The times., 1899-11-27

CHICAGO. Nov. 26.-Tha Industrial
Commission. through its subcommittee On
transportation. has. it is said, during its
resent sessions here established the FOL
lowing facts:
That the greatest combination in the
United States today is the combination
that fixes the maximum price 10 be paid
the farmers OF the country for 500 900, 600
bushels Of spring and winter wheat har-
vested annually. The proportions Of this
combine dwarf the Sugar Trust. Stand
ard OIL, Federal Steel. and the other
giants In the combine are four rail-
road systems with a mileage of 1000
miles and a total capital of stock and
bonds amounting 10 $1,000 600, 000. These
railroads are the Chicago. Burlington and
Quincy. Chicago. Rock Island and Pacific.
Chicago. Milwaukee and St. Paul, and
Chicago and Northwestern.
That there are five men who meet every
day in Chicago and fix the maximum price
10 be paid the farmer next day for his
wheat The principals are Armour & Co,
Charles CounselmaD, Ware & Co.. Bart
lett Frazier and the Peaveys. OF Mime
spolis. The men who meet are their
agents and do their bidding.
Cne OF the railroads. Armour has the st.
Paul COunselman the Rock Island, end
the railroads discriminate and rebate in
favor Of this big elevator combine. ="
These statements were given in the testi-
mony Of 5. H. Greeley
Mr. Couuselman was called before the
committee and admitted FIVE men met
every day near the Chicago Board of Trade
and fixed the price 10 be paid for wheat
the next day. He explained that 1t was
done 10 benefit Chicago, to bring the wheat
here for storage.
Further testimony indicated that the ele-
vator combine controlled the price of
wheat on the Chicago Board Of Trade. ex-
cept on abnormal occasions such as a
famine in Europe or when a speculator like
Joseph Letter comes in and temporarily
makes q success. II was the elevator
combine and the railroads. Indignant at
Letters intrusion. that wound up that
young man with a loss of $1,000 000 Since
then no one has dared 10 dispute the sway
OF the combine"
The chief object of the elevator men is
10 keep their elevators fun of grain, sell
it for future delivery, collect the storage
and when delivery day comes around mix
the wheat with ialerior grades 10 such an
extent that the purchaser may incur a loss
in accepting, thus forcing him 20 liquiaate
and leave the wheat with the combine %
il is then sold for another future delivery
and the same manipulation repeated.
The railway and elevator combine. q"
said Mr. Greeley blocks the natural flow
Of commerce. Millions upon millions Of
bushels oI wheat are boarded al market
centres 10 dspress prices. for being carriers
Of grain for storage pending The time ot
future delivery Tor which the product is
sold 81 is evident that the lower they can
gel the values of The crops the less insur-
snce interest and other charges necessary
10 hold Ihem- consequently the larger
profits. The storage charges always remain
The same. not declining in proportion TO the
depreciation in tho value cf crops. This
system Of boarding and selling Tor 1uture
delivery drives away and disc0urages in
vestors ana buyers. II forces tnem 10 sell
out and psrpctuates an endless chain OF
liquidation This storage load encourages
bear raiders and bucket shops whose
success IS made possible by the operations
OF the trust Farmers, merchants, and
labCrers suffer
To illustrate the position Of The trust.
Suppose The collector Of the port OF New
York should engage in the tea coffee or
silk business and pay no duty on his im-
ports, but charge all other handlers OF
these goods fun duty And not only this
but should take upon himself the right
10 mix. sort, and manipulate In trade the
silks teas, and cOhees Of the public How
long would competition with him exist,
The public pays all the storage. The ware
houseman pays no storage and owns and
deals IN grain.
Competition for the crops is already eX-
tineT. The trust has already fixed the price
at which the grain IS marketed. il has
already advanced a long way toward FIX
ing the price al which the public must tak'
the wheat and flour. Two things must b
done: educate and organize the people tel
the farmer what forces are at work max
ing their products sell under the cost o
production. Let farmers and labOTer'
know their battles are the same, and tha
wheat in the COS and SOS. corn under q
cents. and oats around 20 cents IN Chica
20. with ruinous rates of freight TO b.
paid out OF these figures. present condi
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