Show I SK DISSOLUTION OF O GREA T CORPORA TION s tI ic SUGAR RUST SUIT Y filED t C Considered One of Most Important Important Im Im- Sherman AntiTrust Anti Anti- Trust Law Lavi Cases l IM HA HAVEMEYER WAS i j GIVEN TEN MILLIONS Alleged to Be j and in Restraint of Trade Trad I U W YORK Nov 28 The Thc The federal I I today began ono of its most H t actions against the great groat cori cor- cor i rations which aro said to have via vio- 1 4 the Sherman trust anti law iy Wise United Unite l States district aty at- at y filed in the tho United States dist dis- dis t court a petition asking for the dis- dis If tiou tou of the American Sugar Rc Refining n any ny and aud twenty-nine twenty other othor corpora- corpora s mch compose tho so 80 called sugar II The petition charges illegal comIt corn com It in restraint of trado trade and asks court relief in whatever form may mayI I necessary eSsaIY including a receivership advisable thirty companies composing ug the 1 binn have have have-an an ag- ag aggregate ate rg capiot capi capi- r. r tio of ot and control a aa a i enly c e of the output of sugar uarI II I this country This IIii combine is also 1 lIeges es able to fix The petition w i If years year tile the companies nave have voM vio- vio M Cd dhe the law v doll and havo suppressed com corn Won aid aud ground roun competitors out of I ft 1 CO o. o I rebates and customs is a s. s are arc m mentioned ned as devices which W to raise the combine to i position which it ocle oc- oc le today fr right Fight Expected n resent c nt suit sui t wJ chit i e i tod e C m a IL cou toy a 1 i j J- J JI I I eu ft or oh weeks weer-s' weer of f JJ p fc Attorney Wise made made his under th tho dir direction of At- At ny General Wickersham and spent cral hOurs hOUTS in ln Washington Washinton last week I ferring with the thc attorney orney general g on i l plans pans II lit uit is expected to rank in in illI ill im- irn- irn I with mth tho those c of the thc government I iDa In t ibo tho standard Oil company and andu I u Tobacco company which j pending in In the supreme court posed to the government in In the lc g ge ilL be some of the most able abler r lawyers of the country M Beck former lormer assistant United I attorney general and now coun- coun the ot-the 11 American 1 L' L Sugar Refining Henning 1 1 11 L 1 Lne J I VOL I hc L I on ULi I the 1 position T e filing filing- of the theas thea vas as a simple prO process ess The govern govern- governs overn- overn s- s petition in printed form forni was ed d to the clerk of the district j Wy W y the district attorney Mr Wise I t ea to make any comment said the sugar Bugar combine was It hut but that if it appeared 1 he supreme court interpreted the law in inthe the tobacco and oil that the sugar company was in respect t violating violating- the law steps be IUbe I be taken immediately to comply law Jaw as ag thus interpreted I I f the allegations is that the late P O of New York for a C I mc he hea head d of the sugar Bug combine reI rel reF re- re F common stock of tho the l I pona i Sugar ar- ar Refining Refining- company of II ai LM a i at f UIA flin I ion wa was form formed t to take takei i into t th tho four independent concerns concerns- Refining company j B. B II n Hon Howells Sons Zons Co the theS I v ork Sugar Refining Refining- company of I. I Cit y if N N. Y operated operates by ocher the Sn Sugar ar Jn g company of Brooklyn and md tho J J Sugar Relining Refining t company These companies up were independent and it is said r m rican merican company wa was determined lre them I yeI's Big ig Slice Mr a plan inaugurated by Mr j I cm meyer cr John E. E Parsons and Jamea o t the National 1 company was ned ano iu took the thc four plants Mr t bLaming options on them When Siv c v stock I was delivered the peti- peti I forth fortL Post Past delivered r t I Ies es of f common stocks Mocks the tho entire isa is- is is- is With a pa par pal value of to f t The bo petition says the I issued in Jn tue first instance instance lf rr iry to law Jaw in violation of the c cpr's cpr cpr- cor- cor r- r j s 's and for no con consid- consid as Loth said raid Post and Have Have- czi well knew know I b aJIc alleged ed t when company took over o four I companies tho companies Franklin V r finin company the Spreckels tr r company the Delaware Iuso uso and the E. E C C. CKnight Knight t cornI com com- I Mr fr Ra and his Ilis brother I iIo L 9 9 bought boug 4 45 per o 1 tile the stock of the Spreckels com com- lJ 1 sold 01 1 i it at a large 1 profit I company of which both general g th the x petition charges that a el for for sonic time past Dast been and aro now cn engaged god in in combination and conspiracy trani the fr ro and rind commerce 1 land between the several states I i ories of the