The sun., 1908-04-18
SAYS THERE'S no PAPER TRUST
President Of international Company In-
Ntes an Investigation.

WASHINGTON, April 1.-THE international
Paper Company, the so-called paper trust,
bearded the antitrust lion in bis den to-day
when It's president, A. n. Burbank, went to
Herbert Knox Smith, the Commissioner Of
Corporations, and invited him to investigate
tho company AiterwArd Mr.. Burbank said
Il told Mr. Smith that as the agitation for
the removal Of the tariff on wood pulp and
print paper seemed to be based on state
ments made by Mr.. Herman Rldder and
others. many Of which refer to the affairs of
the international Paper Company az a
means Of showing the absolute inaccuracy Of
these statements would like TO have the
bureau Of corporations examine thoroughly
our books and records, and would give il
every facility for conducting q searching
investigation. Mr.. Smith replied that the
Department had It's hands full at present,
but later on IL possible he would like TO take
up the matter.
Chester W. Lyman OF the international
Paper Company, who was present spent a
half hour showing Mr.. Smith a summary
Of the oompany's business year by year
since It's formation in 1898 Mr.. Lyman
said:
Il showed Mr. Smith that our wood re-
Ceived 80 far this year has cost ll6 per cent.
more than in 1908 and ~ per cent more than
last year, while the average price received
for our paper 50 far this year In only per
cent. more than III 1898 and only per cent
more than last year. In answer to Quess
tionB put by Mr. Smith we told him our
export business netted us more than domes-
fhFpuUh .ttr
own employees and not through a selling
company that our company IL not what Is
known as holding company that II has
only paid . per cent, on It's preferred stock
aud its last dividend was on per cent.
basis
Attomey-Grneral Bonaparte has been
inquiring into the operations Of the paper
trust for the last several months In reply
10 resolution introduced by Speaker
Cannon a week VI so ago the Attorney
General said that little progress had been
made with this investigation. His reply
was altogether unsatisfactory to the leaders
in Congress, They have been harassed by
publishers who want a bill passed putting
wood pulp and print paper on the free list
az an effective means Of curbing the sO-
called paper trust
The announcement is made TO- day that IL
the Attorney. General does not soon show
ihdl something hnbstunlldl hds DeeU uOne
10 prosecute the paper trust us COM
blnatiOn ia restraint Of trade in case
the pending inquiry develops that IL II a
combination operating In violation Of law
Congress, will 60 into the trust busting
business on its own account Speaker
Cannon and Chairman Payne nf the Ways
and Means Committee insist that the tarih
has nothing TO do with the high price Of
print "apcr; that If the scarcity Of the raw
product Is not responsible for ii then the I
fault. lies with the paper trust which 10y J
combining factories and regulating output
holds the prices M 10 snit itself.
Speaker Cannon does not intend TO rush
into the trust husing game He really
has no desire to invade the field where
Administration officials gambol with 80
much delight. but il the Department Of
Justice does not soon act or announce
that under the law il has no authority to |
act he will offer a resolution providing !
for a searching inquiry by Congress com
mttee into the operations Of the lnterna-
tional Paper Company. This inquiry, IL !
held will touch upon the resources OF |
supply, the methods Of manufacture and !
the manner Of distribution Of the products |
OF wood pulD.