CARTELS' INFLUENCE

Evening Post, Volume CXXXIII, Issue 114, 16 May 1942, Page 6

CARTELS' INFLUENCE

ANOTHER EXAMPLE IN U.S.A.

WASHINGTON, May 14

The Department of Justice announced that the Federal Grand Jury has indicted eight corporations and 20 of their officers on a charge of participation in a world-wide conspiracy to monopolise the manufacture and sale of dyestuffs.

Five American firms are indicted. They are the Dv Pont de Nemours Company, the • Allied Chemical Dye Corporation, the American Cyanamid Company, the General Aniline and Film Corporation, and the General Dyestuffs Corporation. The two lastmentioned were formerly controlled by I.G. Farbenindustrie (the German chemical dye trust).

The three other firms are owned and controlled by a Swiss consortium; they are the Ciba Company (Incorporated), the Sandos Chemical Works (Incorporated), and the Geigy Company (Incorporated).

The indictment named as coconspirators the establishments of Kuhlmann in France, which are at present controlled by I.G. Farbenindustrie and Mitsui, of Japan.

The assistant Attorney-General, Mr. Thurman Arnold, said it -was another example of the influence of cartels, which resulted not only in exorbitant prices to the American consumers but also restricted full development of the chemical industry, which was essential to the war effort.