the United States and or i 1 nations in In raw sugar ar sugar arI ar I I I sugar molasses syrups products of raw sugar Sug-a and Ii Q cs 8 and arid to monopolize iho same samo fn and con con- 8 tb result nd out outgrowth of rM B and parti participated iu in by de de- vel J in n the manner I 1 extent hereinafter more fully filly I I manner ug iu in the various acts ade 4 t j p heI f after described all all' of the defendants have bare been actuated by wron wrongful lI intent to restrain said interstate and foreign n trade and and- commerce in in raw and refined su sugar ar and related articles article and to monopolize parts thereof The government petitions the thc court to decree That the tho defendants have been engaged en en- in unla unlawful combination and conspiracy con con- piracy to restrain and monopolize trade and that their officers directors stockholders stockholders stock stock- holders agents and employees be perpetually per per- enjoined from Crom doing any act to car carry crry Y out the tho purpose of such unlawful com combination That the court adjudge that the American Sugar Refining company the National Sugar Refining company compan of New Jerse Jersey and tho the Y Western st rn Sugar ugar Refining I L 12 ju tu an unlawful combination in restraint of trade and that each of them bo be restrained from engaging en engaging en- en in interstate or foreign commerce That the court adjudge that the tho shares I of the capital stock of each defendant I corporation heretofore acquired by any other corporate defendant were unlawfully acquired and that each such holder be enjoined from continuing to hold such shares and that the Issuing corporations be enjoined from permitting the exercise of rights incident to the holding of such 1 shares and that they be enjoined from paying dividends to the holders Smothering Independents That the shares of capital stock in ill the National Sugar Refining company Utah- Utah Idaho Sugar company Great Western Sugar Sugar Su Su- Su- Su gar company and Continental Sugar compan com corn pan pany formerly held by the lato late H. H O. O were unlawfully acquired by him and are now being beine unlawfully user used uy toe the executors ana and trustees under under lila his will who are made defendants in the suit The rhe government asks that the executors ex ex- and trustees be enjoined from further using the powers Incident to the S I hares so held by them to bring about operation co-operation between the issuing com corn companies and arid tho the other defendant corpora corpora- That tho the defendants be enjoined from continuing to carry out the purposes of ot the unlawful combination and conspiracy and be required to withdraw connections con con- therewith That the court grant such general r relief as may be proper by way a of Injunction in In- In Injunction junction receivership or otherwise The original sugar combine the tho petition peti pet tion sets forth was tho the Sugar Refineries company which was formed in August 1887 under the thc lead of H. H O. O Havemeyer and embraced companies which together carried on 90 30 per cent of the sugar trade in Interstate and foreign trade of ot the country at that time Within two years of ot tho formation of the original company it is charged the tho combination closed twelve refineries In 1 89 it ft obtained the Independent nm nia company leaving outside the combination combi cornol- nation th the only four foul Philadelphia con con- cern cerns The state of ot New York attacked the arrangement In a a. suit to dils dissolve lve the North Sugar Sug-ar Refining company compan which was one of tho parties to the th agreement and the courts held the combination to tobe be be illegal Thereupon the present American Sugar Suar Refining company was formed in January 1891 and continued the business of the combine Utah Compan Involved From 1892 to 1900 it is said independent ent refineries started up and others tried to toOne One company built bunt a plant in Jn Baltimore Bait Balti more but before before- it could operate the tho American company compan bought hought its capital stock an and never allowed it to operate its J I The TIle same sumo thing happened to i tho the United States Stales refinery It Is said In 1806 1896 when it built a plant at Camden N. N J. J The me suppression o of th the tho Penns Pennsylvania Sugar Refining company which was brought out in a suit against the Am American Amen Ameri- can fly company some soma years ars ago afro is al also ahie o re- re rl-I rl to rne rho cand ana anu Haw u Sugar company controlled bj by Hawaiian planters was put out of ot business it is alleged by means of an agreement whereby the combine was to pa pay a year for three years provided it retired from the field Held