The Montgomery advertiser., 1905-10-03
CCSEY ON THE STAND
HEARD BY THE INTERSTATE CON-
 MERGE COMMISSION.
Four Other Trafnc Managers Gf Large Packing Companies Afso Give
 Their Evidence at Chicago.

Chicago, Oct 2.-B. S. Cusey, who Is traffic manager for Schwarzchild and Sulzberger and was recently fined $5,- 900 for conspiracy In soliciting and ac- cepting rebates from railroad compa- nies, testified today before the Inter- state Commerce Commission regarding freight rates on live stock and live stock products from Missouri river points to Chicago. After answering a number of questions Mir. Cusey was temporarily excused and was instruct ed by the court to. return with the ac- counts of Schwarzchild and Sulzberger Company showing all rebates received on shipments of dressed meats and packing house products since 1902
 Four other traffic managers of the large packing companies were today subpoenaed as witnesses. The four are F. H. Fredericks. Traffic Manager for Swift & Co.,: F. O. Frisbie, Traffic Manager for Armour Co.,; Harry Wyatt, former Traffic Manager for Nell son, Morris & Co.,. and Patrick Cassidy, Traffic Manager for the National Pack ing Company.
 ' Witness Cusey today in his testi- mony said the amount of rebates which his company received from the rail roads averaged about $2.50 a car. He explained that this damage or rebate was paid ostensibly for delay in tran sit and damage to dressed beef and packing house products in transit. He said that not more than 5 per cent of the output of the Kansas City packing houses was shipped to Chicago on the public 20 cent rate. He de- cIared that nearly all of the output passed through Chicago on the way East and was shipped from Kansas City on an IS cent rate.
 H. P. Buell., president of the Chicago Live Stock Exchange and a live stock commission dealer and shipper for twenty-nine years was on the stand the greater part of the afternoon. He de- clared that under present freight rates Kansas City was better market than Chicago. The best prices are paid in Chicago, but in shipping cattle from Texas freight rates make it more ad- vantageous to market them in Kansas City said the witness Up to ten years ago practically all the Texas cattle were brought to Chicago, but recently most of these cattle have gone to Kan sas City. Chicago is the greatest mar ket in the world because of the wide competition among buyers and all the Texas cattle would continue to come
 here if the shippers were given the right rates. Under the present con- dition, however. this city is discriminat-
 ed in, favor of Kansas City"
 Have you not heard of an alleged | combination among the packers which | arbitrarily fixes the price of cattle here | in Chicago, and do you not think the shippers for that reason may prefer to send their products to Kansas City and other markets?" the witness was asked. T have heard of the alleged combi- | nation of packers here to control prices i of live stock, but they cannot do it on all classes of animals" replied Buell..
 They buy a great majority of a certain | class of cattle but there are other
 classes which they do not use and for
 which there is always a market For
 instance. the price of stock sold to ex-
 port buyers and spectators is never in- | fiuenced by anything the packers | may do."
 The hearing will be resumed tomor- row.