The New York herald., 1869-05-21
Workings of tho Telegraph Monopoiv-A
Postal Telegraph tho Only RELIEF.

| WOrkiN8b Oh tho Teie8rhPn
Postal Telegraph tho Only Relief.
The suit brought few days ago in Cincin-
natl by II. l.. Davis against the Western Union
Telegraph Company exhibits in strong light
the bearing of this gigantic monopoly on the
commercial interests of the country, and the
manner in which the vast power they WELD is
used to force every enterprising merchant,
banker and broker in the country to contribute
| to its gains. From the statements before the
court it appears that the Cincinnati Stock Ex-
change Company, desiring to have frequent
and reliable reports of the condition of the
market in this city, arranged with Mr.. Davis
for the sending of the same in cipher by tele-
| graph The business was carried on for some
time with mutual satisfaction to the parties, until
the Western Union Telegraph Company deter
mined to monopolize the profits that might &C
crue from sending mercantile reports over the
country. Davis was then notified that If he
would surrender his list of customers to the
telegraph company they would pay him
stated weekly salary to attend to the business.
When he declined to do this they then threat
ened him, and signiGed that they would make
him understand that they controlled the mat
ter. Accordingly series Of annoyances COM
menced in his business, and delays in the
transmission of messages, which finally broke
up his arrangements and compelled him to
seek other employment.
This case is merely specimen of the sys-
tenn which has been pursued by the telegraph
aI1o ovJ hoe
abled them to obtain the exclusive and un-
checked transmission of market advices be-
tween all our great commercial centres. We
say unchecked, because their market reports
can only be verified by private kilograms
transmitted at great cost, and these serve only
chants subscribing for the regular report.
Every man in business knows how unr eliable
these market reports of the Western Union are,
and yet all are compelled to take them that
they may know what influences are working in
their market. We have frequently had to
refer to delays and suppressions of important
| changes in markets, and some plausible
| excuse is always found for an occurrence
| which may have enabled somebody to make
very profitable series Of operations. A case
of this kind occurred two days since in our
| own market A difference of two per cent in
| the quotation of bonds in the Frankfort market
on two consecutive days occurred in the
| Western Union reports which were delivered
| to subscribers in this city. This caused much
excitement on the street, and on examination
it turned out that the quotation given the day
previous was two per cent above the market
The excuse was that ga mistake had been
made in deciphering by the key" We are not
told if any one had operated in the meanwhile,
| and it only appears that powerful ''bull'
movement was in operation at the time.
We cite this case only to exemplify the dan
ger and temptation of monopoly in the trans
mission Of market advices. 1t will be said
| that the Western Union do not control the
European advices We admit this; but they
do control the advices between our own great
| commercial centres, which affect prices of all
our staples of production and trade, and the
feeling among the business community is that
reports of important changes in the market
slips must be verified by private advices.
This destroys the true object OF the merchant
in paying the monthly tax for the slip yet, as
we have already remarked, he must pay the
tax to the Western Union in order to know
what is going on.
There is but one remedy for this enormous
| evil and wrong. The postal telegraph will
render that instrument serviceable to every
merchant and greatly increase its use by them
| II will facilitate the sending Of competing
market reports and secure promptitude and
exactness in them. The merchants Of every
city in the country should take action, through
their respective chambers of commerce and
commercial boards, to enlighten public
opinion and urge upon the government the
early establishment of the postal telegraph.
We shall then be rid of vexatious monopoly in
transmission and its attendant errors and
taxation.
| Does.-The Mayor is Of opinion that the
/ Doord ,r uoaIth boo ;,,r; ;ad; of Jooa ard