New-York tribune., 1907-06-16
SUGAR FREIGHT RATES
FIGHT FOR EQUALITY.
Claus Spreckels offered Yonkers
Land to n. Y. c. for Square Deal.

Claus spreckels. president OF the Federal Sugar
henning Company, knew in 1905 that the New
York Central Hudson River Railroad Com
pany was giving rebates to the Arbuckles the
American and National Sugar Refining companies
and offered then to make a deal with the rail
ROAD company TO give it free of cost such land
lii fonkers belonging 10 the sugar company as the
rallToad company needed for the electrifcation of
the road in return for the same rates as his COM
pettors were getting, it said yesterday in the
answer filed by the refining company to the pro-
ceedings brought by the railroad connarv IN con-
denim the land.
The answer filed with County Clerk Leslie
Sutherland at White Plains Now Mr. spreckes
demands $S,393 70 for the land. which amount ne
says is the difference between the amount his
company paid for freight and the rates allowed
his competitors. In return for this amount he
says that he viii deed the land over TO the COM
pany. The railroad company has offered S4S3O,
which offer was refused, hence the condemnation
proceedings.
On January 70 Of this year Albert II Harris,
general counsel OF the railroad, wrote to the Fed
eral company asking on what terms the company
would deed the land needed IN front OF the plant
Mt Eonkers. The whole story Is told in the reply
OF the refining company under date OF March l,
1901, signed by Mr. spreckels. The letter refers to
the letter OF Mr.. Harris and then continues fol-
lows:
! would say that the board OF directors Of this
directed me answer You as follows: About two
lands. and we replied that we would give them
for nothing provided you would sign contract
carload lots of refined sugar that you were giving
fSe 70 our c9mpetltors namely the American sugar
uonal Sugar Refining Company; Your officers We're
the same rates that Won We're giving 70 ouT coI
petitors They stated positively and distinctly that
this company was getting as low rates as its com
These statements were made 10 me by F. L
T0eTGy y9aT tTao nc manageL Nathan Gqilf9rd
gus your president in charge of construction.
sci Your officers objected 10 signing such a CON
tract. because they said they not giving bet
contract would be reflection upon the honesty
good faith and business principles of your com
We wish &c. say we still willing to give you
out the declaTations and Representations made to
me and my company at that time by your officers.
against you by the United states goveTnment that
rebates and illegal dscrmnations to our compe
tors. Notwithstanding the fact that were heavy
Gated on your line Of road We have fgured out
the difference between the rates which we paid
you and the rates which we would have paid You
on our shipments Of sugar If you had given
the amount is 1928 70, We presented TO you on
smo1n n ' tJ Items @ IoT me aeoHe named
ager. on February l6 wrote Us declining to enter
Under these circumstances we reply 10 your
general counsels letter of January l9 1907 referred
10 above. by stating that we Will carry exactly
vey these lands to You for nothing, provided that
YOU give the same rates which you were then
giving TO competitors, which that YOU
now pay US the sum Of $ls,393 20
Continuing with It's answer. the refining company
says that it at all times ready 10 agree with
the railroad company for the purchase of the land
in question, and IS still ready do 50. on cond-
ton that the railroad company pay 70 il all
charges for freight made in of the
charged 10 Its competitors. The railroad company
in its petition states that the value OF the land
wanted is only 81 800 although # offers $3.50. but
the refining company, through Its treasurer Pierre
J. Smith. alleges that the value the land IS
$4,000 The sugar concern Is willing give II
the railroad company, however, in return
for contract that viii Insure II tho
for shipping freight that the Arbuckles. Amer
lean and the National Sugar Refining companies
getting.
The reply OF the railroad company to this answer
IS awaited, but II IS likely TO be filed for some
time. No commissioners have been named yet
To appraise the value of this land. Congressman
John e Andrus is named as codefendant in this
action he being the Of the land adjoining
hee clad