New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-12-19
Senate Chairman Resents
Charge of Unfairness
by Witness
Hoover Again Fails
To Obtain Hearing
Ohio Governor Blames Fuel
Administrator for Fuel
Situation


between Chairman Reed and Earl Babst,
president of the American Sugar Re-
timing Company, marked today's ses-
sion of the Senate committee inyesti-
eating the sugar situation. Mr.. Babst
protested vigorously because the chair
man would not permit him to make
a statement except in answer to ques-
tions by members of the committee,
and charged that an attempt was being
made to impugn his motives in working
for the food administration.
Senator Reed replied that the COM
mittce was not attempting to impugn
the witnesses motives, and added:
ave have developed from you that
beet sugar prices are affected by cane
sugar prices, that your company has
holdings in beet sugar companies and
that the international Sugar Commit
tee, of which you are a member, fixed
prices"
Later. when the committee was in
secret session, it is understood that Mr..
Babst succeeded in getting in a state
ment to the effect that the price Of re-
fined sugar at seaports was fixed before
he became a member Of the interna-
tional committee.
Food Administrator Hoover made an
other futile effort to get hearing be-
fore the committee. Chairman Reed
announced that, while he wanted to
treat the administration with courtesy,
he did not see any reason for keeping
other witnesses waiting. It was suS-
gested, without result, that Mr. Hoo
yer was q busy man and was delaying
a trip to New York to testify.
Warned of Sugar Famine Stories
llr. Babst was on the stand through
out the day and will continue his tes-
timony tomorrow. He told the com
mittee that soon after Mr. Hoover re-
turned from Belgium he warned HIM
that stories that a sugar famine was
in sight threatened a dangerous situa-
ton and pointed TO the fact that his
company advertised that there was
plenty Of sugar and admonished per-
sons to purchase only usua! amounts.
He said that in June he saw Mr.. Hoover
again and told him large shipments
abroad threatened the shortage in the
East. His company exported 4Zl,OOO
tons during 1917, ne said, and all, with
the exception of 10000 tons, was con
tracted for before July /.
Efforts of the food administration to
keep down the price for Cuban sugar
were shown in a letter TO the Ameri-
can on September II, in which Mr.
Hoover said he understood there were
only 10000 tons left in Cuba. and sug-
gested that the American Sugar Com
pany do not bid for it and close its
refneries when its supply was exhaust
ed. Mr.. Hoover wrote that public an
nouncement that the American COM
pany would refuse TO pay eXorbitant
prices "would help a lot"
Depended on Cuban Sugar
Mr.. Babst stated that he heard that
other refiners had received a similar
letter. and that in October all except
four plants depending on Cuban sugar
closed
The committee has not decided when
its coal investigation Will be taken up.
Governor Cox of Ohio, who was asked
to testify on the coal situation, to-day
sent a sharp message to Senator Reed,
in which he said he believed the COM
mittee had a preconceived theory IN
handling its inquiries; that he believed
the Ohio coal situation was due to Dr.
Garfield, fuel administrator, and he did
rot want to subtract one word OF his
indictment against him." but he be-
lieved the government theory Of control
was sound and that it should not be at
tackled.
Senator Reed tonight replied that
the committee simply wanted to ascer-
tain the facts and was proceeding on
no other theory. He added: at would
be fairer to DR.. Garfield and would
also serve to throw light on the real
causes Of the coal shortage If you
would consent to appear before the
committee at the same time as DR.. Gar
field and give the committee oppor-
tunity to understand the ground Of
YOUR criticism upon him."