Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-12-23
HENEY TRACES BIG
PACKERS PROFITS;
PRODUCERS PAY
Counsel Charges Armour and
Associates Are in Position
to Manipulate Supply.
CAN DICTATE PRICES TO
CONSUMER AND PRODUCER
Interested in Dozen Stock Yards as
Well as Cottonseed Oil Plants,
Real Estate, Trade Papers.

! heal Estate, Trade PaperS.
| Cotton seed oil plants, Chicago real
estate and cattle trade papers appeared
yesterday in the records of the Federal
Trade Commissions inquiry into the
packing industry as side lines into
| which the control of the big packers
has extended.
When the inquiry was adjourned over
the holidays, Francis J. Heney, special
counsel, announced that subsequent
hearings, probably in New York or Bos-
ton, would deal with the packers al
legged control of grain, fertilizers, dairy
ing, dairy feed, butter substitutes,
leather, hides, poultry and canned
vegetables, none of which was touched
on in the first three days testimony.
"only One Angie Touched"
Testimony already introduced has
touched only one angle of the situa-
tion,'' said Mr.. Heney. I'VE have had
many Investigators out all over the
country for four months, and what has
been introduced SO far has been only
part of what was discovered in Bos-
ton"
He called the attention of the com
n;s.;or +o ~ f.o. +h.+ .h. I,nc,;o,
company's large earnings, which were
controlled by the Chicago Stockyards
company, came out of the producers -
thair ahinments IF hncs sheen nd cat.
tie which constitutad the chief income
of the various comnan;as
Having introduced evidence designed
fo estabIish The confirm ~ the Cbicago
Stockvards and Term,nal Raiiways
Command by the Cbica po Stnci.S
Yards COMPANY of Maine nromofe,
and owned in large part by +. Or
iien Armour Of Chfcaro and Erederick
II Prince Of RostoTs Mr. Henev deveIA
oped from Witnesses yesterdsy that
Arnnarr e. (sr. erast "a es1.r. n
eaeyan other stof 1870 IN n s8asf hem
group % Of packers ~ owned ned most @ 81 ,s Thss
- " az anat a -
= = = &
NJ nanAv,a IN
=. - = SA.eA 3 se.
Mr.. H@ney charged that by controlling
he nrincina1 cattle s1narixAfA Srf 1fh4
country. the packers are In i position
to manipuIat4 the nations mAat sur,.
pIy as wefl as dictate nrices5 ~, b0fh
producer and Consumer. HA sa{d thar
the large profits OF the stockyards and
railways companies came chiefly from
the produeersJ who nav storare feesi
and haulage charges which cor,stitt,fe
the hulk Of fhe conanaufes. 5inconne T.
Records were introduced Yesterday TO,
show that other packers beside Ar
mour are Interested in the Chfca 20.
yard, Persons connected WITH the
Swift and Morris interests aupeared
on the lists Of directors Of the Chica 90
Junction Railways Connnanv ana The
Chicago Union Sfockyards and T-ansjt
Company. operating the termina: raa-
ways and the stockyards. These CON.
panies are owned by the Chica 90 Iunc-
tion RAILWAYS and IYniop StocLyaraa
Company of New Jersey. which Arm is
controlled by the Maine cornoration
formed by Armour and Prince. Fred
erick w CroIl. treasurer Of Armour 4
Co. said he could not explain why the
tion on these concerns.
Interest in eottonsssd NJ,
| SIoil aoni.tea ina! armour Co
| plants in Texas, Arkansas and Ten
nessee. and that Armour and Swift
we're Interestsd erts IN ea..Ie .rade papers
estate. known the central manufac-
assets OF the Cnlcago junction rail-
ways ana tnlon stockyards Company.
MI Heney caled particular attention
10 the assets OF this company because
OF representaelons MADE to small stock
holders when Armour and Prince
gained control OF the company that the
companys property was in danger of
material depreciation. in order to get
the small investors TO surrender their
stock and accept a guaranteed per
cent dividend.
In attempting to market bonds. after
| naving gained control or the Junction
I i.aIl"ass Soilpa ny, 'ne onicaso stock
ing to records introduced. that the as
| to s47, 900, 900, including 500 acres Of
| land in Chicago and $50 miles of belt
| and terminal railwa.-. Attention was
| called to large surplus earnings from
1907 to 1911.
| Tuo Sets of REPRESENTATIONS
|
| "It appears that one set of represent
.,