Los Angeles herald., 1910-11-17
IS FINED;
WILL CUT WAGES
Department of Justice, Angered
at Glass Combines Menace,
May Ask Jail Terms
(Associated Pressl

WASHINGTON, Nov. 16.-The de-
partment of justice today took notice
Of a newspaper dispatch from Pitts
burg that the corporations combined in
the so-called window glass trust" had
served notice upon employees that a
wage reduction of 80 per cent was the
only condition under which the fac
tories could continue to operate.
The dispatch further said the cor
porations attributed this ultimatum
directly to the imposition by the fed
eral court OF fines upon the company,
and upon it's officers and directors in
dividually.
The department tonight issued state
ment outlining its view of the mat
ter, and incidentally intimating that
the reported action of the corpora
tions, If substantiated, would indicate
a very mistaken leniency on the part
of the court, which it is hoped, would
not be followed on any similar occa-
sion."
This intimation is interpreted here
as indicating an intention to insist in
similar cases upon jail sentences, rath-
er than fines.
Attorney General Wickersham ex-
pressed Indignation at such statements
and strong doubt of their reliability.
The statement Of the department
says:
THE evidence obtained by the de-
partment shows that the Imperial win
dow glass company was organized in
April, 1909. 1t manufactured no glass,
but was purely selling agency buying
the entire output of fifty or more man
ufacturers of window glass in some
ten different states.
MANUFACTURERS OWNED STOCK
"The agreement between it and the
manufacturers from which it bought
provided that no glass should be sold
by the latter except to the Imperial
Window Glass company. The stock of
the company was divided among the
manufacturers.
"It was not until the company had
brought into combination with it, un-
der such contracts, manufacturers of
about ninety-seVen per cent of the en-
tire handblown window glass manu-
factured in the United States that it
was determined to commence business.
1t began business in January, 1910.
"By October 1, 1910, prices had been
advanced seventy per cent over what
they were in April, 1909. The evidence
showed that in the first three months
of it's operation, the Imperial company
earned net profits equal to its entire
capital stock.
"The largest advance in prices was
subsequent to this initial period, and
the evidence showed that in the ten
months of it's business, the cOmbina-
tion cleared about one million dollars,
or four hundred per cent, on its capt.
tai stock.
"It leased fifteen factories at high
rental for the sole purpose of keeping
them closed and removing their prod
~ 40 c
during this period were $l3S000 for one
year for leases and watchmen of these
closed down factories.
DIRECTORS ARE INDICTED
Indictments were found against the
fifteen directors and officers of the
company, each one of whom was either
president or officer of one company:
who had entered INTO agreements to
sell their product only to the Imperial
company. Demurrers TO the indict-
ments were overruled and the case was
set for trial in Pittsburg on Monday
November IA.
"A few days previous overtures were
made to the attorney general on be-
half Of the defendants suggesting that
they would plead nole contendre, the
subtle equivalent of a plea of guilty
provided the attorney general would
agree to recommend to the court thar
only fines be inflicted.
"This was refused, as the attorney
general considered, and so stated to
the defendants counsel, that the COM
bination was one Of the most flagrant
violations of the antitrust law which
had been brought to the attention of
the department.
"The attorney general further in
formed counsel that he had given di-
rections to have the cases pressed for
s.NF 70 I1n fTF9ga aif ~
of sentences of Imprisonment upon
the principal offenders in case OF con-
viction.
"The following day the defendants
appeared in court in Pittsburg and
interposed pleas of nolle contendre,
and despite the opposition of the dis
trict attorney and Special Assistant
Grosvenor the court only fined each
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