The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-01-03

daily using the United States mails for
the purpose of transmitting and adVer-
Using their business to the legitimate
cotton trade of the United States and
we charge that said business is fraud
ulent, and said. officials and members
of the New York Cotton exchange
should be denied the use of the United
States mails We refer you to copies
of letters hereto attached.
Third-We further charge that the
quotations sent out daily on the de-
based contracts of the New York Cot
ton Exchange exercises a predominant
ing influence over the legitimate cotton
trade TO Its great detriment and injury.
"Fourth-We further charge thar
New York city has ceased to be a spot
cotton market for commercial, spinna-
Bile grades of cotton due to the present
debased contracts of the New York
Cotton Exchange and as proof of the
charge we cite to you the fact that
from September 1, 1906, to December 81,
1906, there was only delivered from
that market 10,U46 bales of spot cotton
ly 100000 bales of American cotton
placed on the markets of this country
at other points.
'Fifth-We further charge that I'M
der the present debased and fraudu-
lent rules of the New York Cotton Ex-
change a 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.
Quotations and Stock.
'Sixth-We charge further that the
official daily quotations sent out through
the United States mails by the officers
and members of the New York Cotton
Exchange to their customers and 9TH
ers, both as to futures and spot
prices are fraudulent, in that neither
represent the true and actual value OF
spot cotton, but that the same are from
SIS to $3.50 per bale less than the market
price at which spinnable grades of cot
ton could be purchased in the south
and shipped to New York for tender on
said fraudulent contracts. In an ex-
hibit attached hereto we specifically call
your attention to the wide difference
existing between quotations of futures
market and spot market on December
%, as existing in the New York COTTON
Exchange, a difference of 163 points
or sS15 per bale, said difference clearly
showing a fraud Your attention is also
specifically called to the official quo
tations in said exhibit of the. futures
market and spot market OF the new
Orleans Cotton Exchange, noting the
close proximity between futures ana
spots of that market
''Seventh-We further charge that
out of the advertised stock or cotton al
present stored in the warehouses OF
New York city, amounting to 114,OOO
bales. fully 10000 bales OF said cotton
is of such inferior grades as to render
the staple unfit for spinning or manu-
featuring purposes, and that consid-
cradle portion of said cotton has been
held in said warehouses for years, anc
is totally unfit for any purpose what
ever except to be rendered on the
fraudulent contracts of the New York
Cotton. exchange to the serious detri-
ment of the United States
Want 1t ProEed.
1--WE therefore ask that you as post
master general of the United States
send a representative of your depart
ment to the warehouses of New York
city and have all the cotton stored
there inspected and graded in order
to determine the character of
the unspinnable and unmarketable
grades of cotton stored in that market
to tender under the fraudulent con-
tracts of the New York Cotton ex-
change under the present practices of
that exchange.
your petitioners futher state that
they have no desire to jeopardize any
legitimate transactions that are made
any of the cotton exchanges
of this country. This is no fight
against the New York Cotton ex-
change as an exchange to be used for
the purpose of safeguarding, protect ,
ing and furthering the legitimate cot
ton business of the whole country, but !
the charges here preferred and efforts
made are directed solely against any
and all debased and fraudulent con-
tracts and transactions which are
present practices by those who are in
authority IN making effective the pres
ent rules and methods of that ex-
change to the detrtment and injury of