Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-03-01
SUES SYRUP TRUST
u. S. Seeks Dissolution of
Corn Products Company.

NEW YORK, March 1.-DissolutiOn or
the Corn Products Refining Company-an
alleged starch, glucose and syrup trust"
is sought by the federal government in
civil antitrust suit filed here today
charging the $4,000, 600 combination with
entering conspiracies and contracts to
destroy competition in violation of the
Sherman law
1t is alleged to have kept the prices of
corn products at unreasonably low figures
to harass and discourage independent
manufacturers.
Controlling &c per cent of the en-
tire American production of starch and
glucose and 80 per cent of the inter-
state trade in mixed sirups, the alleged
trust is charged with liking resale
prices; with manufacturing cheap
grade candy at unreasonably low prices
in retaliation against confectioners
who buy starch and glucose from in
dependents: with practically suppress
ing the private brands of mixed sirupS
of grocerS by quoting low prices on its
own sirups. and with unlawful threats
and contracts to destroy competition.
Injunction Also Asked.
Aside from dissolution the government
asks for an injunction prohibiting the al
legged restraint of trade. The suit re-
calls the long -drawn-out fight between
the Department OF Agriculture and the
Corn Products Refining Company over
the branding of its corn syrup.
Following corpora tons, officers and di-
rectors are named as defendants:
Corn Products Refining Company (New
Jersey, National Starch Company (NeW
Jersey. st. Louis Syrup and Preserving
COMPANY (AIissourD Novelty Candy Com
n :
ed tLousiana); Edward T. Bedford, VIII
liam }. Matheson, Frederick I. Bedford,
A. B. Boardman. Frederick I. Fisher, G.
II. Kelsey. George S. Mahana, George M
Moffett. William H. Nichols A. A. Smith.
James Speyer. l.. Beverly Walden. c. NJ
Warner. r. S. Burns and a. M. Watkins,
all of New York city; Thomas P. Kings
ford, Oswego, n. y: c. III. Lorenz and
Louis Suss, st. Louis; F. A. Lohmeyer,
c. W. Lohmeyer and Edward I. Bed
ford, I'd Of Jersey City n. j.: Benjamin
. Schneewind. Chicago. and William S. Pc
nick jr, and James P. Ford, New Or
leans.
The bill. filed by United States Attorney
Henry A. Wise. is signed by Attorney
General Wickersham and James A. Fow-
Ter. Jesse c. Adkins and William III.
Miller. his assistants
Factories Dismantled.
1t is alleged that the defendant combi-
nation dismantled many Of the starch
and glucose factories it absorbed. selling
the properties in most instances under
| covenants that the land conveyed should
! never, or not for a long term of years,
| be used in connection with the manufac-
| ture of similar products.
The alleged trust and it's predecessors
are charged with having taken contracts
from officers and directors of certain alb
sorbed companies not to engage in the
! business for period of years.
E. T. Bedford, president of the Corn
| Products Refining Company, issued here
| today a statement commenting on the
governments suit, in which he main
| tains that the defendant concern had only
| fair share of the country's business
| and has been a factor in reducing the
| cost of living.
| the hope that our shareholders, partic-
ularly the small holders. may not get
unduly alarmed in consequence of this
/ action and be induced to part with their
| holdings at less than their value.
! The filing of bill by the govern
! ment against this company is GER
| tainly a great surprise. l understand
! it Is it's contention that the several re-
| orga niZations (Which include that of
| the Corn Products Refining Company
were an attempt at monopolization. 1t
! is generally known these were neceS-
! stated as a result Of Overproduction
! and were acts OF the shareholders. In
I result they conclusively proved this is
: an industry consuming little more
/ than l per cent of the corn produced
/ that cannot be monopoliZed. but these
acts of our predecessors the present
| management of this company cannot be
held responsible for.