Evening star., 1923-03-24
SENATOR DEMANDS
BIG BUSINESS CURB
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another statementlase night In which
he declared the department of Com
statement on the sugar situation,
which Was immed ately followed by
the present spectacular rise In sugar
prices
The department statement, Mr..
Manly said. carried > heading which
read: lin 1877 dlc world sugar
consumption WAS 100000 tons greater
than production. AMI the prospects
re that IL will lie 100000 tons greater
in 1929 If these prospects mate
rialize. the heavy accumulated stochs
"f III" end OF the le2t-2i season will
have given away by tie end Of ls22-
@3 I" a carr over blow the pre-
war normal figure"
Ready TO submit 10 Jury.
Mr. Manly declared - was ready
TO submit :" an% 'rlerIcan jury
whether IhiS pf!icial statement can ha
interpreted in any uth-r way except
a : a predicti"I r:lcuta I'd TO cause a
sudden rise In sugar pi1ces.'
Tht commerce Department state
ment Mr Manly declared originally
"as for publication In newspapers ot
Monday. February i. out that for
som" reason which is ~ Yet uudis-
rlos" the department. decided sud
G@nl$ "il the prerediI ( Friday to
make ;hc statement subject to tInmc-
diate release.
Il ask Mr. Hoover" said AIr Manl..
to inform the public why rhis sud
den chang" in the rcleaS. dat.- OF this
';att'n"Lt was made and upon whose
auSge stioI."
trGcs Grand Jury Probe.
Mr.. Manly further declared that
III" federal grand jurv should also
14N o. -b.,V
killing on the New York sugar Ex-
"Eanse on February I0. Immediately
after the publication O. III. Depart
nlent OF Commences statement"
Manly said he Was suggesting to
the Department of Justice that il
ing which is alleged 10 have taken
place III Cuba about the middle Of
January. 1929. between the president
or the National City Bank. the presi-
aent OF the Old Colony Trust Com
pany Of Boston. the president OF a
prominent Montreal bank. all of which
hold large quantities OF sugar paper.
and certain prominent Cuban sugar
producers.
Hull Blames Tariff
i am informed" asserted Mr. Mar
l!. that means of further iucreasinx
me prices of sugar were discussed on
this occasion.
Unusual" conditions in tile sugar
market were called 10 the attention OF
the department of Justice last month.
II vas stated II the department. and
agents have been busy since February
"a collecting Information as 10 tie
causes for price increases.
The department is Interested" q
statement said. an determining
whether any artificial shortage has
been purposely created in the supply
of sugar shipped 10 the markets OF
I q ~ 4.
other arbitrary interference is af-
fecting the price.
Hull Blames Tariff
Contendpg that the present rum
away sugar market. dominated by
prohteers. owes its chief underlying z
original cause to the tariff price
boosts" Cordeil Hull, chairman OF the
democratic national committee. last
night advocated a so per cent reduc-
tion in sugar duties.
president Harding has in his oun
hands the most immediate and potent
single remedy for the relief of the
sugar situation" said Mr.. Hull. adding
that the President should direct the
tariff commission. If necessary. 10
make an immediate report to the end
that the reduction could be put into
effect by executive proclamation.
Holds Hoover Blameless.
A statement issued by julius Klein.
director Of the bureau Of foreign and
domestic commerce of the Depart
ment of Commerce. exonerates Secre-
tary Hoover from any blame for the
increased price of sugar and attacks
statements issued by Basil Manly.
The statements and innuendos OF
Basil Manly. publicity agent of q po-
littcal organization. with regard TO
Mr.. Hoover's relations TO a world
survey of sugar. published by this
department February 8. are absolute
ly false" said the statement.
''I wish to state as I have done pre-
viously that Mr.. Hoover never saw
the statement In question until after
1t was in the hands OF the public,
nor did he even know 1t was the
course of preparation. This bureau
issues several thousand letters, stats
tical and trade statements weekly in
response to the public demand. and
the sole responsibility for such docu-
ments is mine. The physical pos
sibility of Mr.. Hoover auditing them
Is out of the question. No one has
survey. and 1t was correct
Incorrect Impression.
Dr. Klein then referred to the fact
that the press stories sent out in re-
gard to his sugar statement had given
an incorrect impression. He con-
tinued:
"This misinterpretation did give
spectators a. temporary advantage
and a rise OF I cent a pound in raw
sugar took place before the correc-
ton had been circulated. The price
went back a cent upon the correction.
The rise since has been due to specu-
lation and other causes and to the
persistent circulation of the misin-
by persons who knew
better and chose to use it for their
own purpose"
In conclusion, DR.. Klein said that
MIR. ManIey "persistently ignores and
as that is not good
political bunk"