Wheeling majority. [volume] (Wheeling, W. Va.) 1907-192?, 1911-11-02
WiGEed6S Trust
I'm The World

%
Morgan, the RockefelIers, the Roths-
chiIds and the Other Financial Free
hooters Have Gone Into cahoots
With the Brazilian Government to
Blk the American Workingman Out
Of 10 Cents on Every Package Of
Low Grade Coffee He Buys-lt.
Works-This is the Story of How
They Did It.
New York-On Friday, the thir-
lteenth Of October the hand of J. P.
Morgan reached out from that austere
counting room at Broad and Wall
streets. and tagged the wrecks of hui
mainly in Chatham square and Five
Points. simultaneously the prOprie-
I tors of the 2-cent coffee houses on the
Bowery hung out signs announcing an
advance in the price OF coffee to
cents per cup50 per cent.
On Friday, the thirteenth-un-
lucky day for the American consumer
the rice of No. { Brazilian coffee
kouched a new high record mark cf
lis cents per pound an advance Of 979
cents per pound in short Is months,
/ and the coffee trsUt stood to clean p
lsomething like $4,000, 900.
A year ago ArAuckles' and other
brands of Rio and Santos coffee
known in the trade as STANDARD
package coffee" sgd at retail at II
and is cents per pound On Friday,
the thirteenth" it sold for 25 cents
per pound. and tie record price set
on that date means a further boost in
the retail price to u cents per pound.
Immediately, and at that price the
grocer has no profit unless, he, too,
raises prices.
The steel trust only eaxcts an in
direct tribute. The American onsum-
er once boycotted beef. The Ameri-
can workingman can and does wear
shoddy instead of wool. He can even
do without bread But he must have
his cut Of steaming coffee.
/ The pooled coffee is. No. Brazilian
the coffee consumed almost entire
lily by working people. Thus the
trusts $4,000, 900 profits are the piled
Iup pennies of the poor.
/ Don't comfort yourself, Mr.. Con-
sumer, with the thought that this pool
will wind up it's affairs after. short
season OF gouging the public, after
! the manner OF a corner in wheat. The
coffee pool is here to stay. Its agree
ment expires in 1919. 1t is entreneh-
/ ed behind laws passed by Brazil ex-
pressly on the orders OF the gentry
now manipulating the deal.
] These laws absolutely limit the size
Of tn ecofee crop by forbidding the
planting of new coffee trees, and by
putting a prohibitiye export tax on all
4 the crop above certain quantity.
| They even permit the burning OF cot
| fee in bumper crop years.
The pool will undoubtedly be renew
/ ed for a short term of five years IN
| 1919, and renewals will continue after
that.
Tragic though it be, the formation
of the coffee trust is a fascinating
chapter in high finance. It's insplra-
ltion came from the brain of Herman
/ Sielcken of New York, a multi mil
! lionaire, known in the coffee market
as old 'Sealskins.'
From 1895 to 1906 Sielcken domi-
mated the American coffee market.
| Usually he was BULL He conduct
| ed several corners. 1t is said ne
cleared $1O,0OO,0OO in his valedictory
! effort. He represented Willie & Co.,
Of Rio.
In 1906 "sealskinsp began studying
| the worlds coffee supply with the idea
| Of controlling it permanently. OF
that supply IS pet cent is raised IN
| Brazil and rs per cent Of the Brazil
liam crop is grown in the state OF Sac
Paulo. .,
: He came to an agreement with
lMiIle and they put the proposition up
to the Sac Paulo- authorities.
They proposed, with the actual part
II nership of the state of Sac Paulo, to
act as a syndicated Joseph to the
Tribes in the coffee field. In fat years
i they would buy the crop and store it
5I-coffe keeps indefinitely in storage
for lean years and thusE by holding out
the crop in fat years get a big price
FLOR the growers. Sac Paulo was to
pass the necessary crop=limtifng laws.
4 sac Paulo accerted joyously.
Morgan, the Standard Oil people
4 Through their banks) the Rothschllds
lin London, the BaDque de Paris, Bel
giu1n. and German fnanciers, as well
las the government of Brazil, got IN
the pool through its reorganization.
4 Bonds to the amount Of $75,OOO,O00,
guaranteed by Brazil, were issued
and taken up by the fnanciers, who
received a nice 10 per cent, or $1,000 :
600 for their favor
brazilian laws prohibited the plant
4 ing Of any more coffee trees, and
brazilian government agents \ even
Il went through the fields destroying
B. Young trees. Then they were ready
to dictate the price of the coffee
throughout the world.
"A provision of the agreement makes
lit compulsory upon the trust to store
1 its cote eoutside Brazil 50, during
1.-THE recent furry, when pessimistlc
brokers were calling attention TO Lne
fact that the visible supply of coffee
is not suficient for 60 days eonsumn-
lion. locked up in the trust ware
B houses in New York. HaEre, Hamburg
lIondon and Trieste, were 663,0OO,OOO
hounds of coffee "a years supply fof