Evening star., 1946-09-27
Federal Court Fines
Defendants S175,00O
In A. & P. Case
BY the AsseeIofed Pre.s

BY the Asseeioted Press
DANVILLE, Ill, Sept. 27.-The
New York Great Atlantic g. Pa
cif1c Tea Co. and "a officers and
subsidiary corporations today
were fined total of SITS 900 fol-
lowing their conviction in Fed
eral Court on charges of con-
spiracy to monopolize a substan-
tlal part of the Nations food
business.
Judge Walter C. Lindley, in pro-
nouncing sentence, vacated portion
OF his conviction order of Saturday
and found three other subsidiaries
and one officer not guilty of the
charges, which were that the de-
PENDANTS restrained and monopolized
trade in violation of antitrust laws
i think in my anxiety to get this
matter disposed of, I was in error
concerning finding of guilty as te
these four defendants" he said.
No Prison Sentences Imposed.
The defendants acquitted were the
Great Atlantic & Pacific Tea Co. ol
Delaware, Great Atlantic & Pacific
Tea Co. of Vermont, Inc; American
Coffee Corp. of Jersey City anc
Francis M. Kurtz, vice president OF
the American Coffee Corp.
Judge Lindley ordered five of the
defendant corporations to pay tbs
costs of the long case. These in
cluded the New York Great Atlantic
IL Pacific Tea Co., the Great Allan
tic & Pacific Tea Co. of America
the Great Atlantic and Pacific Tea
Co, of New Jersey, the Atlantic
Commission Co., produce buying
subsidiary of A. & P, and Business
Organization, Inc, public rela-
tions firm.
No official estimate has been made
OF the costs, but observers believed
they would reach high figure. The
case began about II months ago and
consumed % weeks of actual trial,
with about II defense and eight
Government attorneys. There were
more than 200 witnesses, about 3d.
600 pages of written record and
more than 5000 exhibits.
No prison sentences were imposed
on any of the defendants, although
the maximum penalty would have
provided for imprisonment. :
Judge Lindley overruled a defense
motion for new trial and stayed
the fines until further order, pend
ing an appeal. Defendants have
announced they would appeal the
decision.
HartfOrds Fined $1,000.
Among 10 defendants fined a total
of ,000-S5,000 each on the two
counts of the criminal information
were John A. Hartford, 70, and his
brother, George L. Hartford, 80,
chiefs OF the chain food stores.
Maximum penalties would have
been a year in prison on each count
In addition to the $4,000 fines on
each count.
Judge Lindley in pronouncing
sentence said, 1T would serve no
purpose to enter a sentence of i'm
prisonment.' He cited a portion of
his decision, which said:
Violation is ordinarily an eco
nomic ofense, the seriousness of
which is not related to the moral
turpitude of the offender"
In addition to the Hartfords,
defendants fined a total of $4,000
were: The New York Great Atlantic
g. Pacific Tea Co., the Great Atlantic
& Pacific Tea Co. of America, the
Great Atlantic & Pacific Tea Co. of
New Jersey, the Atlantic Commits
sion Co., Business Organization, Inc,
a public relations organization;
r. w. Burger, assistant secretary of
the New York Atlantic 81 Pacific Co.,
and of several subsidiaries; David
7. Boeinger, vice president of the
New Jersey corporation, and H. A.
Baum, vice president, general man
ager and director, Atlantic Com
mission Co.
Defendants assessed a general
fine" totaling 5000 each were: The
Great Atlantic & Pacific Tea Co.,
Arizona; Great Atlantic & Pacific
Tea Co., Nevada; Quaker Maid Co.,
Inc, Brockport, N. Y; White House
Milk Co., Inc, Brockport, N. Y; Nakat
Packing Corp, New York, N. Y; R.
G. Ernst, vice president, Quaker
Maid; o. C. Adams, Philadelphia,
chairman of the board, A. 81 P.
Atlantic Division; w. F. Leach,
Philadelphia, president, Atlantic
Division; w. M. Byrnes. New York,
president, Eastern Division; j. j..
Byrnes, Boston, president, New
England Division; r. M. Smith,
Jacksonville, Fla, president, South
ern Division; o. l. Black, Dallas,
Tex, general superintendent, A. &
P. Dallas unit; T. A. Connors, Chi
cago, agent in charge, A. & P.
national meat department.; A. w.
Vogt, Milwaukee, agent in charge,
A. P, buying Office, Milwaukee, and
Carl Byoir, chairman of the board,
Business Organization, Inc.
None of the defendants was in
court. Judge Lindley said outside
of court that he believed it was
unnecessary to take them from
their vocations in a case such as
this, where no imprisonment is in