Omaha daily bee., 1906-10-23
Ali Grain Shippers Desiring Cars Must
EOtify This Firm.
llwAUEtE CARS ARE SWITCHED FREE
Charge Of S5 Per Gar Made on Those from
Other Roads.
PEAVEY NAN sN WITNESS STAND
George p. Fiack Defends Elevator
Auowancs from Urion Pacific and
says other Firms Get CoBccs-
slOns thnt Are Concealed.


KANSAS CITY. oct. 2.-The Interstate
Commerce commission here today began an
Investigation Of the relations Of railroads
to grain dealers aud elevator conn y
I'VE can't tell how many knH ~
dealers will be witnesses" said D. u y
Marble. attorney for the commission. =.
teen grain men have been subpoeaneo
appear this morning. Whether more va.
be asked to testify depends on the char
acter Of tho testimony given"
n. p simonds OF the Simonds- Shields
Grain company members OF the Kansas
City Board OF Trade and buyers and sellers
OF grain testified that his partner r. w
Shields. is manager OF an elevator in Kan
sas City, portion Of storage tanks OF
which hts firm leases from the Chicago,
Milwaukee g. St. Paul railway.
On direct examination Mr.. Simonds said
that Mr.. Shields was employed as manager
Of an elevator by the Milwaukee road and
received stated monthly salary This
salary. he said, was not increased ih any
manner by any concessions received from
the railroad. Later. In reply to a question
from Commissioners Clarke, Mr.. Simonds
admitted that there were no switching
charges made by the Milwaukee railroad
on grain passing in and out OF the elevator
n it came over that road, but that charge
other road.
Bidding ON COuntry Grain.
Mr.. Simonds denied that the fact that
Mr.. Shields was manager OF the elevator
had anything 20 do with the reasonable
ness OF his firms lease on the elevator.
Mr.. simonds said that in bidding for
grain IN the country his firm did not deal
entirely with what are termed regular ele-
vator men, but said they did not like TO
bid for grain owned by independent ele-
vator men for fear It might create feel
ing with the regulars. They had, prior to
two years ago. received few isolated let
: ters from Oklahoma and Kansas persons
asking them not TO place bids with certain
grain men. but had not let It influence
their action.
Mr.. simonds is not now actively engaged
Ia business, and was not familiar with all
the prms desllpes, His oartRer. +. W.
Shields ne said. was In st, Louis or Chi
cago. and Commissioner Clarke requested
that the latter be wired to be on hand to-
morrow morning 10 testify.
Frank O. Cromwell vice president of the
HALL Baker Grain company. engaged prin-
cipally IN exporting grain, which leases
elevators in Kansas and Nebraska. was
asked;
''FIas your company been In any agree
mot now l have no doubt that up to
about tWo years ago the predecessor Of this
company had been party 10 such agree
ments"
NixinE Grain IN Elevators.
@. II. Hunter. a miller Of Wellington,
Kan, said that the eject OF mixing grain
in the elevators was detrimental He said
ne had mixed grain to sell himself Ills
object WIS 20 sell IT, with no consideration
OF the effect It had on -four.
r. J. Gordon. grain broker OF st. Jo-
seph, Mo. said he had been notified not
10 buy from independent dealers I'm the
country The last notice OF this kind came
from Nebraska a year ago Gordon's re-
plies to certain questions regarding ship
ments made by him from st. Joseph TO
eastern points did not satisfy Commissioners
Clark and witness was requested TO bring
his books into court tomorrow
One Company Controls Traffic.
In tho grain Inquiry this afternoon the
Chicago, Milwaukee & st. Paul's method
OF managing It's big elevators was the
question around which most of the in
terest csntered. The rule that shippers
who desire to send grain over the Milwau-
kee must notify competitor the Simonds-
Shields Grain company. was proved and
nnaily admitted George b. French, gen
erai freight agent OF the Milwaukee. testl-
ned that he wished the company was out
Of the elevator business.
G. J.. Winton testified that he was en-
ployed Jointly by the Milwaukee Elevator
company and the sinonds-Shields Grain
company.
From whom does the foreman get his
orders regarding grain to be handied?"
Mostly from Mr.. Shields"
simouds-shields Grain company had no
preference, witness testified. He said ship
Ders wbo wanted to send out grain over
the Milwaukee road must order cars
through either himself or Shields. IN,
anally said that he had sometimes had a
decide, when there was a shortage Of cars
who should have the cars He denied that
he gave hts own employers preference. bul
said that 6 per cent Of the grain thai
went Through the elevator belongs tc
SimOnds-shields SO, Of course that com.
pany got most OF the ears
''ro what do you attribute the fact that
30 much of the grain gulhg over the MI.
waukee belongs TO the simonds-Shield,
Grain ootnpanyT'
Witness old not explsin
AIR CLARK took the witness IN hand. say.
ing
IN IS shrprising how many men ther,
are IN this business who 40 not low any.
thing abouv the business. but who ar,
making great success Of H."
witness showed considerable lack OF lr
formation and Nr Marble asked how n,
hifoi 5eiEsiS b ty.5 o5aosrBs. His sait
. bookkeeper had told him so. His dutle,
0ere the same IN the ioint employment a.
they were before he did not know WI,
would have the books relating 10 oharee,
made by the elevator company Tor heudlin,
the grain but agreed 10 try to ind out
Peavey aIan Defends Allowance.
George n Black of the Midland elevator
4 a branch of the Peavey grain interests
tsstiaed that the company has afty-siS ele
vstors Oh the liplon Pacific and seventeen
On its branches He said he was 'incllnet
to think his companY we the latguE
shipper on she Union Parihe Mr. Fiacl
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