Arizona republican., 1911-12-29
Government Asserts That Company with Only S14, 900 Capital Paid Profits of Over S4,OOO,OOO in One Year.
THIS IS RATE OF
 3O,OO0 PER CENT
Veeder Is on Stand Again and Tells in Detail of the Absorption of Many Big Companies by the Pack ing Combine.

CHICAGO. Dec. 2S.-ObjectiOnS by counsel for the defense to evidence
 which the government seeks to intro- duce regarding the operations of the Kenwood Aetna Trading company, halted the packers trial late this af- ternoon. and caused Judge Carpenter to excuse the jury pending legal ar guments The government contends the KenwOOd company, which was organized by the packers in 1900, was continued in business in 1905 and that alleged pools were used to market the packers by-products. It is alleged the Kenwood company dealt in oleo and that the Aetna Trading company, in the same period, dealt in castings. The government expects to show the Kenwood com pany's profits were $4000,0 900 in one year despite the fact IL was incor pOrated with al capital stock of only SI4,OOO
 Profits of the Aetna Trading com pany are alleged to have been pro- portionately large. By making ade Cuate allowance for these byprOd- ucts in figuring the cost of animals slaughtered the packers were enabled to keep profits or the parent concerns within reasonable limits, according to the government The defense argued this testimony had no connection with allegations made in the indict- Inents that there was a combination in control of fresh meat prices, and prices paid in the purchase Of cat tie. In reply Special Counsel Pierce Butler, for the government. said:
 We expect to develop these com panies as an important part of the pool or pools by which the packers between 1900 and 1905. fixed the price of fresh meat. and figures to be paid for cattle They used to mar ket by-prOducts at a higher price than could be sold direct by the par ent concern"
 Albert H. Veeder. the attorney, was called to the stand today, and gave details of the organization of the Ma tiOnal Packing company, March IS. 1903. which the government contends was an instrument used by the pack CTS tJ fix prices of meat. The wit ness said the company, which was capitalized at Sl5.00O,OOO. was formed by merging thirteen companies and l their subsidiaries, anu that the prop | critics were paid for in stock of the l National company. The list of com panies and the amounts paid for them by the National follows:
 Stock Yards Warehouse company. | S530.0OO; Anglo-American Provision | and Refrigerating Car company. | $360,OOO; Kansas City Refrigerator | Car company. S13O.OOU: Fowlers Ca nadian company, Limited, S70,OO0: ] Friedman Manufacturing company. | $l10,0O0: G. H. Hammond & O.. | S3,600,000; St. Louis Dressed Beef | company, s2,10O,00; Hammond Pack | ing company, s1.OOO,OOO: Omaha | Packing company $2,200,0OO; Hutch | inson Packing company. SlOO.OOO: | Anglo American Provision company S2,000,Oo0; Fowler Packing company. S900,000; United Dressed Beef com pany. s1,9OO,00O
 Feeder said these companies were all purchased by Armour. Swift and Morris before Michael Cudahy was taken into the combination. He said all the men who sold their plants agreed not to engage again in the packing business for fifteen years
 Have you any more contracts or agreements used in the organization of the National Packing company" asked Government Prosecutor Butler
 About three bushels, but nothing you want" replied Veeder