Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1919-12-05
u. S. ABANDONS
PLAN TOCONTROL
SUGAR SITUATION

WASHINGTON. Dec. 4.-Abandon-
ment of governmental attempts to
control the distribution and sale of
sugar was announced today by At
torney General Palmer.
After the sugar equalization board
is dissolved December 81, the gov
eminent will conf1ne its efforts to
prosecution OF profiteering in sugar,
Mr. Palmer said.
Explaining the departments policy
for the future, Mr.. Palmer said ne
had neither the power nor the ia.
cilities" to control the purchase OF
distribution of sugar. This was said
to mean the end of the program fol
bringing in fresh supplies of sugar
from Cuban and other sources. APP,
parently little use can be made OF
the new authority conferred upon
Mr.. Palmer by the president, VINO
designated him as food administra-
tor.
"A conference was held this morn
ing between representative of the
sugar equalization board and depart
ment of justice officials in which the
sugar situation was reviewed." Mr..
Palmer said. THE department has
neither the power nor the facilities
with which to control the purchase
or distribution of sugar The only
governmental body having this pow
err is the sugar equalization board,
and it's control terminates December
81.
1.-The congress, although requested
to do so, has failed to extend the life
of the board. The department of
justice will confine its efforts in
the future to the enforcement of pro-
visions of the Lever food control
act by prosecuting all instances Of
sales of sugar for an unjust or un-
reasonable profit.
1.-The department of Justice has
never attempted to fix the price of
sugar. In the past, it has accepted
the recommendations of the sugar
equalization board very largely IN
determining maximum fair prices
The fair margins of profit allowed
are those established by the food
administration. When such determi-
nations were made, they have been
communicated to the district attor-
neys, who were advised that any
sales in excess of the maximum fig
ure set should be considered unfair
anG unreasonable. The early termi-
nation of the sugar equalization
board will make it impossible to set
ANY definite price on sugar in the
future or control it's distribution. EV-
cry sale will be treaty on it's own
merits, and all cases where the dis
trict attorney has evidence indicat-
ing an unfair profit or Withholding
of sugar from the normal channels
of consumption or any discrimination
in price to the manufacturer or to
the jobber supplying the domestic
consumer will proceed against under
the Lever act"
Determination of the department OF
Justice to abandon its program was
said to give full lee-way for a rise
in sugar prices. While federal agents
will continue to watch closely for
profiteering officials said prosecu-
lions necessarily would be limited to
punishment Of dealers whose trans
actions are within the United States
as the government would have no
control over the prices at which su-
gar comes into the country.
The Cuban supply, recently estl-
mated at approximately 4,OO0,O0U
tons, will be the first to which Amer
lean refiners wil1turn. They, how
ever, must face stiff European COM
p6tition in making their purchases
in that market.