The Washington times., 1912-05-14
JOBBER TELLS HOW
T|N-PLATE COMBINE
FORCED HIM TOQU|T
j. E. McFarlane, of Phila-
delphia, Says Oppression
l.. Was "Tyrannical.'

NEW YORK, May 14.-Tyrannical
methods, alleged to have been practiced
by the American Tin Plate Company,
an adjunct of the United States Steel
Corporation, were revealed at the hear
ing in tho Government dissolution suit
against the~so-called steel trust before
Examiner Henry T. Brown in the GUS
toms house today
James E. McF'arlane of Philadelphia,
ttnplate jobber, was the first witness.
He testified that he had formerly been
"dipper," trade term designating
one dealing in tin roofing, but that he
had been forced out of business by the
American Tin Plate Company. In All
swer to question by Judge Dickinson,
special counsel for the Government, Nc
Farlane swore that the American TIN
Plate Company refused to sell him plate
unless he turned over all his personal
brands. The witness declared that he
got tired of this oppression, and went
into the jobhing end of the business.
Attorney Barton Carneau, associate
counsel for the Government against the
beef packers in Chicago Joined the Gov
Iernment counsel in the case today.
Reid on Stand.
While on the stand late yesterday af-
ternoon, Daniel G. Reid, organizer Of
the American Tin Plate Company. told
an interesting story of the rapid growth
OF the tinplate industry in the United
staes se snd fTSm % sms sads beg1nng i,s which
sistance OF Judge w. H. Moore, had
made in Indiana. This was in 1891. ten
years before the Steel Corporation was
formed. They had bought up about 200
the Steel trust was effected.
This had been done mainly by an un-
derwriting syndicate of which he was
a member. Mr.. Reid added that 1t had
tuf am - he 1IAN
to meet annually in Pittsburgh and dis
cuss the scale of prices for the coming
year. In the formation Of the big tin
plate company, which the Government
trusts within the Steel trust only two
concerns of any considerable conse-
9uence had been left out, he stated: but
these had been taken in later. Stock
IN the new concern was given to the
owners of the purchased properties in
most cases
"Who were your associates in the un-
derwriting syndicate or agreement" he
was asked.
II don't know" the witness answered
II only heard gossip about other men in
the agreement. l heard, for example
that Marshall Field was one of them. -
Did not the American Tinplate Com
panv, enter into an agreement with man
ufacturers of tinplate machinery to buy
their whole product, so that your COM
petitors could not buy the necessary
ulaCnlnery!
Didn't Remember.
''1 don't remember. MY mind is a to-
tai blank on that subject" Under
pressure from the Governments counsel
Mr.. Reid said that about the only liv-
ing person who might know about this
matter is w. T. Graham now head of
the American Car Company.
"Did you and your associates 60 An
ia. the American Tinplate Company to
monopolize the business?" asked Mr..
severance on cross examination:
We did not" replied Mr.. Reid. We
charges, lessen the cost of production,
etc. We could buy what we needed in
larger quantities and at reduction, and
thus save money" He added that there
had always been strong competition
since the organization Of the American
Tinplate Company, and that this was
stronger now than ever.
Under further examination Mr.. Reid
eaid he thought a total stock issue of
sac, 600, 900 had been made by the Ameri-
can Tin-plate Company when the mer-
ger was formed.
"If it took $50, 10000 to buy the other
concerns, what became of the other $10,-
son.
II don't know" Mr.. Reid replied, add
Ing: II suppose the underwriters and
syndicate managers got It,"
did you get any OF it?'
Yes. ] did"
How much?"
II don't remember"
The National Steel Company, now
part of the trust, had a contract, the
witness explained, to supply the Ameri-
can Tin Plate Company with the steel 1t
needed. That was the reason the Ma
tional Steel Company had been organ
dzed, he said.
Cites Prices.
From a little book of prices, which he
produced from an inside pocket Mr..
Reid showed that in 1897. the year be-
fore the American Tin Plate Company
was formed. the price of full weight tin
plate was 1926. In 1898, the year the
big company was organized, the price
dropped to $2.99. In 1899 ii was $4.4 per
hundred pounds; 1900 s4S2, and in 1901,
It was S4.S5.
Mr. Reid could not remember that the
American Tin Plate Company had con-
tracts with makers of tinplate ma
chinerY to buy all of their output
In conclusions Mr.. Reid said that he,
Judge W. II. Moore, J. H. Moore, and
w B. Leeds, had directed all the nego-
tiations which resulted in the merger
OF the American Tin Plate Company
with the steel corporation. and they
insisted that every company in the COM
bination or none would have to be taken
over
Jacob Meurer, Brooklyn jobber and
manufacturer of metals. was the only
other witness of the day.