Omaha daily bee., 1905-07-23
ALLOWANCES TO ELEVATORS
Commerce Commission Investigating Com
plants Of ST. Louis Grain Men.
CHARGE DISCRIMINATION AGAINST cITY
AIIeEe that Omaha and Kansas City
Are Given an Unfair Advantage
Railway Tramc Men
Examined.

ST. LOUIS. July 22.-The elevator allow
ance question. which is deemed one OF vital
Importance to St. Louis grain dealers, re-
eelved an exhaustive hearing by the Inter-
state Commerce commission today.
Chairman Martin A. Knapp, Francis M.
Cockrell and Judson c. Clements Of the
commission sat at the hearing, which was
attended by many prominent officials OF
western railroads and leading grain dealers
OF st. Louis, Chicago, Kansas City and
other large cities.
The hearing was brought about by COM
plants of the transportation committee Of
the Merchants exchange Of st. Louis. The
st. Louis grain dealers claim that the ele-
vator allowances alleged to be granted at
Kansas City and Omaha, but not in st.
Louis, constitute an unfair discrimination
against this market and make competition
with the two western points impossible.
The railroad men who testified were for the
most part in favor OF abolishing the trans
fer allowances
Asked point blank by the commissioners
what they thought should be done, nearly
all the witnesses stated that the elevator
allowances should be either abolished or so
adjusted that all cities could benefit Ivy
them, and be placed upon an equal basis
in doing business.
Says Custom started in Omaha.
@. H. Crosby, freight trafic manager OF
the Burlington road, testified that the Bur-
lington Railroad company is not in favor
OF concessions, but has to make them be-
cause competing lines do He said that a
contract between the Union Pacific and an
Omaha elevator company started the thing
going and other roads had to- fall into line.
]. T. Hatahan, second vice president Of
the Illinois Central railroad, testified that
his road makes elevator allowances at
East st. Louis, Memphis and Cairo, Ill.
A charge is made for elevation of export
grain at New Orleans Mr.. Harahan said,
emphatically that he believed elevator al
lowances under the conditions now exist
ing were a mistake. He declared that
| they should be wiped out and not granted
at any point. Belief that the concessions
would aid in prompt release of cars he
said, was one of the motives for granting
them in the first place.
Discrimination Against Chicago.
| George F. Marcy Of the Armour Grain
company, Chicago, and president Of the
! Southwestern Elevator company, Kansas
City, stated that the elevator allowances
were detrimental to the grain trade, to the
railroads and to the public at large. He
said he believed that II continued they will
lead to Generalization in the business.
Chicago. he declared, was Disseminated
against, with the result that business is
| being diverted from there.
Mr.. Frazier Of Bartlett, Frazier & Car
rington. grain firm of Chicago, was not In
| favor OF abolishing elevator allowances.
Samuel scottoen of Chicago, a grain
dealer, said that all shippers desire to be
placed upon the same basis and If such a
bGsis can be secured with allowances in
effect. he saw no cause for their abolish
ment. Otherwise they should be discon-
timed.
| Not all the witnesses were examined at
! today's session and a recess was taken
| until Monday