The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1911-06-12
House Inquiry Into the Busi-
ness Begins Today.
witnesses From Leading Rein.
cries Are Summoned.
OTHERS WILL FOLLOW
One of the Most Thorough In
VestigatiOns Attempted
Is Promised by the Committee
in Charge.

Washington, June 1.-THE house in
qu1ry into the sugar business of the
country conducted by a special COM
mlttee formally began today. Witnesses
OF the leading sugar refineries in the
| east have been summoned to appear
before the committee and will be fol-
lowed by those interested in other lines
of the sugar business The committee
has announced its purpose to make one
OF the most thorough Investigations
ever conducted of a great business by
congress. Representative Hardwick, of
Georgia, is chairman of the committee
and is expected to take a leading part
in the examination of the witness.
The committee first took up the
American Sugar Refining company 10
determine whether the corporation is
operating in violation of the antitrust
or interstate commerce law.
James M. Beck. formerly assistant
attorney general, appeared today as
counsel for the refining company and
Edwin F. Atkins of Boston, vice presi-
dent and acting president of the Amer
lean Sugar Refining company, was thu
first witness examined.
Mr. Atkins said the purpose of the
formation of the American Sugar Re-
filming company in 1887 was to put on
their feet a number of sugar refineries
said the companies had been working
without profits for a number of years.
The cost of production of refined sugar
had been so great, said Mr.. Atkins,
that it was believed a union of refin
cries would result in greatly reducing
this expense.
Did you expect through this means
to avoid some of the competition? 2"
asked Chairman Hardwick.
''Well, L suppose it had some effect of
that kind
The witness said that II refineries
joined in this merger in 1887 which was
arranged by II. o. Havemeyer. Almost
all of them, he said, had been doing
business at an excessive cost. They
were scattered throughout New York,
New Jersey, Massachusetts, Maine,
Pennsylvania, Louisiana and Missouri.
He was unable to say what percentage
of refined sugar production they con-
trolled.
Mr.. E. F. Atkins told the committee
that stockholders were accorded no in-
formation as to how the company was
being conducted. The condition grew
so onerous, the witness said, that the
New England stockholders combined
and obtained control. Again they cid
so in 1910 they discovered to their as
constituent that H. 0. Havemeyer, the
presiding genius of the organization, q,
had maintained his supremacy with
only 1000 shares of stock. The holdings
of Havemeyer at the time OF his deaIn'
Mr. Atkin said. were valued at about
5000, 900 of a total of s90000,000 in the
American Sugar Refining company.
"That was a surprising discovery" ne
declared. 1T had been generally SUP
posed that Mr.. Havemeyer owned tie
greater part of the stock"
Mr.. Atkins said the New England in
terests obtained control after com
mittee discovered from an examination
that of the stock owners of the Amerl-
can Sugar Refining company 63 per cent
were New Englanders.
eve found there were $4,000 New
England owners said Mr.. Atkins land
10 900 of these were women. They were
helpless as far as any representation
was concerned and I was urged to take
place on the board which 1 did"
He explained how control for the New
England holders was secured by MS
election and the election of Samuel
Carr. Charles H. Allen, William B.
Thomas ard Edward Marston, all OF
whom now represent that majority OF
the stockholders known as the New
England syndicate.