The San Francisco call., 1910-05-18
GRAND JURY'S
EYES OPENED
TO CONSPIRACY
Witness Tells of Catches Diyid-
ed and Fish Destroyed TO
Maintain Prices
Out of Town Dealers Disciplined
for Buying Below Quota
tiOns of Monopoly

With new evidence brought before
the grand jury, District Attorney Flick
ert established a complete case against
the fish trust yesterday, showing in de-
tail the conspiracy to restrict trade in
violation Of the Cartwright law. From
now on it viii be only a question of
getting witnesses on record to prevent
another such experience as nearly
turned the legislative committees in
vestigation into a farce last March,
when A. Palsdini, the millionaire fish
man. sat i'm front of the witness stand
and Influenced testimony with his eyes
COMBINE EXPOSED
The grand jurors, to whom the plot
had been outlined last Thursday night,
were in session yesterday afternoon
and evening examining the new wit
nesses in the case found by The Calls
investigators. They learned from Cap
tain Hans Sand and Engineer Charles
Whitlock of the agreement as TO deep
sea fishing between the Western and
Paladini companies. how the catch was
limited by dumping the excess at sea
and how the concerns fsbed on alter
nate days and divided the results.
business and from f. J. Edwards and
George Franchi OF Oakland and P. J.
Augustiny Of Alameda, retailers, they
learned of the blackmailing tactics
pursued by the trust against patrons
of the independent fish dealers. +. L.
Kinsley and i. J. Brady of san Mateo
exposed the trusts method of Juggling
prices, while Peter Rasmussed, former
superintendent, and Charles Kempf and
Jack McHendry, teamsters, gave direct
evidence as 10 the tons of fresh fish
worked UP daily into glue at the
X L. Q. factory in order to keep up
market prices.
COMMANDED TRUST TUG
Captain Hans Sand, like Engineer
Charles WhitlOck and Captain Anders
Johnson, is another trawling tug man.
Captain Sand commanded Paladinis
steamer Henrietta from November, S0s
10 September 23, 1909. 4 period which
both proceeds and follows by several
months in each case that in which the
independent fish trawling company was
in business.
While the Independent was competing
against the trust. Sand says the fish
boss was instructed to bring in all the
fish the tug could carry. But upon the
Independents failure on July 80 last
the boss ordered but one haul a trip.
More than this, after a week or two:
the Henrietta and its companion tug
were laid up on alternate days. While
Paladini's boats were idle. the Western
would be fishing. The companies split
their catch with each other at the end
of each day.
Further proof OF the criminal aIli-
ance between the Western and Paladini
is shown in the fact that Sand has seen
fish brought in at the wharf and later
dumped at sea, so s to limit the mar
ket.
The three tug boat men. who ap-
peared independently of each other.
save the jury precisely the same ac-
count as to the tricks of the trawling
business.
PUT OUT OF BUSINESS
The testimony of Faenzi reviewed
the struggles of the Portola company
which was blackmailed out of business
last January after a struggle of three
months. lie lost 81 500 in the venture
which was similarly suffered by his
partners. @. Gigi and A. Puccini. Be
sides recounting the numbers Of Gus
toners who dropped away because of
threats by the trust, Faenzi threw light
on Paisdini's profits in the crab bust
ness. Through an agent at Eureka
Paladini has now a monopoly on the
crabs caught there, which are the
largest and best in the market
Kinsley runs the Peninsula market.
and Brady the Palace market at San
Mateo, and were thus able to give in
side information as to the control of
prices by the trust.
The main point brought out by Kins-
ley was that he was able to import
salmon at a saving of from to 3
cents a pound over the exactions of the
Western and Paladini. His purchases
we're made from a CapitOla fisher, who
also sells to the trust
PRICE OF SOLEs BOOSTED
Begfore the fire Kinsley bought soles
at so cents box. After the trust was
formed ne had TO pay the usual trust
prices without the benefit of the reduc-
tion made in San Francisco during the
fight against the independents
Brady bought sea bass from the
santa Cruz FISH company at cents 2
pound, against the 10 cents a pound
asked by the trust for inferior fish.
The purchase Of fish from outside
points, including salmon from Sacra-
mento and halibut from Seattle. caused
clash between Brady and the trust
Unless he bought all varieties from the
trust dealers he was told by an agent of
the Western that his supply of soles
and sand dabs would be cut off
The evidence Of Augustiny, a retailer
OF Alameda, was much the same as that
an ---0tSo 4AlSi- <AuSuStiny
saved himself 5 cents a pound last
summer By getting his salmon and sea
bass from Perez Brothers of Santa
Cruz. He was also warned he must
buy all Of his fish from the trust firms
or be denied soles and sand dabs. The
threat applied as well against halibut
shipped from Seattle
Perez Brothers established a branch
in Oakland. but were forced out of
business. AS in the case of the Por
tola. their customers found their supply
OF soles and sand dabs cut off, and
went back TO the trust
COMMON EXPERIENCE
Franchrs experience was a common
one at the time the Portola companv
was IN existence. His business had
been asked for by Puccini, who offered
salmon and halibut at from 3 to
cents cheaper than the trust. Franchf
gave small order to be delivered by
Wells Fargo. On the following morn
ing he was called up on the phone by
Maggie, manager Of the Oakland branch
Of the Western. Maggie, who is his
brother in law, knew of the deal and
said he would sell no more fish to
Franchi. Franchi then rang up the
Portola by long distance to cancel the
order. He learned the fish had already
been shipped. The best he could do
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