18 AMERICAN TOBACCO CO. AND IMPERIAL TOBACCO CO.
On September 14, 1925, representatives of the Tobacco Growers
Cooperative Association again appeared before the commission anc
requested that B. F. McLeod, of the South Carolina Cotton Growers
Association, be given an opportunity to appear before the commis-
sion. It was suggested that he be questioned regarding a conversa-
tion with an alleged representative of the British-American Tobacco
Co., had in June, 1925. The association also re uested that an
examiner of the commission not previously andl with the inves-
tigation be assigned to continue the inquiry, which request was
granted. Mr. McLeod, for business reasons, could not appear before
the commission, but was interviewed by the examiner taking up the
inquiry. The matter in question may be stated briefly as follows:
Mr. McLeod met an alleged representative of British-American To-
bacco Co. on board the 1 Majestic, which sailed from New
York City on June 13, 1925. Ho stated that the British-American
Tobacco Co. had never purchased a pound of tobacco from the
cooperative, which was done for the purpose of putting the associa-
tion out of business; that his concern could buy tobacco for less
before the association was organized; and in response to the question
as to whether his concern was indirectly financing the growing of
tobacco in Georgia replied, “ That is another way to put the coops.
out of business.” These parties, together with IE. b, Sumner, a
cotton broker of Hartsville, S. C., occupied the same stateroom on
the trip. Mr. McLeod did not disclose the name of the representa
tive referred to, but the records of the steamship com any show that
the third party occupying the stateroom on this shi was M. L.
Poffett, of Paris, France. The records of the British-American To-
bacco Co. show that he has never been in the employ of that com-
pany or that he is known. The American and Imperial tobacco
companies also make the same denial. Further inquiry of this mat-
ter was believed unnecessary, since the records of the Tri-State
Association show that the Export Leaf Tobacco Co., the subsidiary
pros agent of the British-American Tobacco Co., has purchased
eavily from the assceiation since its organization.
In the final section of the report is presented certain facts relative
to the management of the Tobacco Growers’ Cooperative Association,
complaints — been received by the commission from members
of this association as to alleged mismanagement of its affairs. Because
of dissension among the membership, the association on February 6,
1925, requested an independent investigation of its affairs. The
report of this committee, which was comprised of representatives
from the agriculture departments of ‘Virginia, North Carolina, and
South Carolina, was made public during this investigation and indi-
cated much dissatisfaction among the growers marketing their
tobacco through the association. ¥ or these reasons, the commission
believes that information with respect to the effect of these factors in
causing the nondelivery of tobacco to the association is relevant to
the present inquiry and denied the request of counsel for the Tri-State
Association that i facts with respect to mismanagement not be in-
cluded in the report.