The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1908-06-22
Twenty Four Manufacturers of
Manila Wrapping Paper
Had Pleaded Guilty to Main
tanning an Illegal Combine.
WORK OFJOHN NORRIS
Agent of Newspaper Publishers
Association.
He Made the Complaint That
Started an Investigation.

New York. June 22-Twenty-four
companies manufacturing manila
by Judge Hough in the United States
circuit court today. They pleaded
guilty on Friday last to maintaining
an illegal combination in restraint Of
traoe. They were members of the
Manila and Fibre association.
In imposing the fines Judge Hough
SAID that the combination of paper
manufacturers was a clear violation of
the Sherman antitrust law, but be-
cause of extenuating circumstances he
would impose fine only. The COM
pan1es have arranged to pay their fines
through their counsel.
The case against the companies was
instituted through the instrumentality
or the American Newspaper Publish
ers' association for which John Norris,
panies composed almost the entire
membership Of the combine of paper
manufacturers, which was organized
by John H. Parks in 1906. On COM
plant of Mr.. Norris the federal grand
jury began an Investigation of the
combine two months ago and on Fri
day last returned indictments against
Parks and 25 companies. District At
torney Stimson. who had charge of
the case stated in court that in view
Of the fact that the companies had
saved the government expense by
pleading guilty, he would be willing
that light fines should be imposed.
Counsel for the companies declared
that the combine was formed two
years ago to save them from bank
ruptcy because Of the methods of
agents for consumers who he alleged,
favored first one group of paper mills
and then another. in order to cut
prices Counsel also declared that the
combination was dissolved when 1t
was learned that the association came
within the provisions of the Sherman
law.
Joseph Norris. chairman of the COM
mittee 6f the American Newspaper
Publishers association Investigating
newsprint paper conditions, describing
the case against the wrapping paper
manufacturers. who were fined today
said:
I'm September, 1906, % fibre and
manila mills formed the manila and
fibre association of which John H
Parks was made manager. Immediate
ly after the formation of the associa-
ton the production Of paper dropped
from $4,000 to $4,000 tons per quarter
and the price of paper was advanced
S. ton. Other advances followed un-
til the price had been raised $16 ton
The admitted profit of the pool was
81, 600 annually.
One known as John Smith.
Zone Of the companies which pleaded
guilty is the Continental Paper Bae
company, which figured in the record:
of the association as John Smith Il
| is the selling agent OF the Internationa
Paper company, the officers of which
| testified before the Mann committee o.
| the house Of representatives that the
company was not interested, directly
| or indirectly, through the selling agent.
| or otherwise in any pool or agreement
| to restrict production.
'"The Petrosky Fibre company, an.
other member of the association was
prohibited by the federal court from
| joining any pool or agreement to re-
strict the rate at the time of the dis
solution of the General Paper company
| of which combination it was a mem
Der. The company did not figure in
| today's verdict, its case having been
referred to the attorney general on q
contempt Of court charge.
John H. Parks. the manager of the
Manila and Fibre association also ran
| four other pools or price associations,
as he called them. From these he drew
an income of S150,000 annually. Wher
| the present investigation opened Parks
| fed to Europe and has been there ever
since. He is the only individual un-
| der indictment. The other indictments
| were preferred against the companies
| interested"
| Companies That Pleaded Guilty.
| The following companies pleaded
guilty. through counsel to violating the
| Sherman law last Friday:
| Analomink Paper company, North
| Water Gap, Pa, Bayless Pulp and
Paper company, Austin, Pa; Bedford
Pulp and Paper company. Big Island
| Va; Brownville Paper company
Brownville, n. Y; the Champion
Paper company, Carthage, N. Y; Cen
trail Paper company, Muskegon
Mich; Continental Paper Bag com.
pany. WATERFOWL, N. Y; DeGrai
| Paper company, Pyrites, N. Y; the
Dexter Sulphite Pulp and Paper com
pany. Dexter, N. Y; Detroit Sulphitt
| and Paper company, Detroit, Mich.
Fletcher Paper company, Alpena
Mich, Gould Paper company, Lyon:
Falls, N. Y; Hartje Paper Manu-
featuring company. Steubenville, O..
the Island Paper company, Carthage
N. Y; the Island Paper company
Kenasha, Wis; the Jefferson Paper
company, Black River, N. Y; New
ton Falls Paper company, Newton
Falls Vt; Orono Pulp and Papel
company, Orono. Me-; the Parson
Pulp and Paper company, Parsons, w
Va; the RachQuette River Pape
company. Potsdam, N. Y; the Yorl
Haven Paper company, New Haven
Pa: Meyer & Pratt. Lyons Falls, n
Y, and Munising Paper company
limited, Munising. Mich. In addition
to the % companies that pleaded
guilty last Friday. one other, tn
| Allan Rrofbera company of Sand,