AUTHORIZING THE PRESIDENT TO REQUIRE THE UNITED STATES FIVE HUNDRED TONS OF SUGAR IMPORTED FROM THE ARGENTINE REPUBLIC MAY 29, 1924 Serial X 103601 WASHINGTON GOVERNMENT PRINTING OFFICE WATSON SUGAR CLAIM COMMITTEE ON AGRICULTURE, The committee this day met at 9.30 o'clock a. m., Hon. Gilbert N. Haugen (chairman) presiding. There were present members of the committee. The CHAIRMAN. The committee will come to order. This meeting was called this morning at the request of some members to give consideration to Senate Joint Resolution 49. Mr. Watson, we shall be pleased to hear you. STATEMENT OF MR. ROBERT A. WATSON, SOUTH ORANGE, N. J. Mr. WATSON. If it please the gentlemen of the committee, I will state the case in the form of a brief which I had previously sent to Senator Edge. The CHAIRMAN. Very well, you may proceed in your own way. Mr. WATSON (reading): BRIEF MARCH 19, 1924. Mr. ROBERT A. ZACHARY, Senate Chamber, Washington, D. C. MY DEAR MR. ZACHARY: Answering yours of March 18. the following are the facts in relation to my Argentine sugar importations under the regulations which were imposed upon me by the Department of Justice in June, 1920: After a number of interviews, first with Mr. Howard Figg, in Washington, who was a special Assistant Attorney General, and finally with Mr. Armin W. Riley, who was also a special Assistant Attorney General, in New York, an agreement was made that the Department of Justice should have entire control of the distribution of all my Argentine sugars. The bankers insisted that if the Department of Justice were to have sole control of the distribution, that I should have a letter from them guaranteeing that if I accepted this control that I would not come under any prosecution through the Lever Act. ceived this guaranty in writing from Mr. Riley, who signed the letter as special assistant to the Attorney General, and it was written on Department of Justice letterhead and dated June 24, 1920. I re There were many prosecutions going on at that time by the Department of Justice, and the banks did not wish to get mixed up with those in any way. It turned out later, when the cases came to trial, that the Department of Justice had no right to regulate either price or distribution. Shortly after my agreement was made with the Department of Justice I received my first order from them for the Bausch & Lomb Optical Co., of Rochester, for 30 tons, which I was informed was required for the employees of the firm who were unable at that time to secure any sugar in that city. This order was followed by one for a canning company in Florida, and the next one was for a Mr. Lovelace, in Poughkeepsie, whom I was informed had been appointed by the city to secure sugar supplies for their institutions, such as hospitals, prisons, etc. I wrote acknowledging all those orders, and |