The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1914-07-02
REP. LEVERS COTTON BILL
DESIGNED TO ELIMINATE GAMB-
LING on EXCHANGES.
Lever Says Practices of New York
Exchange Costs Farmers S1oo'-
100000 Year.

means OF prOnlDlIlnS lue use VI 'He
mails and the telegraph for so-called
gambling transactions.
The House put the bill through un-
der suspension Of the rules by vote
of "a to 21 and sent it to the Sen
ate. If the Senate fails to agree to
the substitute the differences Will be
taken up in conference.
Senator Smith. author of the Sen
ate bill, is now campaigning in South
Carolina, and consideration of the
substitute may be delayed until mis-
return. though Senator Smith, of
Georgia, or some other Southern SEN
ator may call it up in the meantime.
Both the Senate and House meas
ures aim to regulate alleged evil prac-
tices of the cotton exchanges which the
cotton producers contend keep down
the price of cotton. The Senate bill,
through the postofice department and
the interstate commerce commissions
jurisdiction over the telegraph, would
prohibit the transmission of quota
tions and lists of sales of cotton that
did not comply with the requirements
as to standardization prescribed in
the bill. Both bills would regulate
though they would not prohibit trans
actions in futures.
Costs South Millions.
Il believe that the practices Of the
New York cotton exchange cost the
Southern producers annually 10000
O0O," declared Representative Lever,
of South Carolina, chairman Of the
agricultural committee, author Of the
bill. :"The purpose of this bill is to
eliminate the practices which consti-
tute such an enormous burden. Any
man voting against it puts himself
in the attitude of favoring a contin-
uance of practices that have been de-
nounced in every cotton GROWN State
in the Union.'''
Representative Wingo, of Arkan-
sas, insisted upon legislation along
the lines of the Scott bill.
Bring in what the cotton farmers
of the South have been demanding"
he said, "and it will go through the
Senate like the grace of God through
a camp meeting"
A Substitute Measure.
The Lever bill was agreed to as a
substitute for the measure drafted by
Senator Smith, of South Carolina, and
passed by the Senate. The Senate
bill would prohibit the use of the
mails for contracts that do not meet
conditions of standard grades and
commercial differences. That provis-
ion is omitted from the Lever bill.
The Senate bill would not tax con-
tracts for future delivery. The House
bill levies a tax of cent pound on
all contracts for future delivery that
do not meet standard grades and COM
mercial grades as set out in the bill.
This tax of l cent pound is intended
to be prohibitory, amounting to $500
a contract. There are a number of
other provisions on dealing in cotton
futures designed to eliminate certain
practices of the New York and New
Orleans exchanges.
Representative Aswell, of Louisia-
ma, sought to introduce, as substi-
tute for the Lever bill, measure of
similar intent framed by the officers
of the National Farmers Union, but
was ruled out of order. The Aswcll
bill would levy a tax of twenty cents
a pound, instead of 1 cent, as the
Lever bill provides.
ANGreat Drawback.
Representative Heflin, of Alabama,
favoring the bill, declared gambling
in cotton one of the greatest draw
backs to the cotton industry.
Representative Hughes, of Georgia,
opposed the bill. He declared there
were good and bad points in the Lev
er bill, and he opposed it because GER
tain features were detrimental to cot
ton growers. He recognized the need
Of some such legislation. however, de-
claring that the cotton producer fur
nished the stake for the gambling in
dulged in by the exchanges. The
New York Cotton exchange. he said,
had manipulated and controlled cot
ton prices for many years and had
made themselves the self-constitut-
ed guardians for the Southern far
mer."
Progressive Leader Murdock. of
Kansas, also opposed the bill. He fa-
voreG more drastic legislation, such
as that proposed in the Smith bill.
Murdock for Smith Bill.
The Smith bill. said Mr.. Murdock.
.aStoDs the-, from uSino tho mails