The Columbus dispatch. (Columbus, Miss.) 19??-1922, 1920-11-24
CEMENT PRICES
FIXED BY TRUST
BUILDING TRUST IN NEW
YORK CONTROLLED
PRICES.
BREAKING GRIP
OF Gigantic Trust In New York
by Inquiry - Sinister In.
fiuence Affected all
Building Lines.
(From The New York Tines


The Lockwood committee entered
upon the second phase of its investi.
cation yesterday, that of probing into
alleged combinations of building ma.
terial manufacturers and dealers tc
keep up the prices of their commodi-
ties. Evidence along this line indicat-
ed the following:
That combinations exist among
manufacturers and dealers in cement,
lime, gravel, brick, sand, stone and
other building materials which hold
the builders Of the country in tight
grip by means of a network of or
CARNATIONS with intricate rules and in
some cases uniform contracts.
That national organization of
cement manufacturers controls the
cement output Of the country and di-
vides the States into districts for the
purpose of supervising the cement
trade, eliminating competition and in
surfing geographical distribution Of
contracts.
That no builder, however large, can
go out of his district to purchase
cement, nor can he buy it direct from
the manufacturer. A New York build
err cannot go to Philadelphia or even
to Newark for cement, but must buy
of a dealer in this city.
That prices for building materials
are uniform all over the country, no
matter what differences there may be
in the cost Of doing business among
the material dealers.
Evidence along the foregoing line
was furnished to the committee by
Hugh White, Vice President of the
George A. Fuller Construction Com
pany and in charge of all construc-
ton work in the metropolitan district.
Mr.. White, in his testimony and ac-
cording to comprehensive memoranda
he prepared for the committee, assert
ed:
That since the inception Of the Lock-
wood committees investigation the
price Of building materials has begun
70 tumble. As an illustration he
showed that on 100000 worth of sub
contracts his concern let for the build
ng of the Plaza Hotel. annex reduc-
ion amounting to $4,000, or more
han 10 per cent, have been made in
he last month.
That the unit of labor costs in the
asst three or four weeks has shown
greater productivity than at any time
n the last four years.
That the Lockwood investigation
disrupted the rings of contractors OPP
,rating under the Code of Practice
by John T. Hettrick so that
prices of limestone as well as other
have been radically reduc-
ID.
Brick Drops After Inquiry.
That the price of brick, which was
'S0.75 thousand up to the time the |
Investigation began, dropped as low as
'2075, the average at the present
ime, delivered on the job, being $22.70 |
| thousand. Earlier in the day George
Atwell of the Northern Wrecking
Company said that the price of brick !
n the last few weeks has dropped to |
'15 a thousand, but this was "along-
ide,' meaning at the dock, and $5.75 |
S generally added for delivery to the |
OBJ.
That the practice Of restricting
,uilders to doing business with the
original bidders on any job has been
lone away with in some lines, and
,uilders may once more refuse all bids
IN jobs and obtain additional bids
without fear of dictation by combina-
ions seeking to throttle competition. |
That when efforts were made by
,uilders and by the General Contrac- !
,ors' Association to buy great quanti-
les of cement direct from manufac-
urers the prospective purchasers
we're either referred to local dealers
" told that no orders could be filed
his year. In the latter cases cement |
manufactured by the various COM
'anies was always to be had at the
ocal dealers.
Mr.. Rifl powa of tho e. NJ I'll