The Dawson news. (Dawson, Ga.) 1889-current, 1923-04-10
PRESIDENT HAS ORDERED
SUGAR HOLD.UP PROBE
WOULD LEARN WHY PRICES
SOAR IN FACE OF BUMPER
CROP AND SURPLUS.
BUYERS STRIKE IS SUGGESTED
Claims Are Made That Spectators
Have Cornered Market. Secretary
Hoover Denies He Is Cause of Ad-
vance. To Prosecute Prohteers.

WASHINGTON, d. C.-The Unit
ed States government is at last on the
trail of the sugar gouger. A months
Investigation by the department of
commerce has revealed the paradox of
plentiful supply of sugar, at famine
prices. AS a result, the department of
justice has been asked to run to earth
and punish a possible sugar combine
intent on manipulating the market to
keep prices soaring in the interest of
profteers, protected by two-cent tar
if rate on sugar.
Sugar has jumped from six to ten
cents a pound wholesale within the
last six weeks. Some big re6ners say
the price will even reach 20 cents a
pound by June. Yet figures compiled
by the department of commerce show
"a probable world sugar surplus of
100000 tons" this year.
Bumper Crop.
Official Washington is wrought up
over the situation. These facts have
come to light during the last week
When the slump in the price OF sug
ar occurred in 1921 many of the Gu
ban plantations passed into the hands
Of New York capitalists;
Raw Cuban sugar can be laid down
in New York for two and one-half
cents a pound, which, with the tariff
OF two cents and the refining cost
added, should mean refined sugar in
the New York market at seven cents
wholesale;
The worlds crop is greater than
any since the war, and exceeds the
pre-war average of 808,000 tons.
Hoover Makes Denial
To date nothing has been heard
from the sugar interests. The depart
ment of justice is engaged in an in
vestigation of the situation. Herbert
Hoover secretary of commerce; says
Il regret to see circulated the leg
end that the department stated there
was a shortage of sugar" says Secre-
tary Hoover. "The department made
no such statement. Unfortunately, one
Of the semi-annual statistical state
ments issued was misinterpreted, but
the moment it was brought to my at
tention it was Immediately corrected
in the press"
Harding Takes a Hand.
By Geographic Instructions from St.
Augustine, Fla, to the tariff commits
sioin President Harding instituted an
immediate inquiry into the bearing of
the Fordney- McCumber tariff sched-
ule on the present high price of sugar
He made clear that he is prepared to
lower the sugar duty at once should
the tariff be found by the investiga-
ton to be responsible for the abnor-
NAL sugar quotations.
Representative King OF Illinois,
member of the house banking and cur
rency committee, demands that the
federal reserve board compel banks to
stop aiding sugar spectators. He
holds that talk of prosecuting sugar
profiteers is bunk" as the federal re-
serve board finances the spectators
by discounting paper on which sugar
is held in storage.
Spectators Blamed.
The public is urged to cut down
consumption as the only means to de-
feat the sugar gouger." Conditions
are now similar to what they were
Immediately after the war.
Then, by skillful propaganda the
market manipulators successfully Gre
ated the impression that there was a
shortage.