16 AMERICAN TOBACCO CO. AND IMPERIAL TOBACCO CO.
With respect to the first charge, data was secured from the records
of the two companies involved. This information considered in con-
nection with the decree of 1911, which resulted from a proceeding
under the Sherman antitrust law, and in which both companies were:
involved, would appear to completely answer this part of the Inquiry.
In considering the data presented, it should be borne in mind that
both companies have for many years maintained extensive buying
organizations and have their own buyers on all of the important
ATs at which the types of tobacco in which they are interested
are sold.
The complaints with respect to the acts of the manufacturing
companies against the growers’ associations have come almost
entirely from the Tobacco Growers’ Cooperative Association, or its
members, which has headquarters at Richmond. Va., and a branch
office at Raleigh, N. C. This association is commonly known as the
Tri-State Tobacco Association. Its members consist of growers.
located in North Carolina, South Carolina, and Virginia. In fact
the records show that both companies have urchased some tobacco
from the other two large associations, the Dark Tobacco Growers’
Cooperative Association, which has its headquarters at Hopkinsville,
Ky., and the Burley Tobacco Growers’ Cooperative Association, with
headquarters at Lexington, Ky. The commission, therefore, has
given particular attention to the charges and evidence furnished by
the Wh and members of the Tri-State Association. It also
appears that this association was most active in having the reso-
lution adopted by the Senate.
Information with respect to this phase of the inquiry was secured
in the following manner:
1. Interviews with officials of the three associations mentioned
above and an examination of their records.
2. Interviews with grower members of the Tri-State Association
at Whiteville, Mullins, Kingstree, and Florence, S. C.; Raleigh,
Goldsboro. Washington, Rocky Mount, Norlina, Greensboro, and
Winston-Salem, N. C.; Chatham, Halifax, Boydton, Appomattox,
and Nottaway, Va. About 500 members were interviewed at these
points relative to disparaging statements made to them, and other
unfair acts, by those opposed to the association. In addition a
questionnaire was directed to about 300 others in which specific
information concerning the issues involved was requested.
3. Interviews with the officials of various warehouse concerns
operating warehouses in the territory in which the alleged unfair acts
occurred. The records and correspondence files of some of these
companies were also examined, including the Virginia-Caroling Ware-
house Association, and the Eastern North Carolina, Warehouse
Association. This also included the examination of the records of
the boards of trade at some of the Important tobacco markets and
of two tobacco journals, the Tobacco Farmer and the Southern
Tobacco Journal, which have actively opposed the cooperative
marketing movement.
4. Examination of the correspondence files of the American
Tobacco Co. and of the Richmond office of the Imperial Tobacco Co.
(Litd.). The purchase of leaf is an important factor in the operation
of these concerns and is under the immediate supervision of an
important official.