Fitzgerald leader enterprise and press., 1924-05-01
Daugherty Sat Silent While
Tobacco Trust Mulcted Public
Federal Trade Commission Charges
Late Attorney General Refused To
Prosecute. Charges Now Made that
Daugherty's Old Law Firm Was
Attorney for Tobacco Companies.
Written Specially for The Leader
By EDWARD PERCY HOWARD

Written Specially for The Leader
| By EDWARD PERCY HOWARD
(Thru Autocaster Service)
Disclosures before the special SEN
ate Committee investigating the oper-
ations of the Department of Justice
under Attorney General Daugherty fl
Inally confirm statements made months
ago to the effect that any effort ID
stop the exploitation of either the to-
bacco growers or the consuming public
would be quite futile under Daugher-
| tvs administration.
1t is now known that the Federal
Trade Commission has made several
attempts to- have the Department of
Justice modify decree SO as to- re-
strict, certain operations by the tobac-
co companies to hold down the price
| paid for raw material to the grower
and yet keep up the prices charged
.the consumer. Every such attempt,
however, has been blocked and ignor-
| ed.
Huston Thompson, chairman of the
Federal Trade Commission, was the
chief witness before the investigating
committee when tobacco was dragged
into the sunlight in the place of oil
Thompson testified that the last case
the commission had sent to the De-
partment of Justice in the hope of
getting criminal prosecution was one
involving the American Tobacco COM
pany and the Lorillard Company. This
was as far back as 1922.
The first complaint submitted in
detail and accompanied by a letter
of complete explanation was utterly
ignored by the Department of Justice.
A second letter followed and again
not even the courtesy of an acknowl-
edgment was received by the Federal
Trade Commission.
The complaint was for alleged vi
olation of the Sherman Anti Trust
law. There was no lack of evidence
upon which to base a proceeding. How
ever, it was impossible for the Commits
sion to get action of any kind until
,, the Keller impeachment proceedings
against Daugherty were started. Then
Daugherty seemed little more inter-
ested in the tobacco situation. He ev-
en- sent some attorneys from the de-
partment to confer with the Trade
Commission, but even after that moth
ing resulted. Every tobacco case re-
NAMED unprosecuted.
Senator Wheeler caused a laugh
when at this point he said, "Well the
Keller investigation did some good,
then, after all"
Thompson's testimony links the
former attorney general with neglect
of duty and wrongdoing more thor
oughly than any evidence that has
yet been produced. The expectation
is that as the tobacco probe proceeds
further inactivity will be disclosed for
there are great many cases pending
against the tobacco companies in
which so far the commission knows
absolutely nothing has been done.
The Committee is now seeking the
reason why Daugherty failed, neglect
ed and refused to- prosecute the To-
bacco Trust.
Charges have been made that Har-
ry Daugherty's old law firm over in
Ohio was attorney for the American
Tobacco Co., and the Committee seeks
to determine if that was the cause Of
Daugherty's failure to prosecute.
d, The spotlight will next turn on
the new Attorney General, Stone, to
see what action if any, he will insti-
tute to protect the tobacco growers
on the one hand and the tobacco con-
suming public on the other, as against
the Tobacco Trust