The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-10-17
RULE OF TRADERS
INJURIES FARMERS
Chicago Board S Price Agreement
Restraints Trade, Declares a
Prominent Member.

Chicago, Oct. H. w. P. Bartlett,
prominent member Of the Board Of
Trade, was the first witness called be-
fore the interstate commerce commits
sion today when the hearing regard
ing the grain trade was resumed.
Mr.. Bartlett declared that rule re-
Gently passed by the Board of Trade
fixing prices to be bid on grain in the
country, is, in his opinion, in restric-
ton of competition and of trade and
not a good business proposition for
men dealing in grain as he deals.
els the rule good for anyone9o
asked Commissioner Clark. rSsr.#
cob, yes,' replied the witness, cit
is good. for the commission men, .&*
at is also a good business PROPOSE
ton; for a burglar to get away with
his booty said the commissioner with
a laugh. IN. E.. - -
Mr.. Bartlett declared that the rule is
Injurious to the man in the country
who buys grain because the rule fixes
a price which the dealers on the Board
OF Trade. may not overbid. The rule
was then read into the record of the
proceedings. It provides that no mem
Der of the Board of Trade shall bid
emily than appears on call, posted
each afternoon.
.,. & z. 5s Petit on Stand.
James Petit, president of the Peavey
Grain company Of Minneapolis, who
was on the stand yesterday, was re-
called and furnished the commissioners
with a copy Of the agreement between
the elevator men which he described
yesterday. By the terms of this agree
ment it is charged the elevator men
We're able to force more grain into
their elevators for storage The agree
ment was abrogated sixty days ago.
Testimony relative to the existence
OF a grain trust was given by several
grain dealers of Chicago who testified
that prior to sixty days ago there was a
contract between the various proprie.
tors OF public Elevators in Chicago pro
v1dlng for pool Of earnings which af
forded a fund lfrom which the interest.
Ell hrms could draw to bid up the prlce
and break down the competition. This
agreement was gnullifed when the new
interstate law was passed, several wit
nesses said. iss,s ,~
That regular grain dealers howe hcon
given better rates than the farmers re-
celved was testified to by Lee kincaid,
banker and grain dealer at Athens. iu..
who said that the Baltimore & Ohio
Southwestern had been billing GRAIN
from Pleasant Plains, Farmingdale and
Ashland to ST. Louis at . cents a hun.
dred pounds for q regular dealer, while
the farmers elevator was charged
| cents: Mr.. Kincaid said that the prac
tlce had been discovered when a sub
stltute agent billed the. farmers grair
! at the low rate. The case is now il
the hands Of the attorney general Of
the state, who is proceeding agains
the railroad, Mr., Kincaid said. =. -
.,. Threat Made, He Said. -
Mr.. Kincaid also testified that Mil,
Lehr, an Hirregular'' dealer at a Doin
near Mount Pulaski, ILL.,, had receive,
a. letter from Bartlett, Frazer & Car
rlngton informing him that if he per
sisted in bidding up the market, the,
would put him out of business. MI
Kincaid said that he had been con
suited in regard to the matter, bu
failed to state what had been done.
That the proprietors of public ware
houses IN Chicago, who also own pri
vate elevators, have g way Of avoid
ing the state law which prevents tn
storing of their own grain in the put
TIC houses was also brought out in tn
hearing. James Petit. president of tn
Peavey Grain company, and seyera
others testified that when grain j
broug hit into the city it is freauentl
sold to a broker at the market pric,
less B Of cent a bushel, as con
mission, to broker, who inlmediatel
| sells future for the same quantity Q
grain to the firm. The grain then goe
into the, public warehouse, where
earns a charge of q cents a bushel fo
the first ten days and 1-4O cents
day as long as It remains after the frs
ten days.
!, In this way. the witness said. tn
grain earns the owner Of the stor,
house the regular storage rates, whic
, may change deficit into a profit.