Omaha daily bee., 1911-05-20
Hundred and Fifty Individuals Are
Also Defendants.
CHARGES AGAINST RETAILERS
Consumers Country Over Are at Mercy
of Local Organizations
BILL DRAWN ALONG NEW LINE
Conforms with Ruling and Alleges
Undue Restraint of Trade to
Both Consumers and
Manufacturers.

pIlttet 10 UldChllSN tOntSEih uot
as proper trade. and TO violate generally
the sherman antitrust law are made In
government suit filed by Attorney General
Wickersham In the United States court
here today against the so-called Lumber
trust.
Ten trade organizations and more than
l50 individuals are named as defendants in
this suit, which may be the first of several
planned by the Department of Justice
against combinations of retailers in staple
commodities and the necessaries of life to
prevent the ultimate consumer from buying
anywhere except from local retailers.
The governments suit is replete with
sensational allegations and 1t asserted that
builders and consumers of lumber the coun-
try over are at the mercy Of the retailers
organizations in different sections of the
United States.
The suit filed today is against the East
ern States Retail Lumber Dealers associa-
tlon, which is the central body Of nine
local organizations covering five statas the
District of Columbia and the cities Of Balti-
more and Philadelphia.
Alleges Undue Restraint.
This is the governments first antitrust
suit conforming to the supreme courts
Standard oil decision in that It alleges
undue and unreasonable" restraint of
trade Of the consumer and the rnanufac-
turer. 1t is the evident purpose Of the
plea to confine the charge largely to that
feature small stress being placed on the
restraint of trade among the conspirators
themselves.
Attorney General Wickershham and his
special assistant Clark Nick ercher, have
devoted more than a year gathering the
evidence on which today's suit is based
This evidence includes copies of the AL
legged agreements, black lists and reports
OF the various organizations, branding
wholesalers and retailers who have dared
to violate the rules of the association as
''poachers," mavericks" "scalpers' and
'tllegitimate dealers to whom short
shrift must be applied
Says Retailers Have sfanopofy.
The government charges in brief that by
an elaborate system OF blacklistinR not
only individual consumers. but some Of the
largest Industrial corporations have been
prevented from dealing directly with
wholesalers. BY alleged unlawful agree
ments and acts II is charged that all com
petition for the trade OF the contractor
the builders, the manufacturers of finished
lumber products and the individual con-
sumer has been thrown entirely into the
hands OF the retailers, In the eastern states
4 by retail lumber dealers associations and
! its constituent organizations
The governments bill alleges that in some
| localities the wholesaler selling TO con-
sumer has either been heavily fined or ex-
/ PEELED from the organization
Officials of the Department of Justice
regard the suit as the most important, in
principle of any yet undertaken by the gov
ernment against alleged conspiracies said
20 he - Ig,.g.
that should the courts uphold the govern
ment's contention that it is a violation of
the Sherman antitrust law to prevent the
ultimate consumer from buying direct from
the producer. other suits will be started
against combinations of retailers alleged
to be in control OF the marketing of many
Of the commodities OF life.
List of Defendants.
The defendants named In the suit and
who are alleged to have conspired among
themselves and with the assistance of the
National Wholesale Lumber Dealers as
sociation have prevented wholesalers from
selling directly or Indirectly TO consumers
are:
The Eastern States Retail Lumber Deal
ers' association, New York corporation
with offices at No. IL Broadway.
The New York Lumber Trade associa-
ton OF New York City.
The Building Material Mems association
OF Westchester county, New York
The Lumber Dealers association Of Con-
The Massachusetts, Retail Lumber Deal
ers' association.
The Lumber Dealers association of
The RstaIi Lumber Mems association of
Baltimore.
Tho officers and directors, trustees and
members Of the above are named as in
divtdusl defendants as well as the officers
and directors and members OF three follow
ing voluntary organizations:
The New Jersey Lumber Mems Protective
The Retail Lumber Mems association Of
Philadelphia
Calls IL RidieuIOus.
! PHILADELPHIA, May l9-William H.
MacBride. president Of the Lumber Mems
exchange OF this city and also head OF
the Retail Lumber Mems association Of
Philadelphia, refused to believe this after
noon that the government had entered
suit in New York against the Eastern
States Retail Lumber Dealers association
charging II with restraint Of trade In vio-
lation OF the sherman antitrust law.
1T seems impossible for me TO believe
that the government makes such serious
and ridiculous allegations" he said.
| BOSTON, May ls.-The Massachusetts
Retail Lumber Dealers association, men
toned IN the conspiracy charges made
by the government, has its headquarters
in Worcester Many of the Boston retail
firms are allied with the association. but
none Of the dealers cared 20 discuss the
action OF Attorney General Wickersham
until they had consulted their attorneys
| BALTIMORE, May ls.-George H
Pohlmsn. secretary OF the Retail Lum-
bermsn's association OF Baltimore. made
sweeping denial OF the governments
charges so far as the Baltimore dealers
were concerned.
PROVIDENCE, r. l., May ls.-Waher
Parriott. secretary and treasurer OF the
Lumber Dealers association OF Rhode
Island. when informed of the governments
action this sftsrnoon said
so far as q lumber trust "a concsrnad