The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-06-18
COTTON BULL S
. ARE |NDICT Ed
BY GRAND JURY
Patten and Fellow Ope-
rators Charged With
Conspiracy.
EXCITED BREAK
FOLLOWS NEWS
Government Comes Out in Open
Fight Against Spectators. Pro-
ceeding Under Anti Trust
La w-Five Defendants
Give Bail Of $4,000 Each,
Warrants for Others.

New York, juno 1.-THE govern.
'nent came out in the open to-day in
It's attempt to prove that manipulat.
Ing the cotton market IL against the
law. Jnmes Pntten, of Chicago, and
seven lesser figures In tile speculative
field, have been indicted, charged with
conspiracy In restraint of trnde under 8
the Sherman nnti-trust law.
The Indictment was returned by
special Federal grand jury late thi,
afternoon and handed up before judge
Housh In the United states Circuit
Court. Five of those indlcted-Pnttens
Eugene 81. Scales, Frank II. Hnynef
William II. J. r. Brown and Nj. H.
Rothchild-Envc bail of $4,000 as re-
quired, through counsel. For the Other
threo who were neither present In
court nor represented by lawyers,
bench warrants were issued. They
are. sidney J. Herman. Robert Nj
Thompson md Charles A. kitfIe.
Immediately the Indictment was an
nounced there was an excited break
on the New York Cotton Exchange,
July and August deliveries decHnihs
about $3.50 bale, July selling at
lI4.S1 and August at 1885 as against
1912 and 14.64, at the close of busl-
ness on the previous night.
Leaders Not Disturbed.
The bull leaders, however, appeared
to be In no manner disturbed by the
government action, and by their buy
ing orders helped to rally prices our
in. the last few minutes, July closing
at 1492 and August at t4.A9 bid, or
about IL to IA points up from the low
level of the day.
Five counts are embraced in the in.
dictment. which is in blanket torr,.
and contains 10000 words. The first
| count charges that the defendants un-
| lawfully did conspire with certain cos
| porations not herein indicted to de-
mand arbitrary. excessive and monopo-
listic prices for cotton. The firms
mentioned as co-conspirators. though
not included in the indictment, are as
| follows:
Alabama-Avondale Mills, Birming-
ham; Central Mills. Syiacauga: Enter
prise Mills. Enterprise Montgomery
Mills, Montgomery; Prattville Cotton
Mills. Prattville.
/ Georgia--Anchor Duck Mills. Rome;
Canton Cotton Mills. Canton; Elm City
Cotton Mills, La Grange. Exposition
Cotton Mills. Atlanta; Floyd Cotton
Mills, Rome: Granville Hosiery Mills.
Granville; Habersham Mills. Haher-
! sham Lawrenceville Manufacturing
| Company Lawrenceville: Lois Cotton
Mills. Douglasville; Milstead Manufac-
| turing Company, Milstead; Newman
Cotton Mill, Newman: Roswell Manu-
/ featuring Company. Roswell: Sibley
Manufacturing Company Augusta;
| cotton mills. Atlanta: Trion Manufac-
turing Company, Trion factory. Unity
Cotton Mills, La Grange.
North Carolina-Cannon Manufac.
turing Company. Concord: Henrietta
Mills. Caroleen; Mecklenburg Manu-
featuring Company, Charlotte.
4 South Carolina---Aiken Manufacture
ing Company. Bath: Bolton Mills. Bel
! ton: Brandon Mills, Greenville: Capital
City Mills, Columbia; Easley Cotton
Mills. Easley. Glenn -LewerS ATanufac-
turing Company. Whitmire. CRANKY
Cotton Mills. Columbia: Greenwood
Cotton Mills, Greenwood: Grendeli
Mills, Greenwood; jackson Mills. Iva;
Lancaster Cotton Mills, Langley Manu-
featuring Company. Langley; Mona
, han Mills, Greenville; Nlnety-six Cot
/. ton Mills. Greenwood; Olympia Cotton
I Mills. Columbia; Ottaray Mills. Union:
Pelzer Manufacturing Company. Pel-
. ger; Piedmont Manufacturing Conn
: Ipany, Piedmont: Richlands Cotton
+ Mills. Columbia; Saxon Mills, Spartan-
burg; Seminole Manufacturing Com
!, pany. Clearwater Toxaway Mills. An-
,, derson; Union Buffalo Mills Company
! Union: WlIliamstown Mills, Williams
. town; Woodruff Cotton Mills. Wood
ruff: Woods Cotton Mills Greenville,
Inside workings.
\ Describing the inside working OF the
alleged conspiracy, the indictment says
that the conspirators were to become
: members of and engage in an unlaw.
/ full combination in the form OF an
. agreement under which they were SEW
orally to purchase for shipment from
the South 10 New York all the cotton
y, IL
+ of foreign and domestic spinners and
: manufacturers in the ordinary course
. of business; in other words. as much
as they could purchase from day TO
! day without seriously enhancing the
. price, but, nevertheless, to such an
: extent that together they would, long
/. before the end OF the crop year, have
: SO much cotton i'll their possession
: In the city of New York that they
g could "by reason of the abnormal and
4 artificial condition thus produced In
: said trade and commerce. severally
demand arbitarary, excessive and mo-
/; |nopolistic prices"
! None Of the "conspirators,' continued
d the Indictment, was able to finance
the deal individually, thus proving in
i the governments logic that none of
/ i spinner or manufactured, and had no
v use for such cotton other than 70 sell
:, Agreement Made Public.
There Is appended TO the Indictment
what purports TO be- an agreement
between Browne and Hayne as parties
Q of the hrst part and certainN Nspinnefs az
: PARTIES of the second part. through the
a medium OF which 1T Ia allsGed cotton
i, was tllagally cornared, The contrast,
Il signed IN Nav York on February 2s,
- lleio, and amended on March 1910.
IS SAYS, among other things
ri The said parties of the second part
thereby subscribe Tor and authorize thA