The free lance. (Fredericksburg, Va.) 1885-1926, 1905-01-12
THE BEEF TRUST CASE
Attorney General MoOdy's Argu-
meut in Supreme Court.
SAYS COMPETITION WAS sTlFLEo
Charges That the Packers conspired
to UnlawfulIy Raise Prices Of Their
Product and to Control the Entire
Mat Market

to Unlawfully Raise Prices Of Their
Product and to Control the Entire
Meat Market.
Washington. Jan. 10. - In the SUI
irene court the argument against the
appear of the beef trust against the
injunction order restraining it from
conspiring to increase the price Of
fresh beef was made by Attorney Gen
eral Moody. He began his argument
last Friday. but had only spoken a
few minutes when the court was ad-
iourned
In concluding his argument, which
vas a lengthy one Attorney General
Moody said:
These are the main subjects OF the
unlawful conspiracy among the de-
PENDANTS.
"First-In the seventh paragraph OF
the petition. it appears that the de-
PENDANTS have agreed upon this de-
vice. in pursuance OF the conspiracy
among themselves their agents bid up
the price of live stock at certain Sc
lected times to an abnormal point
This naturally induces the shipment
from other states of live stock to the
points where the price is bid up in
quantities much larger than under
normal conditions. Then, taking ad-
vantage Of this congestion Of the mar
kets. they refrain from bidding against
each other in the purchase of live
stock. with the result that the pro-
ducers and owners OF the stock are
forced TO sell at ruinous prices. Thus
the unlawful conspiracy to refrain
from bidding against each other is
made dOubly profitable. and the great
profits which come from the transac-
tion in turn increase the power of the
combination and tend to fasten upon
he people monopoly.
"Second-It is alleged that for the
purpose of aiding in the raising. low
sring. fixing and maintaining of uni
FORM prices for fresh meat. the de-
'eudants collusively restricted and cur
allied shipments of meats to the yari-
)us markets throughout the country.
The word 'collusively' fairly inter
)reted means that they curtailed ship
ments by agreements with each other
"Third-ln paragraph eight penal
ties are imposed against each other
10y defendants for all deviations from
the prices fixed, which needs no spe-
cial comment.
"Foruth-In paragraph eight. also.
uniform rules for the giving Of credits
are agreed upon This of itself might
be harmless. but its purpose Is ancil-
larry to the main conspiracy stated in
that paragraph. namely. the suppress
sion OF all competition among the de-
PENDANTS. They will not allow them
selves even to compete in terms OF
credit which may be given to their
respective customers. No purchaser
may go from one TO another of these
defendants and obtain the advantage
Of a single days delay in the ship
ment of his bill.
"Fifth-The same purpose is behind
the agreement alleged in the ninth
paragraph of the petition. to make and
impose uniform charges for carriage.
The price OF the meat is uniform; the
terms of credit are uniform. even the
rates OF carriage are uniform; and all
this comes about by the agreement OF
the parties. and is designed in the most
effective way to prohibit in the minut-
est detail all possible competition in
prices
These defendants are engaged in
Interstate commerce. The petition
shows a typical case of interstate
commerce. If the business which they
do. exclusive of manufacture. and not
Interstate commerce. there can be no
such thing outside OF transportation
They buy their raw material which is
gathered together from all the cattle
raising states and territories OF the
Union. and sent to the great live stock
markets of the country. After they
have transformed that material into
the finished product they sell II
throughout the United States. The
combination which they have entered
into is designed TO restrain all their
business transactions. exclusive OF
manufacture. by the suppression OF all
competition therein, both in their pur-
chases and their sales, by the fixing
and maintaining of uniform prices for
their product. and. so far as possible,
uniform prices for their raw material;
and by obtaining such unlawful advan-
tages as tend to create a monopoly in
a necessity Of life They cannot be
permitted lngeniOusly to separate the
various steps of their undertaking, and
so deal with them that they can be re-
garded as intra-state transactions.
mo competition can long endure
against those who are secretly and in
defaIIs of law enjoining the rates for
the transportation of their property in
interstate commerce which constitutes
preference over all others in the
same business.
mo more fruitful source OF mo-
nopoly can be found than the enjoy
ment of preferential rates. A history
of the country demonstrates this"
ROOSEVELT NEAR A DEMOCRAT