New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-03-02


laoc. the New York Glucose conn any
and other concerns engaged in the manu-
facturc of glucose. starch and kindred
products.
Oil Magnates Its officers.
Edward r Bedford, director IN the
Standard OIL Company. Is president 81
the Corn Products Refining Company. and
other Standard OIL men. including [. VI.
Pratt and George NJ. Moffctt are among
its directors The late James y. Mohet;'
prominent in the councils of the stand
ard Oil was chairman of the board oil
directors of the defendant COMPANY
which is capitalized at $So.t"o.oo0.
Until recently the company had olfices
in the Standard oil building. No %
Broadway. but any direct connection be
tween the two enterprises has been de-
nicd repeatedly. 1t is known. however
that a large portion of the company
stock is held by men interested IN me
Standard on.
The defendants named in the govern
mentS action were: The Corn Products
Refining Company. NO Il Battery race
r T. Bedford. president and among us
directors. s. r. Boardman. George NJ
Monctt. James Speycr and c. NJ. Warner;
tho National Starch Company, No. Ia
Battery Place. f.. Beverly Walden. presi-
dent. and the directors Of the company
the St. Louis Syrup and Preserving Com
many. Of St Louis. its officers and d.
rcctors: the Novelty Candy Company. NO.
$50 Ciairmont avenue. Jersey city. +. y.
Lohncvcr, its president. officers ana di-
rectors. and Penck 4 Ford, Ltd, oil
Nov orleans. its officers and directors.
Tho pctition described the defendants
as being engaged in interstate trade
through the manufacture of starch gIu-
coso or corn syrup. grape sugar and va
rious either articles partly composed OF
corn products. as well as Of candy com
posed largely Of glucose and mixed
syrups
The consolidation of the various pro-
duccrs is then described from the hrst
combination in 1891 Of corn products
manufacturers until 1911. when the syrup
mixing business came under the control
of the alleged trust. 80 that to-day the
corporation controls 80 per cent of the
production Of starch and glucose and 50
per cent of the trade in mixed syrups.
I'm the process of consolidation. 1t was
alleged the company bought forty or
more glucose and starch factories and
iismantled most of them. keeping in
operation only five Of the total number
although the price paid for these plants
Nas far i'm excess of their value.
Contracts not TO re-enter business. a
rcbating plan and guarantee against
decline in prices were mentioned as some
of the centler methods used To subdue
competition Among the more aggressive
methods mentioned were agreements
reached with competitors through threats
10 enter their field of business.
Royal Baking Powder Co. Beaten.
The petition said that when the Royal
Baking Powder Company. large con-
sumner of starch, acquired control over
a glucose and starch producing company
the defendants threatened TO engage in
making baking powder and procured ma
chinery for that purpose Finally an
agreement was reached that the Royal ;
subsidiary should sell all its surplus prod
ucts to the Corn Products Refining Com
pany. and the machinery ready for MAX
ing baking powder was sold to the Royal
Manufacturers OF cheap candy were
also threatened in this manner, the gov
eminent alleged. When the National
Candy Company organized its own glu-
cose plant and began selling its surplus
raw material to Independents the Corn
Products Refining Company acquired in
1910 the Novelty Candy Company in
order 10 use such company for purposes
OF retaliation against the National Candy
Company" and manufacturers of candy
who bought starch and glucose from in
dependents.
The syrup industry was put under full
control, the petition alleged. through sell
ing syrups below cost of manufacture.
Upon receiving the news from Wash
inston that the government would file the
petition l.. r. Bedford. president of the
Corn Products Refining Company. issued
the following statement:
The filing Of bill by the government
against this company is certainly great
surprise.
Says Suit Is a Surprise.
AT our invitation and by agreement
with the Attorney General. the attorney
in charge with his associates have occu-
pied rooms i'm these offices for over two
months. They have been given every
facility for cffcctins the most thorough
examination possible. have had possession
of our books. letter files. minutes and rec
ords of meetings, etc, and from these IT
has been shown and proved that this
company under its present management
has made no attempt To monopolize or
restrain trade. and has not bought i'm
munty from competition. nor by trade
agreement has IT endeavored In any way
directly or indirectly, TO FIX prices or limit
production. Also that the price OF its
products OF corn have averaged lower
compared with the price of corn itself
than ever before in the history of the
Industry
Furthermore, the business OF the day is
divided among more manufacturers both
mere and abroad than ever before in its