The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1912-02-21

made, and it was not easily got.
The Chairman. You mean there
was good deal Of difficulty about get
ting the contract made?
Mr. Rithet. Yes.
The Chairman But you finally did
get it made, after a good deal of diff
Guilty, and it was substantially as
have outlined?
Mr. Rithet Yes, sir; substantially
so.
The Chairman. Now, let us con
tinue:
From April, 1903, to April, 1906,
after entering into this agreement,
California & Hawaiian Sugar Refining
Co. closed its factory and kept it
closed and refrained from purchasing
any raw sugar or sugar beets and
manufacturing any raw sugar or sugar
beets into refined sugar, and from sell
ing, shipping, or distributing any re-
fined sugar whatsoever"
Mr. Rithet. We did not operate at
all during those years. 1t was under
a lease, as | understood It,
The Chairman. That is substanti-
ally the contract, as have outlined it
to you?
Mr. Rithet Yes, sir.
The Chairman. Now, Mr.. Rithet, is
there anything further you care to cali
the committees attention to other
than what has been covered by the
questions l have asked?
Mr. Rithet No; | do not know of
anything, unless you want some in
formation as to the working out OF
the arrangement and as to the fact
We have been entirely Independent
ever since we started. We started as
an independent institution and we
have been Independent ever since, eX-
cept during that period, and we did
that because we had reasons of neces-
sity for doing it.
The Chairman. Would you mind
telling the committee what those rea-
sons were?
Mr.. Rithet ! will be very glad to-.
We had been fighting, I think, for five
years or more.
The Chairman Fighting whom?
Mr. Rithet The Western Sugar Re
filming Co.; that is, the company of
John n. Spreckels
The Chairman And that is the com
pany in which the American Sugar Re
filming Co. was also interested?
Mr.. Rithet. Yes. sir but it was
called the Western Sugar Refining Co.
We had been endeavoring to build up
a trade and hold it, We had succeed
ed in doing that fairly well, and we
had reserved for our purposes about
$4,000 tons of sugar a year Before
starting the refinery, I might tell you,
We we're induced to DO so because we
were told by Mr.. Spreckeels, Cr., who
was then in control, that he would not
make a contract with us. We had had
contract previous to that time for
fifteen or twenty years
The Chairman. A contract of what
kind?
Mr.. Rithet A contract for our raws.
The object of our starting up was to
find market for our raws in the Pa
cific territory, which we claimed, be.
i1nfr hn fp In,
States, we were entitled to; and they
had been making a contract until,
think, it was in 1897. Then Mr.
Spreckels said he would not give us
a contract any longer.
The Chairman. How did he control
the supply of raws?
Mr.. Rithet. He did not control the
supply of raws. He bought them,
The Chairman And he would not
let you have any of them?
Mr.. Rithet. He would not give us
contract He would not buy our
raws.
The Chairman, He was running a
refinery?
Mr.. Rithet Yes, sir.
The Chairman And It was the only
refinery there?
Mr.. Rithet. Yes, sir.
The Chairman. And then you start
ed this company?
Mr.. Rithet, Yes, sir; to protect our
selves.
The Chairman Why did you make
this agreement about closing dowI
your factory.
Mr.. Rithet We were short of work
ing capital, and l wanted to have
little time to look over the situation
and see what could do, and 1 agree
to lease the property for three years
The Chairman. Now, after you di
establish this refinery, the Californi
& Hawaiian Co., was the compotitio
pretty fierce between you and tn
Western?
Mr.. Rithet. Yes; and it is now.
CONTINUED on page eleven)