The government charges that the Amt American ha has hM obtained unfair a advantage I over competitors by lW obtaining money on imports by custom frauds as was wae brought out in the governments government's recent by b receiving rebates from rom railroads and by working in harmony harmon with whole whole- Continued on page 10 h i I SUGAR TRUST Continued from pa page c 1 i. sale grocers grocers' associations throughout tho the country an and keeping l up the price of su sugar gar A considerable lle portion of ot the petition is Is devoted to tue acquisition by the combine combine com corn bine brne of the tire beet sugar plants wh when n that industry began to grow formidable In 1901 all the tho companies except the Spreckels els cIs company which was a beet sugar concern were independent Time The AmerIcan American Amer Amen ican lean it is charged began Its campaign by sending sending- into the middle west large quantities of su sugar a on which it had obtained obtained ob oh- tamed rebates and free storage durine the summer In the fall which is iN th the time the boot beet sugar companies s be began to sell their Oler products the tho American is said to have put its prices to less than cost cost- I injuring tho tim business of the beet oot sugar sugar- companies In 1902 having weakened and discouraged d these companies tho the p pe p petition ti tion recites the tho melkan corn company compan pany be began began be- be gan gair to bu buy them in in-in in in some sonic eases cases ex exacting exacting ex- ex acting a R. tribute for all sugar sold by such sueh companies The American Beet Sugar company it i is char charged tJ was waR forced to pay a quarter of a a. cent per p pound und on all ull sugar It sold Controls 72 Per Cent of Product A At I t p present lIt according to th tho peli petition lion the American an company and anti its subsidiaries lanes control 72 per por cent cont of the tho ho 1 total I nil fT of nf 1 hi In the I i I I which is said to be enough t i to enable l cH it absolutely to control prices after meeting a certain amount of lomp competition The defendants arc the American Suar Sugar Sugar Su Su- Su- Su gar ar Refining company its itE directors and officers and amid all aU cano cairo and and beet sugar sug-al' eom- eom in hi which it holds hold stock or 1 0 over 01 1 which it hu has ras on control by the holding yf C stock aock in thorn th by companies s which in turn are aro controlled jy by the American The companies made defendant in addition l to W the American Sugar Refining Henning company iare are the time American Sugar Sug-nr Refining company company com corn comI pany of New lew York the Franklin Sugar Su-ar Refining company of ot Philadelphia Sprockets Spreckels Sugar ugar company of Philadelphia Western SU a. a Refining company compan of San Francisco California Su- Su ugar u- u par gill Refining company compan of or San Francisco National Su Sugar ar company of New Kew Jei Jersey sey National Sugar Hugar Refining company of New W York New York Sugar Refining company dollen S pir r l' Refining company of 01 Yo V. J. J 1 Sam Su gar Refining c 0 of f PhiladElphia Cuban American Sugar Rugal company nf f New NewYork York Colonial Sugar company compan pf or New NewYork York A hameda Sugar company of of San Sail Francisco Union S compa company Y of Sun Sui Francisco Spreckels Sugar company of or ofSan orSan ofSan San Francisco U 1 Utah Idaho tab Idaho aho S Sugar ugo r corn com company pany of Salt SuIt Lake Amalgamated ted Su Sugar lr company of Ogden Utah Lf Sugar Su u gar ur company of I Ida Idu Great Western u r company of Jersey City N N. J. J Sterling Sugar company of or Denver Dener Den Den- ver- ver er for Morman an County Con Construction oom- oom 11 of Denver Billings Sugar company of Billings Billing Mont cotts Bla Bluff Sugar company of Denver Michigan i Sugar u ar corpany cor- cor pany of Sa Jn w Mich Iowa lowa Hug Hug-al' ugar compan corn com pan puny of or Va CIl J Ja Carver tarver County Su- Su ou- ou gar sor company of oC Chapka Mimi 1 Continental Continental Conti Conti- Sugar Suar company of ef CIt Cleveland O. O and th the l River Sugar Company of r i Menominee MichIn Mich Mich- In addition to those these corporations a aI I i number o of individuals are made d defendI defend defend- ft nd- nd I ants Including Washington 13 B. Thomas Thomnas president nt of If t th the A American Sugar tug ing company l all the of the tho I I company John Jolin D D. and Adolph B B. I els of San an Fi Joseph F. F Smith of Salt Sail Lake Tak City h head ll of or the Mormon ch church and Horace Horac T I myer Loul Un W WT yel H. H Frei Fre in h uy uy- sen and EleCtra II ti Webb executors executor and amid trustees under the will of tho the laic hale H. H O. O t IIa cf I |