St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1892-04-13

This inyariablo agreement on the
part Of the dealers and elevator
men that the price ut Dulu'h shall be
the price AZ Chicago less freight from
Duluth 10 CHlcago.arbltrarly and Ot ne
ccsslty fixing pIlre 10 be paid for wheat
just 30 much beneath ITS actual value
as tie freight rare from Duluth to CHI
cagO shall be-this is tie combine.
This agreement to base the market at
Minneapolis upon the market at Chi
cagO offers an inducemrut for all the
transportation lines running from Min
neapOlis 10 Chicago Ia most heartily
cooperate with the combine OF
dealers and elevator men 10 maintain
that price, or. if it be possible, that tie
railroad and transportation lines fix the
price, then all the dealers and elevator
men at Duluth acqulcsce in the price
fixed by the roads. 1t IS to be regretted
that this investigation has not been eX-
tended 10 such an extent as TO determine
whether the railroads and trauspOrta-
ton companies compel this price 20 be
fixed upon the price Of wheat at Chlca-
20, or whether the railroads simply ac-
qulesc: In such price as fixed by
the dealers ana elevator men; but that
both the road and the elevator men are
actively engaged in the main tenance Of
this list price, which IS simply the
price Of wheat in Chicago less freight
from Minneapolis 10 Chicago, IS fully
sustained by the testimony taken before
the committee
If this combine did not exist, or if this
combine did not fix the price upon the
Chicago market. or, in other words, If
the dealers in wheat Ia Minnesota and
the Northwest carried on their bus
mess under natural laws and
in accordance with the law Of
supply and demand, then 10 would FOL
low as sure as fate that Duluth would
give price equal 10 Chicago, which
would be a realization TO the producer
Of Minnesota and the Northwest OF Il
price equal 10 that paid at Chicago.
The entire elevator and shipper inter
est OF Minnesota and the Northwest 10
operated now upon the arbitrary fiction
Of the Chicago market. That this IS
done in the presence Of G3,0OO,OJO
bushels Of wheat and in favor
Of u 100000 is the strongest proof
Of the existence of a combine.
That it IS not opposed by the railroad
lines running to Duluth Is entire proof
of their cooperation. That there Is no
power in the business circles, which,
cmInating through the boards Of trade,
the transportation lines. or from what
ever source engaged in the wheat traffic
i'm Minnesota and the Northwest which
confronts the despOtism Of this forced
condition Of the market, is the highest
proof to my mind Of the existence
of the most tremendous combine that
was ever known in the history OF
the world, and that this can exist only
by virtue Of an unnatural law Is an
other proof Of conspiracy; for, IN the
absence Of a conspiracy, Gods natural
laws take their own course No one
who reads the testimony can fail to see
that this condition is brought about by
a conspiracy, surely reflected IN the care
with which the elevator companies ana
all the dealers, and even the lines OF
transportation, have exercised 10
maintain the price list promulgated
by Frank IL. Irons. That the en-
tire business of the n orthWeSt i
transacted under this price list, as pro
mulgatcd by Frank Ii. Irons, the agent
of all the elevator companies, IS ylVldly
described III the testimony OF Mr.. HES
ten, a portion Of which l here quote.
Mr.. 1flesten was miller residing at 81.
Cloud, and engaged in the purchase OF
wheat at that point. Ills Credibllity can
llOl NC oNNNNool u ~ III ~ tNNA'NN eN'iN' 49,
testimony is Of the highest authority
before the committee.
The Scott story.
The discovery of Frank ii. Irons. as
agent of the combine was made in the
testimony of s. :. Scott, who was en-
ployed by the Grain Growers associa-
ton as Il detective to ascertain what
part Mr. Irons playel in fixing the
price of wheat in Minnesota. | quote
from his testimony as follows:
Question, by Mr.. Erwin. Do you know
ANYTHING Mr. Scott. about a combination for
in this state: Answer. understand there IS
such thing g Have you been 50 in
tormedy Ans Yes sir. q. BY whom:
Ans. BY Il Young man by the name OF Rob
erL l. Irons q. Who is he and where does
he reside? Ans. lie is Il son of Frank ii.
Irons. Room l., Chamber of Commerce. Min
neapois q. What did You learn from
Mr. Irons on this subject? Ans. |
learned that his father made the prices for
the elevator companies and private buyers
throughout the entire Northwest notifying
them what they should pay Tor wheat. z.
What is his fathers name: Ans. Frank II.
Irons. G. Wen. did Mr.. Irons say anything
further 10 YOU about ity Ans. / told him |
did not see how il was that his father could
have full sway | thought there should be Il
committee. asked him If there was not
committee 10 instruct his father to make
these prices Well he said there YVES 4 com
mittee, but the old man would do what he had
mind 10. regardless of the committee q.
Go on Ans ! asked who this committee
was. lie gave me Il number Of names that
cannot call TO mind. | can remember the
name Of one. q. Give his name. Ans.
Chambers, agent of the Northwestern Ele-
Vator company, Minneapolis, Mimi. q.
What more did he say to you, if anything!
Ans. | asked him how he notified these peo
Pile of the change of prices. He said
he notified the elevator Companies
each compuny-of the reduction or the
advance in price and instructed them
how they should nOtitY their people, by
night message or by mail, as the case might
be. and that they themselves notified the
private buyers by a postal card. said YOU
notify the private BUYERS also. He said they
these private buyers were controlled by the
farming element throughout the country as
TO what price they should put the grain to.
lie said that he did not know that it
might have started that way, or some
thing to that effect; but these
elevator companies, if they did not
come to their terms and pay the price that
they told them 10 pay, they would advance
the p'ice OF grain To such an extent that
they could not buy on reasonable margin
and make any money al it. And further
more, he stated that in consideration Of
certain sum of money paid TO these private
BUYERS by the elevator companies that they
would agree not to take only Il certain num-
Der of bushels each month, or that they
would buy a number of bushels of grain
and let the elevator companies have
the rest In other words, he says,
these buyers think the elevator companies
are giving them money, but he says it is them
giving money to tue elevator companies in
stead of the elevator company giving money
te the private BUYERS. Q. You understood
that there was pool between the private
buyers and the elevator companies? Ans
Yes. sir. e. And they all agree to stand to
the prices agreed between them and this
agent representing the elevator eompanies?1
Mr.. Scott in his testimony gave a
partial list of the names of the parties
that belonged to the elevator combine
known to exist throughout the entire
Northwest. He also produced the pos