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Show If Amount of Sugar Be More Than 15 Degrees, Farmer Gets 5 Cents Additional for Each Half Degree. GOVERNMENT SUIT BRINGS OUT FACT Chester S. Morey, President of Great Western Company, Jells of Havemeyer's Operations Op-erations in the West. N.DW YOltK, May 20.-lu Ha efforts ef-forts to prove the business of the American Sugar Refining company com-pany Interests is a. monopoly in rostral nt of trado, the government entered upon Kb second week of taking testimony In the dissolution suit today by probing Into the beet sugar industry In the west. Chester S. Morey of Denver, Den-ver, president of the Great Western Sugar company, was on the stand and probably will be recalled tomorrow. James N. Knapp. assistant United States district attorney, questioned tho witneu6 concerning the entry of the American Sugar Refining company Interests Inter-ests Into the west. Mr. Morey told of the sale in 1902 of the Greeley plant, of which he was the head, to the late II. O. Havemoyer of the American company at l2o si share. At that time he fiald thnre were but three beet sugar plants In Colorado, all Jn active competition. Tho government Introduced a letter wrltton by Mr. Havo-nieyer Havo-nieyer shortly after obtaining control from the Intorest In the Greeley plant to Mr. Morey ns follows: Havemeyer's Letter. "It occurred to me today that you might probably bo willing to assume a confidential relation bntwocn me and my associates In reference to a possible purchase pur-chase of the stock of the beet sugar corporation cor-poration In your stale, perhaps the Lehl company and perhaps the companies of which Mr. Ecclc. Is president. You would have to omploy somebody, of course In your Interest and of absolute Integrity to keep thoroughly informed of the stooks of these different properties and advise by telegram or letter, as the case might bo, as the quantity and rate." The witness declared that the proposal pro-posal of Mr.' Llavcmeycr had not been carried out, but that he did purchase stocks for him. "You went on purchasing storks In various companies with the Idea of ultimately ulti-mately consolidating them?" asked Mr. Knapp. "I don't think we had the Idea 'as early as that," answered Mr. Morey. Tho witness told of the later purchase of the Fort Collins plant of tho Colorado Sugar Refining company by Mr. Have-meyer, Have-meyer, of which Morey subsequently became be-came president. Eeets $5.50 Per Ton. In response to a question. Mr. Morey described In detail tho organization of tho Great Western company, the method of organisation, the method of raising bect3 and tholr handling. "How much do you pay for beets?" "Our present contract calls for a minimum mini-mum rate of ?G.o0 for a ton, Irrespective of grade. Should the amount of sugar be more than lo degrees, the farmer gets 3 cents for each additional half of one degree. The yield per aero Is about twelve toji3." "IIow long a run does the harvest usually give you?" "From sixty lo 100 daya." '"You sell your entire output In the early season, do you not?-" Mr. Knapp asked. "No; generally wo hove sugar on hand nearly six months, in 1908, when we had it large crop, wo carried '.'Ofl.OOO bags over to 1009, There were but three beet sugar fuctories in Colorado In 1002 the. I.oveland Eaton and Greeley plants, but they wro then In active competition. The first cost of the Greeley Gree-ley plant wns about 5750,000, but It has boon enlarged since." Deal Made in 1902. "Who was the first man to approach you regarding the purchase of your plant by thfj American Sugar Refining company com-pany or Henry O. Havcrm'yer?'' whs asked. "Mr Granger, I believe. This was early In 1002. when the Groolcy plant was still building. As I recall It. ho said the American company had nought a factory site at Greeley and I told kiln I was glad to huar of H." "You would have been glad to have a competitor put up n plnnt beside yours?" "Oh. no; I wanted to gel out of tho buslneso. 1 was n. wholenale srocor and had ben drawn Into It, and 1 thought I would hare an opportunity to sell out.'' "Did you l(now that the Amorican Sugar Su-gar Refinery company had bought an Interest In-terest In Utnh oomptnilfiij and the love-lnnd love-lnnd company nnd Intended to huy an Interest In-terest In all the beet sugar companies In the United Stateii?" . "1 did not know what thoy were going Ho do." |