The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1913-01-11
RAILROAD BOARD
ISSUES BULLETIN
Covers Various Questions in
Connection With Ele-
vator Management.

issued a bulletin to elevator companies
In h state. covering various questions
which have been raised recently in
connection with their management
Here is the commissions bulletin:
During the pas six months a large
mo of complaints have been filed
with this commission regarding vari.
Gus practices of the grain buyers Of
the state. and the commission has
been so impressed with he impor,.
ance of stopping these abuses that i,
mas decided 10 send IL this bulletin
to all parties interested. with the
warning that violation of the statutory
provisions and the failure to observe
the instructions and orders and rules
o! L BOARD may result in the cancel
lation of the licenses heretofore is-
sued, and the disqualification of the
guilty parties from further engaging
may be classified under the followins
heads:
l. Failure to use form OF storage
ticket prescribed-This commission
mas issued a form of storage ticket to
be used by all persons licensed to buy
grain within the state. and no license
mas been issued until satisfactory evil
dence has been filed with the commits
sion that these tickets have been pro-
cured. Notwithstanding this require
ment n the rightly with which it
has been enforced. many buyers insist
on issuing TO the farmers hauling
grain TO them. other kinds of tickets
than those prescribed. in many in
stances using a small printed slip
which merely indicates the weight Of
the grain delivered. without contain
ing IN other provisions required by
the sta1ute-one instance being called
to the attention of the board where
the tickets used were no grain tickets
at all but fuel tickets. This practice
must be stopped. The commission
mas strenuously insisted that the
rights OF the grain growers must be
respected. and the provisions Of the
law in regard thereto observed, and it
Will leave no stone unturned to see
that the farmers of the state are pro-
rected from possible loss in this re-
gard.
>. Unauthorized provisions in stor-
age ticke1-At the time the commits
sion adopted the present form Of stor-
age ticket, which embraces those en-
press provisions set forth in the
statute and nothing else. the elevator
companies We're given to understand
that other provisions, not inconsistent
herewith. such as a provision that
fraud would destroy its negotiability,
might be endorsed on the ticket: how
ever. they We're distinctly warned
against printing any provisions incon-
sistent With the prescribed form, up
on it, or provisions that would change
their liability in any way. Complaint
is now made that the buyers are
stamping upon the ticket a provision
that. owing to the condition and uuali-
ty of the grain it Is expressly agreed
that the holder of the ticket will sell
the grain stored to the elevator COM
panH storing it. on or before a certain
date at a certain discount from the
price of No. l wheat.
While it might appear that this Is
merely another way of grading the
grain and fixing its value in terms
bearing a fixed relation to the price Of
NO. i grain, and still gives the bailor
the opportunity to speculate with his
grain If he SO wishes, Yet It unduly
hampers him in compelling him to sell
ms grain to the warehouse at some
time or other. and destroys his right
to Withdraw the grain from store or
demand delivery at a terminal market
n commission cannot approve of it..
Ihere is no law compelling an ele-
fator TO buy grain il does not want,
nor TO store grain in bulk which cam
not be graded, and this commission is
not prepared to acknowledge that the
grain raised in this state is generally
inferior IN quality and SO bad in con-
dition that the elevators have to pro-
tect themselves from loss by modify
ing the contract the law requires them
TO make with the grain seller. 1t is
felt that merely calling the elevator
companies attention to the boards
ruling, Will be sufficient to do away
With the practice.
3. Carding prices at non-competi-
tive points-Complaint is made that
that Minneapolis elevator companies
nave a way of sending out daily price
lists to North Dakota buyers fixing the
price OF grain at points where they do
not nave elevators OF buy grain. and
Invariably they fix the prices three or
four cents a bushel higher at points
where they co not buy. than the mar
at those points or than they them
selves pay at nearby points. In other
words, at points where they do not
buy, but their competitors do, they
arbitrarily fix the price that their com.
petltors must pay.
1h!s commission is glad O see every
farmer get the very highest price for
any legal extent to stimulate compe-
tltion and to stifie combinations
among the buyers to keep down prices.
put 1t can see no good to COM to the
farmer from the publication of a false
ana hctitious price list that nobody
VIII pay. 1t merely creates dissastis-
1action and unrest among the farm
ers by holding out to them the false
nope mat the market is higher than
" Is. Let the line ouses that have
Strings OF elevators in tbs state fix the
prices they are willing to pay at the
places where their elevators are. but
at points where they do not buv. let
the market take are of itself.
=. Combinations to control grain
prices-Complaint has been made to
the commission that at many points
the prices paid for grain is fixed by
agreement among the buyers and that
competlt'on is stified and the grain
growers prevented from securing q
fair price for their grain in this man
ner. Ihis Is q common charge. but
one which is much more easily made
than proved.
me commission recognizes the fu.
tlllty Of attempting to establish this
accusation as a general thing, but
whenever it can be proved it will NOT
hesitate TO cancel the licenses OF those
gull.y OF the practice. and it cannot
rc1raln at this point from suggestina
n a where. Notwithstanding the exis.
tence Of Il greater number of elevators
IN a town than there are stores. q mi.
form buying price With a spread nj
from lSc to 20c between the terIminal
markets and the price paid is main.
tained, a strong presumption arises
that the buyers are at least acting in
concert. ~
s.. Docking of barley-This prac.
tiee is unquestionably prevalent not
withstanding the positive prohibition
Of n statute and the severe penalties
therein imposed. A favorite wav nj
cvading the statute is to take f,ftv
pounds of barley for a bushcl instead
of 4s pounds. but this is in direct Vio-