The Birmingham age-herald., 1911-07-23
TESTIMONY OF SPRECKELS IS
 SENSATIONAL Describes VicissitudeS of an Independent Sugar
 Refiner
GIVES DETAILS OF GREAT SUGAR WAR
Rats Thrown in Barrels, Machinery Wrecked. Barred From Louisiana Markets Were Just Some
 of His Troubles

New York, July 22-Claus Augustus Spreckels, son of the late Claus Spreck els of California and principal owner of the Federal Sugar Refining com pany of Yonkers, N Y, today gave the most sensational testimony that has developed before the congressional committee Investigating the sugar trust during the hearings here.
 Besides giving most important sidelight on the conference between John Arbuckle and the late Henry 0. Havemeyer. which is believed to have ended the great sugar war, he de- scribed under oath the vicissitudes of an independent sugar refiner- He said his plant in Philadelphia, before It was controlled by the trust, had been put out of commission several times by persons who threw sand In the ma chinery bearings and otherwise wrecked the plant. He swore that in the Yonkers refinery, after he had turned down trust overtures. dead rats were placed in barrels of sugar ready for shipment and that whole vats or liquid sugar had been drained off in the night into sewers. The nuisance of dead rats continued until private detectives pointed out a number or ms employees whom he discharged, refus- ing to pay their wages in the hope that they would sue him and thus enable to question under oath as to who had employed them. Much to his disap- pointment he was never sued.
 Mr Spreckels declared that Henry o. Havemeyer, Theodore Havemeyef and John E, Searles, all then officers of the American Sugar Refining com pany. and now dead, purchased ha # interest in all of the California re- fineries to end the Spreckels sugar war for s2225,00o in cash and six months later sold this interest to the Amer ican Sugar Refining company Tor $o' : 900, ,000 in preferred stock, which al that time was worth s120 share, or $6, ,0o0.0 900.
 Made $,000,000, in Hawaii Interesting points in MT. Spreckels tes- | timony included his assertion that in four lyears he had made $2,ooo,ooo in Hawaiian sugar plantation on cash investment ol s10AoN Since starting the Federal renners | 10 wears ago by a cash payment Of s 5oo. O. for equipment he has paid per cent dividends on that $3,500,00O regularly, he declared representing the preferred stock and has turned earnings amounting tc an equal amount back into the improve ment of the plant
 Representative Garrett of Tennessee asked MT. Spreclels if he knew anything about the conference between John Ar buckle and Henry o. Havemeyer, which was supposed to have ended the sugar war
 .Yes. something" he said, "Soon after
 
 me and said: I've just had little talk with Henry O. Havemeyer.' He said an understanding had been reached that there was an overproduction of sugar and asked me If I would reduce the output of the Federal. I told him the Federal would work to it's full capacity forever. He said You msunderstand Havemeyer just like did. He is fine, cultivated man-why, he plays the violin. So did Nero play the violin said l, and Rome burned.
 "He told me that we ought to reduce out output that there was too much sugar; that by reducing the output we could reduce expenses, keep up the price | of sugar and thus make more money. He said that was what the American was going to do.'
 .Did you understand from John Ar buckle that he had reached an agree ment with Havemeyer and the Amerlcah Sugar Refining company that the produc- tion of sugar was to be reduced?' 'yes he said that he and the American had buried the hatchet"
 | Did any one else ever try to get yol to reduce the production of sugar. | "Yes, Mir. Warner of the American com pany He said 1t would create bette feeling among the refiners generally an' that an understanding could be reached 1 think that both Arbuckle and Warne were sent by the American Sugar Re fning company to get me to enter al agreement"
 Barred From Louisiana l Mr. Spreckes testified that he has beer