The evening world., 1911-07-18
CONGRESSMAN co
A-GUNN|NG HERE
FOR SUGAR FRAUD
Committee Hunts for -Million-
aire Thieves Who Daily
Stole From Government
THOMAS ON HI STAND.
Chairman of Trusts Board Of
Directors Tells How It's
Capital Grew.
THOMAS ON H STAND.

Members of the Congregational Conn
ratsee. which IL investigating n sugar
Trust to-day. began their hun in New
York for "millionalro thieves. who daily
stoie from che Government" Tho quot
ID language IL not made from the sem
sationaiisn of tho day-it IL ofnciai.
The committee. which began opera
ions at 10 o'clock A. NJ. at Room No.
- In the Custom House. II known as
the Hardwick Committed. for Repre-
sentative Hardwick OF Georgia. sub. IL
IN chairman. Tho committee will be
here several days. but hereafter II will
hold its sessions In Room No. i2i. POST
once Building.
Technically. the committee 10 charged
to inquire.
n
TIT Trust restricts or destroys
eompstitton among manufacturers
~ vea~s~s cf sugar, ana
The Trust increases the pr1os Of
snn sugar 90 the consumer. or
decreases the price Of uGa cane
or sugar bssts TO the producers
thereof.
Washington II. Thomas. ch,.f local
force OF the Sugar Trust. was 1rst called
a. a witness. lie began his testimony
by saying that ne IL Chairman OF tho
Board OF Directors Of the American
sugar Renning Company. Before TAX
ing that ONCE he had been secretary.
treasurer and president Of the Trust.
He sad m his father. Joseph II.
Thomas, had sold the Standard Sugar
Refinery Of Boston 10 the Trust In 1887.
when he came 70 the Trust - an officer.
Ills fathers plant had . capacity Of
5000 barrels . day. Mr.. Thomas said
he became . director Of the Trust In
1888, two years after IL formation.
HOW oUGi TRUoT CAPITAL
MOUNTED TO oeoyooo,0oo.
He said tina ths eaUltai a Tie Trust
was $50. ooo. 900 wthaa n W. tosxnsd. wa
raised to S76.ooo.ooo whn ne Philadei.
phia plant was bought and 20 eeo. 900. 100
when Il added the best sugar feature.
Mr.. Thomas immediately qualified his
testimony by saying chat he wanted
none of his evidence 70 be taken - .
reflection upon the methods Of the
late II. o. Havemeysr in his work of
increasing n extending the businsss.
But II IL . fact chat Il was hi policy
not 20 make public any Of his business
acts. was II nor" asked Mr.. Hardwick.
YES" said the witneaa.
The witness said that the Trust turned
fs four philadelphia plants into one
plant.
Q. How many renneries ala the oom-
pany buy in Boston, A. Five.
Q. II II not n fact that Il closed all
of them except oncf A. At nrst there
were nve. Two were closed irst and
than another and finally tho basis OF
operation was made one plant with an.
other held AZ . reserve plant.
Mr.. Hardwick asked Mr.. Thomas II
tho Board OF Directors of the Ameri-
can Refining Company had not in 1893,
by resolution, authorized III. o.. Have.
meyer. Charles Kemp and ". II,
Thomas to fx tho prices OF sugar and
TO buy all possible Independent plants
The witness said that the resolution
had been passed. but hat he did no
think any action had been taker
under II.
ASKS ABOUT THE FIGHTS WITH
THE RIVAL COMPANIES.
q. What dc you know OF the erea
night that began between tn,
American Sugar Refining Company ant
the California spreckels peopie7 A. Prac
ticadly nothing.
q. Do you know the terms upon whic,
the night ended7 A. They just got tire,
spending money lighting and quit.
Q. But they did get together 10 tn,
extent OF the American buying one-hal
OF all that Spreckels owned. didn't they
A. ] believe hat Ii true,
q. What was the cause OF the ngh
with the Arbuckes, A. The Arbuokle
wished 20 get a discount upon the suga
used in their coffee business and Nj
Havemeyer would not allow II.
O. Has there been any war since IN
American Sugar Refining Compan.
went out OF the coffee business1 A.
could hest be described as armed neu
traNty," the relations now existing wit
the Arhuckles.
o. But they do follow your prices
4. ! believe they 40.
BIG TRUST HOLDS UMBRElll
OVER THE LITTLE FELLOWS.
Mr., Thomas coined a new Trul
phrase when he was asked what wei
his relations with the Federal Refnir
Company.
"oh, we simply hold the umbre ell
over them" he said.
Chairman Hardwick asked him to e.
plain the umbrella.
Mr.. Thomas said that Il was n
habit Of smaller concerns 20 get IN
trade difficulties. and holding the un
brella" meant extending general pr,
lection TO them. He added the sdmi
sion that the Federal ususlly follow,