OCR Text |
Show N0,U.5J0N'T I IN KEEPING SUGAR COST UP Speculators . and Profiteers Are Bumped by Sudden Drop i B GE IRGE B. W ITERS . B. A Staff Correspondent WASHINGTON' Aug. 31. "The department de-partment of Justice will do nothing to krep the price of sugar up It would be a iolution of the Sherman act and the Lever law tor It to do so Fur-1 (thermore, H. S B. Floyd, who stated; in New York thut the government would help the wholesalers and rcfin-' ers prevent a further tumble in prices, Will be called upon the carpet. Ho wag unauthorized i muke such an assertion." This statement was made by Hubert T. Scott, private secretary to Att Gen. Palmer, it was in rogard to a State ment of Floyd, a speciul agent of the department's New Vork "flying squadron,' squad-ron,' which is supposed to be running down profiteers After at tending a meeting of refiners and wholesalers In New York, Floyd stated that the government would assist thi sugar, dealers In preventing a further great droi) In nt lee B rTTOTU DROPS H I The bottom has fallen out of sugar prices and a further decline Stems 04MT lam A few days ago sugar was selling Wholesale at ii cents a pound, and one custern refiner, who has ceased to, operate on account of high prices, got an unexpected supply from Cuba and Immediately dropped the prlC4t to 20' cents. Three western refiners followed follow-ed suit and now sugar is retailing In many cities for 15 cents a pound. Speculators Spec-ulators and profiteers got bumped. j The sudden drop caused a panic among tho big sugar dealers and the hurriedly called u meeting. Floyd's statement followed. "It s this department's business to lower prlc4ts, not help increase- them," slatod Scott. The sharp decline In sugar prices Is caused, principally, by large shipments ship-ments of Stlgar received from Argentina. Argen-tina. Szechu-f-lovakla and other countries. coun-tries. High prices In America caused sugar to flow here Also, up to July 16 the people had ihsorbed sugar at the rate of 100.02. pounds per year, as against the pra- vious high record for 1919 of 80.43 pound. J. (i. Weathafly, Department of Jus-tie Jus-tie c lUgar expe rt, said this indicated the people had sugar stocks about 35 pounds per fumllv for the nation. bH PEOPLE QUIT BUYING The people (iult buying and now tho supply is much greater than the Jo-mund Jo-mund Hoar lei-.s of SUg&r may lose mil.- L Hons as a result of the decline. Many wholesalers and retailers and unload- LH ing sugar h low cost in anticipation of a further decline. "It has been called to the depart- H ment's attention," said Scott, "that some refiners are holding customers to contracts made at high prices. If it is found that this Is a violation of the Lever law they will be prosecuted." bH Another thing that broke tho prico was the fact that many canners and LH housewives refused lo make preserves and Jams at high prices. |