Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-01-03
Sensational Charges Against
New York Exchange Filed
With Postmaster General by
Prominent Georgia Planters,
CONCERN RUN SOLELY TO
BENEFIT SPECTATORS
Legitimate interests Injured By
Its Operations, AIlege
ConpIainants, Who Would
Bar Institution From Mails,
lny AIornIag Ieurnnl speeIal Leasea wire.l

\ lBy Morning. Journal Special Lensed wire.l
! Washington, Jan. Charges or
fraud were filed late this afternoon
with Postmaster General Cortelyou
1 against the officials and members OF
/ the New York cotton exchange BY
/ Representative Livingston OF Georgia.
and Harvie Jordan, president OF the
/ southern Cotton association On the
4 charges they file they base request
I that the department issue a fraud order
against the officials ana members OF
The cotton exchange IN order to bar
them from the Use of the United
| states mails in conducting what the
charges term fraudulent practices.
The postmaster general referred his
callers to Judge Goodwin assistant at
torney general for the postoffice de-
partment Il Is likely q hearing on
the charges viii be held by Judge
Goodwin before a determination of
the question Is reached.
The following Is d summary OF the
charges presented 10 Mr.. Cortelyou.
II. We charge that New York has
ceased "a be a commercial spot cotton
market and that the New York cotton
exchange, operating under It's present
1 debased and fraudulent contracts, has
developed into a purely speculatiNe
exchange anu that the grades Of cot
| ton shipped 60 New YORK and tender
able on the contracts under tho rules
Of the New York cotton exchange
cannot be used for commercial spin
ming purposes and that such grades OF
cotton are used solely to depress the
price Of spnnable grades IN the south.
20 further the speculative features Of
the New York cotton exchange to the
heavy detriment OF the legitimate cot
81 NJ
80 We further charge that the
said New York cotton exchange.
through its officers and ombers. Is
daily using the United States mails for
the purpose Of transmitting and ad
vertising their business to the legiti-
mate cotton trade OF the United
states and we charge that said busi-
ness Is fraudulent and said officials
and members of the New York cotton
exchange should be denied the use OF
the United States mails.
70. We further charge that the
quotations sent out daily on the de-
based contracts OF the New York cot
ton exchange exercises q predominant
ing Influence over the legitimate cor
ton trade TO it's great detriment and
injury.
"a We further charge that New
York eity has ceased to be a spot cot
ton market for commercial, spinnable
grades OF cotton, due to the present
debased contracts OF the New York
cotton exchange.
20. We further charge that under
the present debased and fraudulent
rules of the New York cotton ex-
change large number Of unspinnable
low grades of cotton are rendered on
the contracts Of said exchange which
are not permitted under the rules OF
any other cotton exchange in the
world, and we affirm that such rules
are fraudulent.
"G. We charge further that the Of
fiClal daily quotations sent on
throughout the United states mails By
Officers and members of the New
York cotton exchange to their Gus
toners and others, both as to futures
and spot prices are fraudulent in that
neither represent the true nor actual
value of spot cotton. but that the
same are from So TO $3.50 per bale
less than the market price at which
spinuable grades of cotton could be
purchased in the south and shipped
90 New York for tender on said fraud
ulent contracts.
e. We further charge that out
of the advertised stock Of cotton at
present stored I'm the warehouses Of
New York city amounting 10 $4,000
bales. fully 10 600 bales of said cot
ton Is of such Inferior grades as yo
render the staple unfit Tor spinning ~
manufacturing purposes, and that q
considerable portion of said colt bn
has been held In said warehouses; ior
years and Is totally unfit for any put-
pose whatever except 10 be rendered
ON the fraudulent contracts of the
New York cotton exchange TO the
serious detriment and injury Of the
legitimate cotton trade of the United
states. We therefore ask you 20
send "a representative to the ware
HOUSES uf New Norl, city and have ali
the cotton stored there Inspected and
Graded in order officially To determine
the character of The unsplnnahlc and
unmarkotlblc grades OF cotton stored
IN that market ta tender under the
fraudulent contracts of the New YORK
cotton exchange under the present
practices of that exchange
IN addition TO the formal charges,
many letters and affidavits in support
of them were submitted To- Postmas-
ter General Cortciyou Representative
Livingston urged prompt and decisive
action On the matter and Mr.. Cortel-
YOU said the charges would be given
attention hy the department.
President or EXCHANGE
INDIGNANT At. ACCUSATION
NcW york Jan. Waller q. Hub
hard. president of the New York r0t-
ton exchange. announced today that
he bad asked Postmaster General Cor
teIgnu Co send him conies of any conn
nlaints which might have been made.
~ him. against the Sew York cotton
aschanee. This action weF taken -
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