The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-11-24
ELEVATOR STORE
BASIS OF ACTION
Two Minneapolis Elevator Com
panies Defendants Under State
nti-Trust Law.
They Are Charged with Trying to
Stifle Competition at
Lowry.

Suit was brought by Edward T.
Young. attorney general, in the name
of the state today against the Atlantic
Elevator company and the Osborne Nc
MILAN Elevator company, both OF Min
antitrust law of 1899. The courts are
asked to revoke the charter Of the At
lantic company which is a Minnesota
corporation, and to prohibit the Os-
borne Mcmillan company, Wisconsin
corporation, from transacting any fur
Their business in the state. ,.ga.-. 4
The suit is brought on the complaint
Of the citizens of Lowry, a village Of
county. The complaining citizens rep
resent that during the season Of 1904,
their grain market was controlled by
the defendant companies and prices
maintained at so low figure that
large volume of business from the Low
ry territory was diverted to other
towns. To remedy this condition the
merchants, Of Lowry. and some OF the
farmers Of the vicinity, in the summer
of 1905, organized the Lowry Farmers
Elevator association, and about Sept:
l Of this year opened an elevator and
commenced the handling Of grain, with
the result that the Lowry market was
much improved. ~,
! ~ A Retaliatory Store.
When the farmers house commenced
business, representatives! Of the Allan
companies called on the Lowry mer-
chants who were responsible for the
opening Of the farmers elevator, and
are alleged to have threatened them
with the establishment of store in
Lowry, where merchandise would be
sold at cost if the farmers elevator
did not cease doing business. These
threats were UNDECIDED. and the farm
ers' elevator continued to do business.
| About Oct. l the two elevator com
panies opened in Lowry well-stocked
general store under the name Of The
Elevator Store and placed it in charge
Of Ralph Pennar, who is made q defend
ant in the suit. The Elevator Store has
been selling goods at cost, which means
ruin to the merchants of Lowry. They
therefore complained to the attorney
general, who thereupon instituted this
suit. ~. -
The state asks that the defendants b.
enioined from continuing the store be
cause it is not authorized by the arti
cles Of incorporation of the elevate
companies and because it is propogate'
by combination, agreement and al
rangement between the defendants in
, tended to interfere with or destroy opel
anu Tree cOup0GkLlOu LII GuC WucdG Ad1
{ ket at Lowry, and therefore violation
: Of chapter 359, laws Of 1899, known a
: the antitrust law. This is the first sui
t brought under this law. 81.
r It is believed to be the intention o
4 the elevator companies to abandon tn
8 store as soon as the farmers warehous
is crushed.
t Young Is Emphatic.
d Says Edwin T. Young, attorne
general:
"This is not the first time that eli
vator companies have threatened to IL
g stall or have actually installed .elevs
j tor stores for the purpose Of intim
! dating local merchants who encourag
= the establishment Of independent farm
u ers' elevators. The custom savors {
= Standard Oil practices and must t
+ stopped ped ,o,;ono Tho low - tz;s state
!, sufficient to protect the people agaln'
Il such unjust and coercive methods, an
10 we propose, as far as in our power lie
, to see that it is enforced.'
u The president of the Atlantic Elev
r tor company is G. G. Bagley. c. M. Cas-
% is secretary and treasurer, The pres
dent of the Ocborne-McMil]an compan
is J. D. Mcmillan. E. N. Osborne
- secretary and treasurer.
= George C. Bagley, president Of the A
3 lantic Elevator company, one OF the q
= PENDANT corporations, said today: 'Tl
s charges in the complaint are untru
= That is all I have to say