Evening star. [volume] (Washington, D.C.) 1854-1972, 1910-02-20
GRAIN CORNERS BAD
Exchange Officials Admit They
Should Be Barred.
MARKET LETTERS UNFAIR
Censorship Advisable in Opinion Of
Witnesses.
VIEWS OF HOUSE COMMITTEE
Likely to Approve Scott Anti-option
Bill, with Some Amendments.
Impressed With Testimony.
MARKET LETTERS UNFAIR
VIEWS OF HOUSE COMMITTEE

Disapproval of corners" and possible
censorship of market letters figured in
yesterdays hearing of the opposition to
the anti-option bills before the House
committee on agriculture.
| The proposed legislation to abolish
transaction in futures in the exchanges
and boards OF trades has rallied some OF
try to the hearing. including President
White and Vice President Merrill of the
! Chicago Board of Trade. and leading Of
ficials of other western forums.
Bill Likely to Be Favored.
| While the committee has not yet
formally canvassed it's views the indica-
lions are that it will report the Scott
| bill with some amendments, aimed more
particularly at the cotton exchange meth
| DDS.
| The committee has been impressed with
| Objectionable features in all exchanges.
and the fact that producers of cotton
seem unanimous in demand for legisla-
ton. That considerable number of cot
ton spinners favor it, whereas in the
! field of the grain exchanges the produc-
| ers have been practically Indifferent to
the subject will probably have consider
able weight with the committee
The hearings SO far have indicated to
members of the committee that, on the
| whole, there are serious conditions, If
not grievous wrongs, In the methods Of
all these commercial bodies. They seem
to be more pronounced and indefensible
in the cotton exchanges than in the
other forums, according to the views of
some Of the committee.
Exchange Officials Testify.
| Contrary to expectations, Mr.. Gushing
did not address the committee yesterday
| in opposition to the bills. Yesterday S
speakers. all OF whom opposed the abol-
| ishment Of future transactions vigorously,
were: President A. s. White of the Chica-
go Board of Trade: Vice President George
Board Of Trade; A. f. Reynolds of Craw-
| louisville, Ind. for the National Grain
Dealers Association: II. D. Irwin. grain
exporter. of Philadelphia; E. p. Peck,
Milwaukee; F. A. Hallett. Minneapolis
Chamber of Commerce, and Ward Ames
Of Duluth. one of the largest wheat ex-
porters in the northwest.
The hearing was adjourned until next
Tuesday. Arguments Of the opposition to
| the Scott bill then will be resumed by
Vice President Morrill, of the Chicago
Board of Trade and others.
During yesterdays proceedings Mr..
| White, head of the Chicago Board of
| Trade, declared that transactions in flu
| lures were all that saved the provision
business from the same conditions that
| obtained In the beef trade. where a few
large packing houses dominated.
He would not say there is a beef trust,
saying he had his doubts as to that. He
| referred. however. to the possibility of a
hog combine futures were wiped out.
Corners and Market Letters.
The ethics Of corners and of market
| letters sent broadcast by members of
| exchanges were discussed by Mr.. White.
He disapproved of corners as wrong.
detrimental to the exchange and disturb
ing to business
| While the amount of business done
| where there was a corner was small COM
! pared to the total amount of business on
| the board, the corners, he said. attract
ed more attention than the regular opera
| lions.
Men who have been successful in
| corners" he said, ''can be counted on
4he fingers Of two hands. Letter lost
SIC, .OOO-"
| He was a bright and shining ex-
| ample" interjected Chairman Scott, smil-
| ingly.
was president lately considered a pro-
posed amendment to it's rules designed
| to prevent corners. and penaliZing any
one defaulting in the fulf1lment of his
obligations to deliver. The change was
voted down on the contention that it
might work SO as to impair the sanctity
of contracts.
II think" he added. that sentiment
is now getting around to the point where
something along that line will soon be