New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-10-12
Dairymen's League
Violates the Law,
Declares Swami
Should Restore Price of 3
Milk So 1t VIII Retail at
IL Cents a Quart

District Attorney Swami admitted
last night that he has informed the
Dairymen's League that its officers are
technically guilty Of violating the
state antitrust act officially known
as The Donnelly sct-and had suggest
ed that they restore the price Of milk
10 the Status QUO ante which would
enable the distributors 10 retail Grade
. milk at T. cents a quart.
The prosecutor says he has also in
formed the officers Of the league that
all the facts regarding their alleged
conspiracy will be placed before the
grand jury. and If they will voluntar-
ily lower the price, as suggested. that
fact will also be taken into consid-
Grafton by the grand jurors. Mr..
Swami said he has received no an
swer vet from the league.
Albert Manning, secretary to the
league. declared last night that the
District Attorneys suggestion had not
reached his organization.
Holds Present Price Is Fair
"R. D. Cooper, the president, IS out
OF town." said Mr. Manning, but J.
know he knows nothing about such d
e1rgcstfon. and this is the first time
I've heard 81. ! seriously ques'lC,,,ll
whether the farmers can produce mix
a fraction of a cent cheaper than they
are doing now unless there ls some
unlocked for decrease in the cost OF
production. Ny judgment is that they
cannot consent 20 make any reduction
a+ +his time without mourning a loss.
The District Attorney when seen
later said he was sure that President
Cooner had received his suggcstlon' o1I
said that If he haon ne "ou'u o'0''
be IN receipt Of it.
"And , might say that | think Wnen
the LEAGUE has had time 10 thlnh the
matter over Mr. Manning VIII recon
slider his statements" he said.
tNfy Judgment" continued Mr.. swami
"is that this milk trust--Or league
has undoubtedly committed tecnnlcai
violation Of the law lt has gone too
fan and IL ought 20 restore the status
QUO ante. so that the d.strbuters can
restore the standard Grade 3 milk 10
the Old price-l2 cents as u Was last
N.'" '''
Would il not be just as much q
violation for the farmers 10 TX the
price arbitrarily at ID cents as 1t was
TO out il at IA cents 90 Mr.. Swami was
asked
"No: there has never been case
where complaint has been made wnen
q commodity price has been reduced.
Section $50, relating 20 conspiracy IN
restraint Of trade. makes it statutory
crime Co commit any act injurious 20
trade or commerce 4 reduction IN the
price Of milk would hardly be held as
an act Injurious 20 trade" be replied.
The prosecutor was asked whether
the situation was similar 20 the one
which confronted the print paper
manufacturers when the Federal gov
cvnment. after threatening indictments
was able 20 bring about price liking
more satisfactory TO the consumers.
Sure Distributors VIII Cut Price
81 cannot make any immunity agree
mont with the DQlrymen's League he
eaid CAL ! can DO is 20 state the facts
~ tfe grand jury, including an offer or
nrice reduction. Il Is up 70 the farmers
now but have reason 10 believe that
The price Of milk viii come down as a
r,srit of this investigation
"What about the distributors? VIII
,boy he amenable 20 your suggestion
and make corresponding decrease ~
was asked. ~
"The distributors are skating on thin
ice as TO the antitrust act, and they
have been doing so for some time. Ihtey
know il. the people know IT, and the
distributors know that the people know
n They cannot afford to a, anything
10 make the people more hostile 20
them than they are at present lnere :
w. l,,,oetio, about their behavior"