certificates.
! When the American Smelling and Re
/ fning Company was organized II acquired
/ a large number OF smelling plants in Col
orado. Montana. Nebraska. illinois, Utah.
I Mexico. and other localities. and two
years later took over the plants Of ".
! IGuggenheims Sons. in Pueblo Colo:
/ MOnt9ry and AEUasCalientas. Mexico and
/ Perth AmbOy. y J. II also owns the
control of the United States Zinc Com
pany. at Pueblo and all the stock Of the
/ American SHELTERS Steamship Company,
which operates steamers In the smelt-
/ ing trade between New York and other
ports in the United States and Mexico.
Securities Company, Too.
The Guggenheims also control the
American Shelters Securities Company.
which was organized to take over the
properties OF the Guggenheim Explora-
ton Company, and others. and has
capital stock Of 100000 the majority
Of which is owned by the American
Smelling and Refining Company. In this
corporation Senator Simon Guggenheim is
a director.
/ Another most important smelling CorpO-
ration controlled by the Guggenheims
is the Federal Mining and Smelling Com
pany. with S3100000 authorized capital.
which is owned by the American Smelt-
ers' Securities Company and which oper-
Iates under d contract with the American
4 Smelling and Refining Company to sell its
entire output 10 that concern for six
years. from September. 1908.
All these GugEenheim corporations have
been adroitly financiered, so that there
are against none Of them any outstanding
bonds. excepting Zoo, assumed by the
American Smelling and Refining Com
lpany for one Of the constituent Compa-
lnies taken over when the merger was
effected
Traffic Arrangements.
The smelter trust effected traffic ar
Irangements with the Hill and Hartman
lines. whereby the traffic manager Of the
trust in New York. 81 Eccles. must first
lapprove an ore rate before II became ef-
fective on either Of those railway sys-
tens. This agreement was not entered
Into with good grace by the railroads
mentioned, and their traffic managers
Welded. so they have asserted, only be-
cause the smelter trust has the power to
divert ore traffic as it will
Il is asserted by those who have gone
Into the matter that the smelter trust
swung over the heads of the railroad
Imagnates precisely the same sort Of club
with which the Standard Oil, i'm former
Years. compelled the giving Of rebates
Prominent in the odiciaries Of the con-
stitueut GuCgenheim Smelter Trust COM
panies are. American Smelling and Refn-
ing Company. Isaac Guggenheim. Edward
Brush. William +. Morris. Daniel Guggen-
helm. Morris Guggenheim. Solomon R.
Guggenheim. Grant b. Schley, New York:
/; GUY c. Barton. Omaha: J. g. Grant.
David H. MofTat. Denver: Henry L. Hig-
rineon. Boston. Nathaniel Witherell,
Greenwich, Conn.
American Smeltevs' Securities Company
Senator Simon Gugsenheim. Colorado
Daniel Guggenheim. Murray Guggenheim,
. NJ. Robert Guggenheim, New York
q Federal Mining and Smelling Company
George J. Gould. Fred 7. Gates. f. Par
malice Prentice, John d. Rockefeller jr.,
New York; Charles y. Warren. Toronto.
5 At least fifty others prominent In the
b nations finances are listed among the
companies officers IN a score Of cities
/ east and west.
Iutimations have been given that the
government has proceeded FAR enough 70
= Law the foundation for indictments against
i members of the offciaries, the allegation
! being that they have been guilty OF eon-
blnahon IN restraint OF trade.