Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1918-07-30
BIG CHEMICAL
WORKS SEIZED
Heyden Plant Taken Over by
Alien Property Gus y
todian.
BRANCH OF GERMAN CONCERN
New York Lawyer Accused of
Participation in Plot to Conceal
Ownership of Company.
BRANCH OF GERMAN CONCERN

IS? Associated Press.
WASHINGTON, July 29.-Seizurc Of
the Eeyden Chemical Works at Car
field. y. j.. second largest corporation
or IT'S Kind in the United States with
eNclusiN" right to use many valuable
'erman patents. processes and formu-
las Tor tho making Of solol. sodium
Saltcyiatc. sacrharinc ami other hv-
products OF carhoic acid was an
nouncrd to-day by Alien P"opc-tv Cue
'ootan Palmer The plant will BE op-
cratee for the government. Mr. Fat
MGR said. ard :he patents aud formulas
Arnc ricantzed
The 'ieyGen works which did u bus
incss OF s4.o"c 600 last year. were taken
over. the custodian said. aftrr an in
rcstiEaticn by Francis T.. Ciarvin. di.
rector Of the bureau of investigation
III tn" alien property custodian's o.
fcc. revealed tina; II was owned by
the Chcmischc Fabrik Won Heyden. Il
Ea6cbrul, GERMANY. the largest chem
zeal company II tho world. and thar
AN eff 3rt TO conceal the real ownership
had h"tn made In 1916 b. George si-
mon, Of Brooklyn. y. Y. reDreser;a-
tive o. the German company. ai,'e6 by
T. Elicit lIodgs!sin. an attorney of
New York City.
STo7, who is Il German subject OF :
gan.zod the Eeyden concern in 1900
With ? capitalization OF S!0.O00, which.
later was increases TO $4,000. Df ~
go shares Of stock. Mr.. Palmer said.
The German company received AS in
considerations for tho secret fc'Rlui;lS
and patents
In i:ls. when .hc relations between
the United States and Germany be-
canie strained. Sinon. witt, the aid II
Hodsskin, sought TO "Americani.e" the
tIcvden works. the custodian sad by
;'n alleged purchase for $1,000 NJ IN
!.5 shares of stock held by the Ger
man company. which, in iols retted
that company sl.026.6eS. The money
10 finance the alleged sale. il was saia
was secured from Sinions ratcer-in-
law. Richard Kny, OF Erooklvn. IL
whom, Hodgskin gave a certificate to-
The 80 shares of stock
ITO protect the German ownership
OF the Hcydcn works" said Mr.. Palmer
simon got Hodsskin TO writr d le'
ter 10 him wherein Hodsskin agreed
TO sell back the stock to the German
Interests al any time within eighteen
months for the sum OF, $4,000 and
interest"
HodSskin. sir. Palmer said. n only
"t;ai':ed control of the company. bur
h.d ,nuscd himsei! 10 he elected Pres
dent b. the bc2-d Of directors and fixed
his salary at $1,000 a year.
Under ss-eXamin2tion by Mr..
Garv:n. continued the custod:an's
statement, Simon admitted that tho
Hcyd-n Chemical Works was owned by
the.chemischc Fabrik Won Heyden. He
said the concern was reorganZed so
as to hide the German ownership.
Simon said he went abroad for the
purpose OF ascertainnG the wishes of
the German company looking to safe
guarding their interests i'll this coun-
try because the Chemische F'abrik Won
Heyden had lost all its property. and
holdings In both England and japan
because OF the war.
Richard Kny claimed that he in
good faith in 1915 loaned $4,000 10
Hodgskin SO that Hodgskin might
purchase the company, and Simon and
kny both say the money was trans
mitted to Germany. Richard kny hls
surrendered to the alien property Gus
todian the certificate of 745 shares Of
stock issued to him and formally
turned over the company 10 the alien
property custodian