Arizona republican., 1911-06-28
The Opinion in Utah of Mr.
 HaVeneysP PRESIDENT SMITH SAYS
The Consolidation of Amer ican Refining and Utah Idaho Sugar Companies Gave to People of Utah Greater Prosperity.

Washington. June 27.-The Mormon church is in the sugar business for the benefit of its people. It sought Henry O. Havemeyer's help to extend it's sugar enterprises, not because he was Havemeyer, but because his money would be for the benefit of the Mormon people. Ii regarded Have meyer not as an industrial pirate. hut rather as a benefactor, and in combin- ing with him in the beet sugar busi- ness the heads of the Mormon church believed that no law of the United States was violated.
 This, in substance, was declared to the house sugar trust Investigating committee today by Joseph F Smith. president of the Mormon church and president Of the Utah Idaho Sugar company.
 He was supported in his testimony by Bishop Charles Nibley business manager of the Mormon church
 The Mormon leaders attracted wide attention and were followed on the witness stand by W. c. Gilmore, man. aging partner of Arbuckle Bros. com petitors of the American Sugar Refin- ing company. He will be examined tomorrow.
 -Is there any water in the Utah- Idaho Sugar company stock?'' asked Madison of President Smith.
 Not that l know of My stock of d par value of $I0 l sold NIT. Havemeyer for SIS. That was the value of the stock at the time"
 Mir Smith said he wanted beet su- gar protected until it was not neces- sary to protect it. He could not prophecy when that time would come. Representative Raker of California asked why financial aid from Have meyer was necessary.
 The church had extended its credit to borrow money" said MT. smith. We gave notes to the banks as trus- tees in trust. and the church itself mad a bonded indebtedness of more than $1 000 900"
 Mir. Smith said the church had been able to get along without Japanese and Hindu labor. He told of the op- portunities the sugar business gave the people of Utah for earning money and testified that the Mormon tithe of 10 per cent of the earnings in pros porous years amounted to S1,25G,OO0 and $1.500.O00. MT. Smith said he never negotiated with Havemeyer per sonally in the consolidation, the nego- tiations being conducted by Thomas R. Cutler. business manager of the Idaho Sugar company. He did not consider the Utah Idaho Sugar company at per cent a profitable industry.
 What would you consider profit able?"
 If it paid 10 per cent"
 Before the American Sugar Refin- ing company acquired it's holdings in the Utah-Idaho concern it was a com petitor was it not?" inquired NIT. Sul- Ter
 Not in Utah" said NIT. Smith.
 He added that he thought this con solidation was one Of the greatest of blessings to the people of Utah and Idaho. The price of sugar. to consum- CTS. he said, 'remianed just about the same"
 Bishop Nibley testified that he for merlv was interested in the American Sugar Refining company and in 1905 projected the Lewiston Sugar com panv. He related how both of these companies eventually attracted the at t.ntion of the Havemeyer interests, who purchased half of the stock. In selling the amalgamated stock to Havemeyer. Bishop Nibley declared that the original owners received nearly ? for | The company was then having dividend of per cent.
 Did you think a man would go all the way out there from New York; asked Representative Kinds of Maine, "to pay ? for 1 for a per cent stock, with no other object than to make 1t good paying business proposiuon?'
 Yes" replied Bishop Nibley. "of course. I do not know what was in MT. Havemeyer's mind, but l fancy he thought the beet sugar industry would grow to a greater extent than it ever will prove to do. We all did, but now we know that we were much mistaken, and MT. Havemeyer was also mis- taken"