The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-11-01
LOCAL MEN SURPRISED
Elevator Men Say Hill Is Barking UP
= Wrong Tree.

The action of John Hill, IT., of Chi
cago, in writing a sharp letter to Cow
ernor Deneen, and bringing before
States Attorney Healy Of Chicago, evil
dence in support of the allegation of
the existence of a combination. or trust
OF elevator men, occasioned great sur
prise in Minneapolis. The Peavey in
James Petit, and the elevator proper
ties of j. Ogden Armour are specifically
cited as being in combination. Mr..
Hill urges Governor Deneen to insist
upon the resignation of the directors
OF these companies and to work for the
Indictment of the officers for violation
Of the antitrust laws.
Hill Is Active.
John Hill, Jr., has long been an ag-
gressive character, working for reform
ness and frequent appearance as father
of some plan for the elimination of
trouble and annoyance, the perfection
Of method and the establishment of
high plane of commercial conduct, has
drawn upon him, the appelatlon of the
conscience Of the trade. In the
elimination Of certain trade parasites
that grow upon the grain trade proper,
Mr.. Hill made a reputation, and is
known the country over as a bucket
shop killer :. IS i. 49,.
The Chicago board is at present deep
ly concerned over the decline Of that
market and the shrinkage Of business.
One plan after another has been pre-
sented without much effect. At the res
cent secret meeting called by Presi-
dent Walter Fitch some means Of re-.
viving speculative interest in Chicago
wheat was sought. Mr.. Hill contended
q r no .ala ofnr hor he
market, but the elevator men, who have
pursued their business of handling the
cash grain,. and whose interet in the
speculative side of the. trade is slight
say that in this Mr. Hill is in error,
and while they recognize his good in.
tent and credit, him with best motives,
they smile at his allegations Of an ele-'
vator trust and contend that his efforts
are misdirected. sSas
>, Wells Tells About It.
Speaking Of the connection Of the
Peavey interests with the Chicago all
legations, F. B. Wells said today:
"There is large elevator storage
capacity in Chicago. The lands and
buildings represent heavy investment.
At times part Of the capacity has
stood Idle because, in the distribution
OF the crops not enough wheat has
the capacity in full.
The Chicago elevators have pooled
some of the business. Suppose for illus
tration that there are three houses in
Chicago each carrying a million bushel
stock. of contract wheat. Eastern or
foreign demand develops an opportunity
for the moving Of grain.
"!That house with. best location and
facilities with relation to the source OF
demand, naturally is in best position
to load out, but, in the loading out its
managers may see empty bins for
months ahead and big investment
eUning nothing and maintenance and
other charges still accruing.
How Pool Works.
'tUnder the pooling arrangement the
elevator emptying it's bins under Ger.
tain circumstances would continue to
share, in some part, IN the earnings. of
the other companies carrying
stocks Of wheat and charging storage.
Nothing in such an arrangement in
any way affects the price Of wheat.
When the La Toilette senate com-
mittee was Investigating the Chicago
grain trade Mr.. Petit. our Chicago
representative, voluntarily gave full in
formation regarding this matter, and
later turned over to Mr.. Marble the
original contract covering it. The In
terstate commerce commission is fully
conversant with the details and the
fact that nothing has SO far been forth
coming Of prohlbitory or admonitory
nature would indicate that the commits
sion has found nothing legally wrong