Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1906-10-27
CEREAL CLUB FIXES PRICES
Investigation Of Grain Trade in Iowa
Begins in Des Aoinss,
DAYS TESTIMONY IS SENSATIONAL
Dealers Association DiscriminateS
Against Farmers Elevators and
Pooling Arrangement Dis
tributes business.
tFrom a stan Correspondent.)


DIES MONIES. Oct 26--(Special Tele-
gram. 1.-Two members of the Interstate
Commerce commission arrived from Omaha
this morning and at once began investiga-
tion Of the buying and shipping of grain in
Iowa. The testimony was sensational in the
extreme, It being shown that the Iowa
Grain Dealers association Disseminated
systematically against the farmers ele-
vators, that the prices are governed largely
by card sent out by the Des Moines
Cereal club and Ward G. Case. and that
pooling arrangement distributes the busi-
ness among the members of the associa-
ton.
After several members Of the Des Moines
Cereal club had testified that they could not
remember that the organizati ton had ever
voted to fix pricessfor grain, r. w. Harper
took the stand and testified that as a guest
Of the club he had often attended its ban
quets and, meetings. which were held at the
Grant club weekly, and that after discus
sion of prices the vote of the meeting was
taken on motion by the presiding officer,
George A. Wells. secretary OF the Grain
Dealers association, and expressed by
| lifted hands, q basis for quotations for
the ensuing week, furnished to members
J of the association by Ward G. Case of this
city.
Commissioner Lane Of the Interstate
Commerce commission gave the members of
the Cereal club. who had testified that
prices were not fixed at meetings of the or
ganization, an opportunity to amend their
testimony, after which Mr.. Harper left the
! stand.
/ Lane sharply Questions Wells.
Secretary Wells took the stand and said
that he had intended to testify that he had
not put motions OF this character at every
meeting Of the club, and was about to pro-
ceed with further amendments when Com
missioner Lane leaning quickly over his
desk toward Mr.. Wells, created a sensa-
ton by the inquiry:
did not you try to mislead the commits.
sion on that point?"
Mr., Wells said that he had not.
why did you testify as you did?" con.
/ tinued Commissioner Lane.
did you not try to create the impression
in the commissioners minds that there wa,
no fixing OF prices and that nothing wa,
done TO fix prices at these meetings? Di,
not you do that?"
Mr.. Wells insisted that he had no
done So
WAS not that your distinct effort II
answer TO the questions?' persisted Mr.
Lane.
"No, sir" replied Mr. Wells
Didn't you in every way try to evad,
and avoid answering the questions OF Mr.
Marble (the commissions lawyer put {,
you at the time. when asked IN regard I,
fixing prices?'
Mr. Wells started to make some explana
tion when he was dismissed from the stand
Case f. Uncertain.
Ward G. Case, who was said to furnish
the price card TO the members OF the stat
association Of grain dealers. was Gale,
70 the stand and interrogated in detail
with respect 10 the cards He was no
certain about much OF the information h
disclosed. and denied any arrangement Will
the Cereal club.
The testimony In the hearing today va
20 the effect that the Grain Dealers as
sociatlon Is making a fight against tn
farmers elevator. which is not a membe
OF the association, BY restricting its teFmi
nal market when possible. that extensiv
pooling arrangements have existed and no,
! exist in Iowa which control the amount @
business done by controlling elevators
that prices OF regular elevators are gov
erned more or less by a card Issued her
by Ward G. Case that this card formerl
was the result Of weekly discussion an
T frequent vote Of the members OF the Dr
Moines Cereal club: that Secretary weu
1 lrs--sf-....a -. r.Lf--s :,