Jamestown weekly alert. [volume] (Jamestown, Stutsman County, D.T. [N.D.]) 1882-1925, 1913-11-06
HEARING IN ELDRIDGE ELEVATOR CASE
On Charge of Oppression in the Grain Trade
Testimony Before Before Board of
Railroad Commissioners

The hearing of the charge brought
by the Eldridge Farmers Elevator
company against the Powers and Oc-
cident Elevator companies alleging
unfair discrimination in the pur-
chase of wheat at Eldridge, in viola
.. tion of the anti-discrimination law
, of North Dakota, was commenced be-
fore the board of railroad commits
sioners at the city hall Tuesday.
On account of numerous complaints
of similar kind there has been
wide spread interest In the test case,
and elevator men, farmers and 9th
ers interested from many parts OF
North Dakota, and also from the
Twin Cities, and their special coun-
! sci were present. On account of the
detention at Fargo of Attorney Cen
eral Andrew Miller, who was expect
ed to handle the case for the El-
bridge Farmers Elevator, the hear
ing was rather informally conducted
President w. H. Stutsman of the
board, who sat with members Ander-
; son and Mann, stated briefly the OBJ
ject of the meeting, reading the in
formal charges of unfair competi-
tion by the payment of such close
margin as to leave no profit, or sc.
curing of similar result by over
grading or under-docking.
During the hearing Tuesday after
noon both Attys. Purdy for the Pow.
ers Elevator Co., and Watson for the
Occideut Elevator Co., moved that
the case against their respective COM
panies be dismissed on the grounds
of lack Of Jurisdiction by the board,
and the objections were entered be-
fore the proceedings continued. At
torney Watson alleged that the board
had no judicial powers, but added the
Occident company was present to re-
veal it's business In every phase de-
sired by the commission. The COM
plant. he added, q. violation Of the
state laws, SHOULD properly Do heard
before q judiciary body.
Secretary and Treasurer Pierce
Blewett Of the Eldridge Farmers FL
evator Co., stated the charge that the
line companies were paying more for
wheat at Eldridge than at other
points with the same freight rates,
namely, but 10 cents OF from the
Minneapolis and Duluth price. With
freight 7.8 cents per bushel, one cent
commission, and cost of running the
elevator, interest, etc., he stated that
the narrow margin forced the Farm
ers Elevator out of business. He
further charged the line companies
with .over-grading and undertook
ing to obtain the grain, with the re-
suit that the Farmers Elevator Co.
lost their entire business to the de-
fendant, even the stockholders haul
ing their grain to the defendant.
w. X. Powers, manager of the
Powers Elevator Co., took the stand
for the defense and explained in de-
tail the attitude, of his company and
his entire defense centered about the
fact of mill competition, claiming
that the higher price paid by the mill
at Jamestown necessitated the high
er price from the elevators In order
to get the grain.
w. K. Powers, manager OF the
Powers Elevator Co., which operates
81 elevators in North Dakota. also
offered preliminary objection as to
the Jurisdiction OF the board as a
board, claiming same had no au-
thority to act In the matter. The
Powers Elevator Co.. he said, had
been cited to appear and show cause
why their charter should not be re-
voked on the grounds of violation,
being guilty Of violation Of the anti
discrimination statutes Of this state.
He stated that his company appeared
NJ tU0 u00TS0B Al 0v0Iy 0pAN VI
friendliness and with the idea and
purpose Of ascertaining just how to
handle the grain situation satisfac-
torily under the state laws. Mr..
Powers said he welcomed the inves-
tigation but objected to the COM
plant on the ground that to violate
the anti-discrimination law an Of
fense must be shown in an intent to
create monopoly by trade discrim-
ination and unfair competition as
stated in chapter 2S7 Of the 1913
session laws. Such intent, he assert
ed. must be proven. ..S
Mr.. Powers stated that the normal
margin Of handling grain was three
cents above the freight; that II to
say with the freight at eight CENTS