The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-03-04
ASKS INVESTIGATION
OF GRAIN EXCHANGES
Minnesota Representative Says
Boards Of Trade Fixed
Their Own Prices.
SMALL FARMERS RUINED
Sales Juggled for Speculation in
Futures, Manahan
Tcstifies.
SMALL FARMERS RUINED

WARRINGTON. March 8.-An investiga-
ton OF the grain exchanges OF the United
States by the House seems to be assured
Serious charges against the grain ex-
changes are made In the Manahan resoiu.
ton. which was considered AZ a public
hearing In the House to-day. This resoiu-
ton charges that the price OF wheat paid
to the farmers and the cost OF flour to the
consumers Is controlled by the Board OF
Trade In Chicago. the Chamber Of Com
merce In Minneapolis and the like
bodies In other cities. It charges further
that the Chicago Board OF Trade 10 a
monopoly and that II exercises control
over the buying and selling OF wheat In
that market.
Future" trading In wheat and other
grains Is condemned.
Discussing the speculative feature of
grain dealing. Mr.. Manahan declared that
the big operators in Chicago and
Minneapolis. trading simultaneously in
both cities. control the prices.
"Thc losses" said Mr.. Mammalian. "are
borne by the spectators. the small fry.
An examination Of the books OF the
brokers In Minneapolis would show tina,
many farms have been brought to want
and penury because OF men going up
against the game OF betting against fu-
ture prices Of wheat"
Manahan was asked about the Min
neapolis investigation and tie reason for
asking Congress to go over the same
ground and enact legislation that could
have been handled partly by the State
Legislature. "a little Legislature like
that OF Minneapolis couldn't pass any
law that would protect the farmers OF the
Dakotas," said Mr.. MaDahan. ANY leg!s-
iation like that proposed would meet with
the oIposit on OF the operators in Minnie
sofa. the great m.ilSrs. the great banks
Their influence is sufficient to prevent
STATE legislation"
Mr.. Manahan was asked for an esti-
mate Of the loss to the farmers and small
spectators through future trading
1.-The big dealers are able to depress
prices 10 cents n bushel," said Manahan
This means q loss of S2O.000.000 an.
nualiy."
Those who operate on the chamber,
OF commerce make that asked Repre-
sentative Campbell.
Yes" replied Manahan. THE big
dealers in Minneapolis and Chicago. Mer
like Armour make - and freeze GU
the small dealers"
Asked what legislation re thought
should be enacted he said:
Pass n law absolutely prohibiting
future trading. Pass another for Fedora
inspection and grading. also for Govern
ment warehouses In which the farmers car
store their grain. There II can be treated
AS 10 now done by the elevator owners
and sold to the millers directly on th'
outgoing grade and not to the elevator
man on the ingolng grade. as at pres mt
This will meet the situation and will give
the farmers the real value OF their grain.
Rcpres. NATIVE Dillon OF South Dakots
told the committee the people in his Stat'
were not satisfied with their treatment a
the terminal elevators 1t MINI apolt
and Duluth. He said that charges hac
been made by the grain growers tina
their wheat was doctor~". that the inspec
ton at the terminal markets was no
fair and that the Chamber Of Commerce
was operated under rules preventing com
petitive buying
He also said that charges had beef
made that the millers refuse to buy whea
from the cooperative elevators in hi
State. Mr.. Dillon. however. did not Civ
any specific Instances OF unfairness I,
support these charges.