New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-08-06
POOL Of MATCH MAKERS
UNDER FEDERAL SCRUTINY
Government Has Been Looking
Up Standard Wood Company
and Its OoingS.
SMALL MEN TELL OF RUIN
Their Complaints Led to Long
Investigation, Beginning in
Maine and Growing After
It Came Here.

-. combination of corporations.
among them the Diamond Match COM
many and the Standard Wood Company,
he,5,inr bundle wood, has nearly
t.en oon7nleted by the Department OF
,,s,,ce II res,11ted il was said yester-
6av In the discovery of a pool In char
acter similar TO the cardboard trust
agreement. and of a hard and fast inter-
relationship into which no outside con-
Germ could break. Any concern that
ventured into competition was smashed
It was said. yesterday.
Georee T Whvte. secretary of the
standard Wood Company. was before
the federal grand jury yesterday lie
VIII he the only officer or director of the
twenty or thirty firms and corporations
directly interested in the so-called pool
10 be called as witness. He was De
fore the investigating body for nearly
Two hours. and when seen later sald
that he and his associates were READY
to give the government any and All IN
formation Il might wish TO have Inc
government already has all the evidence
IN the case
The bundle wood pool covered the
New England States. New York. New
Jersey and Pennsylvania According TO
the complaints received from twenty
competitors who are no longer in ousl-
ness the methods used to eliminate op-
position were simple, but as effective as
snv ever invented in the anti-compeu-
tive field The government counsei
would not disclose these methods yester-
day. but recital OF their effectiveness
will be made when the papers are drawn
Directors Not interchangeable
The Standard Wood Company is CAPT
talfzed At 81 10000 and the Diamond
Match Company at S16.61,on- Their
directors are not the same. nor are there
any men on the match Company's board
who are on the wood companys direc-
-orate Nor. so far as could be learned.
are the men interested In either Of the
big companies directly investors IN all
~ +he concerns that are alleged TO be
in the pool. But there were agreements,
contacts understandings, no two alike
il was said. but all of such binding
character that there was no getting
away from them
The central concern was the Standard
Wood Company. It was the operating
selling agency. purchasing agency, de-
i,verins medium, and on. swinging
the whole big business without single
hitch. so far as the companies in the
e-reer7ent were concerned. The Standard
cor11panv's officers are Joseph w Bla1s-
6eIl. president: George T. WhyIe. secre-
and Philo c. Blaisdell. Aaron ". Kellogg
snd Andrew II. and George 7. Whyte.
directors The Blaisdeu family does own
other companies in the agreement, nota-
bly, the BlaisdeIl Machinery Company,
Of Bradford, Penn
The Diamond Match Company handles
2 good deal of bundle wood, and much
Of il has gone to the Standard company.
Then there are the keystone Company,
the Boston Bundle Wood Company,
Bruins & Johnson and the Green Manu-
featuring Company. long list Of
minor concerns follows, all revolving
around the Standard WOOD Company.
When the latter company was organ
ized about ten years ago to handle all
The products OF the companies bound in
The pool its capital was made $1,000
Gol. but since that time, ii was said
YESTERDAY. the concern had purchased
hack the stock issue to within 100000
81 the total and 1t has paid dividend
Of per cent right along.
Complaints Lead to Actions.
II was not the magnitude Of the bust
ness nor the extensiveness Of its opera
7ions that led TO government action, but
the complaints that We're received con-
tanned evidence Of such q character that
4 was felt that investigation was neces-
ssry. and. II the complaints Were borne
out. prosecution inevita BILE
The investigation was begun in
Maine nearly a year ago. Only three
companies could be connected as in
pool BY the counsel for the government
there, II was said. and the case was sent
10 this city. The cardboard trust was
being attacked when the papers We're re-
ceived. and the similarity between the
two ventures was marked at the time.
Here as the inquiry proceeded company
after company was added to the pool
until the territory from Maine to Penn
sylvania had representation. Concerns
outside Of the pool figured as ruined
compliments
No two agreements Were alike. ii was
soon found. but each bound the company
making the compact close to the central
BODY the Standard Wood Company and
indissolubly possible The govern
ment has the papers covering the opera
itons of the pool or trust from its incep
ton. il is said. The documents were OBJ
tanned on subpoena largely, but some Of
the most important were furnished by
Ire complaining former competitors.
When Mr.. Whyte was seen yesterday
he would not say that he had been be
fore the grand jury. He said he believed
that the governments inquiry would re-
suit Ia no prosecution. All his COM
pany's business. he said. was legitimate
and there was no semblance OF restraint
practised on other concerns. The Stand
ard Wood Company had handled wood
from the Diamond Match Company.
Is there anything to prevent us from
buying bundle wood where We choose
I'D selling il 10 whom we choose?' Mr.
Nhyte asked
We have 4 right Ia do with our
goods what We choose 20 do" he con-
! unued. we have informed the United
states Attorney that We wish to con-
form To the law and have asked that
ne define the requirements Of the Sher
man act SO that We may conform our
business 10 il. If il does not do so now.
We have not sought to eYade the law,