The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1909-12-31
Attorney General WickaSIrf
Presents Brief in Casa
v|OLAToR OF THE S.Au
Methods of the Trust Are Shown in
Buying Out Competitors and in
Cutting Prices and Destroying
Competition.

Washington, December i3o.-In printed
brief of 22s pages, Attorney General
George W. Wickersham and his special
assistant, ]. c. McReynolds, today pre-
sented 10 the supreme court of the
United States the case of the government
in the famous antitrust tobacco suit,
which VIII be argued next week in that
court. The cases were tried In the United
States circuit court for the southern dis
trict of New York, which, after dismiss
ing the petition as to foreign tobacco
companies, and some of the subordinate
American companies, adjudged others to
be parties to an unlawful conspiracy and
enjoined them from continuing their oper-
atoms and from engaging in interstate
commerce
The Attorney General takes the position
that these findings, sweeping as they
seem to have been, were not broad
enough. and he asked the supreme court
to so extend them as to widen their scope
and take in the foreign companies and
some individuals who were relieved from
the operation of the verdict. Many other
extensions of the judgment are also re-
quested.
After showing that in 1890 competition
was free, the various coalitions are traced
in the document, and facts are given, to
show the combine has continued to grow
A.. a.. 2 tna ona -
is asserted that the combine manufactures
all OF the cigarettes for export and al
most three- fourt)ls OF the smoking tobac-
co, ans The cigarettes fer domestic
lie more than three-fourths of the plug,
twist and fine cut tobacco and almost all
of the snuff and little cigars that are
made. 1t is declared that "the defend
ants have persistently exercised duress,.
have practiced wicked and unfair meth
DDS and used their great power in op-
pressive ways Further it is asserted
that they have been actuated by fixed
purpose to destroy competition and OBJ
tain monopoies.
Competitors Gone.
Competitors have gradually disap-
peared and the combination, now strongly
entrenched, unduly restricts the business
of those in the trade and prevents others
from entering"
Putting aside, for the time the effect
which the suit was brought, 1t is con-
tended that the combination under the
name Of the American Tobacco company,
was Illegal when it was entered into in
1890 because 1t was contrary to the COM
mon law. Contending for the right of
Congress to enact antitrust legislation. 1t
is asserted that the essential pur-
pose of the Sherman law is to
prevent injury, not merely to reverse
eral also lays down the general propo-
sition. that ''the right freely to buy and
sell property is not a fundamental civil
right to be exercised without limitation
as Interested parties may determine"
And he adds the assertion that .it is
subordinate to public policy and the law
the expressed will of Congress"
Control Over Jobbers.
Referring to specific Instances relative to
the operation Of the trust. it is declared
that substantially all established jobbers
in New England were induced to throw
out independent products as were those
of Philadelphia, New York and many
other specified places. 1t is asserted that
independent jobbing in New York was de-
stroyed by the organization of the Met
ropolitan Tobacco company, which was
given an exclusive agency for the sale
of the trust goods. 1t is also asserted
that 'ebush-whacking" methods were re-
sorted to. in the use of union labels. and
the method in this proceeding Is denied
as 'iniquitous' and one such as is I'm
hibited by civilized conscience" Indeed
It is declared that the record contains
much evidence and a vast deal of corre-
spondence concerning the operations of
the bushwhacl1ing companies which dis
close amazing depravity and show with
clearness how these sinister agencies
were effectively utilized.
Methods Of Trust.
The methods Of the trust are referred
to as a means Of influencing both busi-
ness and public sentiment, and 1t is said
that not less than ten million dollars
were expended in this way in the single
year Of 1906 The Attorney General in
terprets the complaint as not merely di-
rected to the acquisition and ownership
of stocks or other properties but as
against the company's operations in COM
merce.
Competition has been persistently de-
stroyed; scores of contracts have retir-
ed men from the trade; many have been
forced out; and the result of the plan
long followed has been to give defendants
power to exclude others and exercise
monopoly"
He seems inclined to the view that
receiver should be appointed for the
business Of the parties to the combination
and he adds:
THE very existence of certain defend
ants is criminal and certainly they can
not rightfully complain because restrain
ed from carrying out their unlawful pur-
poses of their creation; they are wllfully
in a position where every act Is trans
gression''
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