The chronicle=news., 1913-03-01
j. S. IS AFTER
"GLUC0SE"
TRUST

New York. Mar. Dissolution o!
th. Corn Product Kof!nin. Com
pnny-an alleged starch. Slu.osc
and syrup trust j. sougLt by sne
fedora. government IA clNli anti
trust suit filed berr today. .hars-
ins tn. tS0.o0o. 900 combination
with entering into ooufp!racies and
contracts 10 dcs,r1y romi icti,iou In
yio!ation OF the Shs rmhn law. II Is
alleged TO hav" Ecrt ih. prices Of
corn products at uurca sonably lower
figures 10 ha.ra.s ,nd discourage In.
dependent manufacturers. Con'roii-
InS .6 per cent Of the rnrir. Am.rI-
can production o! starch nin s!ucosc
and so per cent ol ihc lnt"rsllir
TRADE In mixed .y!lrI. III. alleged
'irun, II charged s.ih f.NIn& resale
prices: with maInfiriu,'ns cheap
grad" candy ~ ugr"HsoEsbiy low
prices In retaliation .gHiast cDntec-
,ion..rs who buy tiHErh and gin.cse
from Independents With hraci., silly
supTcssinx III" private brands ~
mirci syiui~ %. Eiorc's' b. quoting
low prices on II. o~u syups: aud Sii!.
uals wTnI th-ats and contracts Ia de-
s'roy competition.
Aside Il ON dissolution. tho govern
n-n' asks for ha fu.unr'ion rrohib-
iiinI the alleged restraint nf trade.
The suit recalls tn. long drawn out
fight tween the DEPARTMENT OF Ag-
rirtltur" and the Corn prniucis Re
timing Company over ihe branding ot
It's corn syrups.
|. II Is alleged that til. d-.cndnn,
combination d!smar,l"d many OF
the starch and Kiuro-e factories !. alb
sorl"d. Friiing tho properties IN most
instances under covenants that the
land conveyed should never. or not
for a long term OF years. b" used In
con ncciion with tn. manufacture of
similar products. The alleged trust
and Its predecessors are charged with
havin: taken contracts from offic-
icrs and directors NJ certain absorbed
r0mpn mics. not 10 engage In the
business for II pcriod Of years.
when the RoQl.S1ak&nG Powder
''c-.. :aiy GfSi.i:r.Jh III Or i,ie
american Maize prodScts company
the defendant combination. II Il al
legged. threatened to cnvax" In the
making OF baking powder. rsaii,ing
In an agreement whereby th. Maix.
company sold to the defendant the
surnius product no; consumed by the
baking powder company. To sup
rcss competition. the comb nation I.
alleged - have cmploycd the firm Of
Stein. Hirsch and Company. in 1905
and 1909 to sell glucose n, low pric-
rs as independent manufacturers.
When tn" National Candy Com
pany organized In 1896. tho Clinton
S,s Dnf
nut would come In competition vsk h
that Of tho Corn Products Refining
company. the latter. the bill says. in
former the candy manufacturers
throughout the country that unless
they bought n suffic!cnt perccutas &c
OF the glucose they needed from the
defendant combination IL would 2oi
into the candy business Itself In COM
petition with them. In consequence.
II Is alleged. the Corn Products Re-
filming company acquired coDtro! of
the Novelty Candy Company to re-
taliate against the National Candy
company and manufacturing conf.c-
tioncrs purchasing glucose from in-
dependents.
Until prohibited by til. Interstate !
commerce comm !ssion. tn. company
Is alleged TO have secured from rail
roads an excessive shar, -: til.
through rates on account Of its own
switching lines. which was alleged !
to amount to rebates.
New York, March E. r Bed |
rOrd. president OF the ,'or'i Products
Refining Company. issied today n.
statement in which II, maintains
that the defendant cnn,":l i.4s bad
only u fair share OF :he country 81
business and has been . frs - N
reducing the cost OF Iva. VOL
state these facts he said, IN ,heI
hope that our shareholders. pNrr..n.
larly the small bolders. may NJ: get
nnduly alarmed in conseuten.r Of
this action and b. induced 10 part
with their holl.nss at less than their !
value"