The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-19
ONES
NET FORTUNES
IN ARMY CANDY
War Department Fosters
Great Profiteer Scheme
at Public Expense.
800 PER CENT. PROFIT
Brokers ON Inside Buy War
Stocks at 8 Cents and
Sell at 80.
SOLDIERS GO WITHOUT
Sale of 22,000,000 Pounds Of
Sugar at 2 Cents by Army
Also Unearthed.
900 PER CENT. PROFIT
SOLDIERS GO WITHOUT

The War Department OF the United
States within the period that has
elapsed since the armistice has aided
and abetted the most colossal candy
proflteering schemes ever perpetrated
Possessing the necessary influence.
certain brokers' whose names We're un-
known in the candy trade eighteen
months ago have acquired fortunes
sometimes mounting into the hundreds
OF thousands of dollars, by purchasing
from the army at and 10 cents a.
pound candy which was selling on the
retail market at 80 cents and 81.
This candy was purchased originally
or contracted for during the war in
order that 1t might be resold. or in
some rare instances, issued free to the
soldiers. That little of it if any ever
reached them the men who were in
the service overseas can testify. When
the fighting ceased, according to au-
thoritative statements, there were
100000 pounds Of candies either in
"a DNAAS lOI ttlC army
supply bases. A very large part of 1t
consisted Of chocolate candies OF good
quality, packed in tins and each piece
wrapped in tin foil.
Fortune on a ShOestring.
It was then that the Democratic Ad-
ministration proceeded TO play philan-
thropist to the favored candy profiteers,
and the open season for giving away
the soldiers candles to pet brokers
seems to have reached its height shortly
before the Christmas holidays of last
year.
one broker alone, whose name is now
well known to the dealers In sweets, al
though II virtually was unheard of be-
fore he began speculating at the Gov
ernments expense. bought hundreds Of
thousands OF pounds of the best choco-
lates In the army storehouses at Phila-
delphia without putting UP any money
for them.
After he had gone through the ware
houses and had made his own selec-
ton the Government stored the goods
for him free of charge until he had
combed the market and had secured a
large number OF purchasers for the
wares. As rapidly as he found these
purchasers they paid him and he in turn
paid the Government for the stock they
had contracted for. after which the pur-
chasers carted the goods away from
the warehouses at their own expense.
dies Ii was at a rate about ten times
what the government had received for
them. Yet this was but one Instance
In many. and IL would be impossible to
estimate the number OF people who
bought candles during the last Christ
mas holidays and since at 81 a pound
without having the least idea that their
own Government had sold these same
goods at ten cents per pound.
Candies of much cheaper grades have
been scattered about the country in ex-
actly the same manner, some of the
varieties going out OF the warehouses
at one cent package TO be peddled
later on the streets at ten cents a pack
age.
Why this stock. which was purchased
for the soldiers. is not given to them IS
a mystery. Even at the present time
the Government is permitting enormous
stocks OF candies to lay In waste in its
and the surplus In the army
supply base in Brooklyn Is large enough
to enable Uncle Sam to play Santa
Claus to all the kiddles In the city. but
there Is no move on the Governments
part to prevent this from going into the
hands Of the profiteers as the
other stocks have gone.
The attitude Of the War Department
at the present time seems to be that the
soldiers who remain in our army are not
entitled to these sweets and that II
would be improper to give them away.
They must. therefore. lay in storage
until IL is convenient TO the influential
private brokers TO market them.
There is much talk In the trade TO the
effect that n certain large candy con-
,ern which was incorporated at about
he time these sacrifice sales began was
,onjured into being solely in order that
I might take over great quantities OF
his stuff for which the Government
lad paid good price and release Il
ipon the market In limited quantities
hat would guarantee maintenance OF
at private profits
Sugar at Cents n Pound.
On the whole the extravaganza OF the
Government In connection with these