The Montgomery advertiser., 1907-05-06
COTTON.

New York. May 5.--As a result of
conference between counsel, l have
ton for an injunction against the clas-
sifcation committee and the New
York Cotton Exchange. on condi
ton that the defendants consent to
before a referee, to be appointed by
the Supreme Court, and proceed from
day to day in taking testimony in
proof of the facts. This will result
and past conditions governing the cot
ton business of New York city and
will. in my opinion, effectively stop
the delivery of cotton on contract here
that Is not properly tenderable, and
check any disposition to violate the
rules of the New York Cotton Elk
change.
From now on 1 believe we shall
merchantahle cotton and bears some
Just relation to the real value of the
article.
The trial before the referee will be
and / invite any who may have evil
dence to give on the. subject to place
same at my disposal to the end that
world and may properly perform Its
important function toward the trade
and cease to be the object of anita
gonistic legislation throughout the
South.
believe that under the improved
conditions which VIII result from my
action the New York Cotton Exchange
has a brighter futures before it. and
that it will not be long before the
contract value will be a legitimate ex-
ponent of the real value Of spinnable
cotton and as such again available to
producers and consumers as means
of properly protecting themselves
against the risk of a decline or adj
vance in the market.
1t has been widely CHARGED by my
friends that my action was taken with
a view of springing a surprise upon
the market and forcing corner" by
Injunction. Such is not the case, and
the best possible proof it is my will
linguess to abandon the injunction
pending a trial, If the trial proceeds
forthwith. I am unalterably opposed
to corners. l believe them to be un-
commercial and as rule Improbable.
/ never participated in but one, when
at the invitation OF Messrs. S. Cru
rer and Company of this city. 3! join,
ed with them in corner Of August
cotton. This convinced me of the
utter futility of attempting to adj
vance the price of a great COM
modify like cotton by manlpu-
lative methods. My injunction was
simply demand that the
bylaws of the Cotton Exchange be OBJ
served. 1t had not seemed to me thai
such a demand would affect corner,
MIR. Henry w. laIt cOullSel LOT the
New York Cotton Exchange, in The
New York Sun of May 4th, is quoted
as follows: Although Mr.. Prices In
junction will do little except enjoin the
classification Committee from doing
things that are already technical VIC.
lations OF the bylaws of the Exchange.
the terms are so general that the com
mittee could not continue it's work,
and without the classification of the
cotton, trading cannot go on.
1.r,,it hot h..
the by laws of the New York Cotton
Exchange be violated TO enable ii to
continue its present methods, then Is
il not time that those VINO are invited
to trade upon the New York Cotton
Exchange be put upon notice of such
conditions, and am | to blame If, haV-
ing bought cotton under the rules OF
the New York Cotton Exchange, insist
upon the enforcement of these rules
to protect my rights hereunder in the
contamination OF my contracts! by
every means available to me. / have en-
deaHored 10 bring the abuses OF Whieh
complain to the attention of the FIX
change administration. | publicly an
nouuccd, nearly a month ago, that l
should avail myself of legal remedy, II
such legal remedy existed, and there
is no Justification whatever for the
widely disseminated statements that
I have tried to spring a surprise on
the Exchange. ! believe cotton is des-
tined to sell much higher l believe
this because the stocks of tenderablc
cotton. even the cotton tenderable unuer
the bylaws of the New York Cotton
Exchange. are practically exhausted
in America, and because while the
world needs an American cotton crop
Of at least 49, 100000 bales next year,
the pros cct is that the ield Will he
muCu less than this
/ believe that, as a result of the re-
forms now almost eertain TO be estab-
iished i'm New York, the New York Cot
ton Exchange will enjoy a very large
and legitimate business, and that those
who are likely to require cotton IN
the future. can, with confidence, pro-
tect themselves against such require
ments through the purchase of COZ
tract on the New York Cotton Elk
change. the integrity OF which, IN the
face Of considerable opprobrium, l have
done my best TO rehabilitate, and shall
do my best to maintain.
Theodore II. Price.