New Britain herald., 1917-06-19
Hoover Tells Senators How Gamblers Run Riot By Cornering Market and Forcing Prices Up.
CENTRAL DIRECTOR
 THE ONLY REMEDY

to Fight and We Should Find Our .s seaves Alone Against Germauy,'' He :3s Says Control Of Production Not
 Dictatorship, His Ozaim.
 Washington, June 19.-Food spec ulatoTs have been taking $50. 900 . month for the last flve monthsa q total of . quarter of a billion dollars
 from the American people, Her. bert c. Hoover today told senators in explaining the purposesSo Sof the food control bill now before congress.
 Disclaiming entirely that the bill sets up a food dictatorship. MT. Hoover told senators it's purposes were entirely to organize the re- sodrces of the country and the people themselves.
 With righteous manufacturers' and distributors prices" he said. '.the price Sof flour. shoul:d not have been over $s g barrel. Yet 1t averages $14 In the last f1ve months, $260,- eoo.ooo has been extracted from the American people in excess of normal profits of manufacturers ana distrib- utors.'
 Not single trade organization. he told the senator's. is opposed to the food control bill. Tho prospective food administrator went to the cap itol early. today to explain tho bill informally to senator's in the hope that full understanding of it's ob- sjects and purposes may alay some of the opposition.
 MT. Hoover outlined broadly the question of prospective food supplies.
 The real question. he said. in q prepared statement preliminary to senatorial questioning, ''ls whether. the shortage will continue next year. and what win be tho needs of thes Allies and Amor1ca. Despite the r0-. duced consusnption of the allies they; will require larger amounts of cereals next year than ever before.
 ssThe allies are dependent upon North America for the vast majority Of their food imports We should be able to supply 60 per cent. or what they require. The other 70 per cent, must be made up by further denial on their part and saving on ours. We can increase our surplus. The situation for them next year means increased privation. With out adequate food supply no Eu- ropean population will continue to fxhts and we should find ourselves albne against Germany!
 eTha Russian revolution was a food riot, and even yet that ally IS temporary paralyzed. Responsibility rests on government for failure or democracy through a shortage Of food.'
 Turning to domestic conditions. MT. Hoover said this country has been ex- pertencinx Unprecedented prices and rampant speculation" citing how mtd- dlemen and all other persons in the distribution process have been pur- chasing increasing supplies to avert shortages,
 Bought Before Production
 He cited the canning trade a an ex- ample, where the entire output. of veg etables and fish for 1917 has been dis posed of before 1t has reached the canners. He predicted further high prices. Thousands of men, he said. who heretofore have never owned dollars worth of foodstuffs are now speculating in necessities.
 .sThe average prices to the con- < snmers in countries where food ad- ,ninistration is now in effect are lower than those prevailing in the United { <states.,s he said" In England the price of bread Is 15 per cent below the price we pay. teheve thai unless some administration of oul food is taken we will look back al these prices as being moderate"
 MT. Hoover denied that the bill es. tablished a food dictatorship. Hf characterized the purposes of food ad. mfnistration as to mobilize the people in order to carry out the advice gtver them by the government officials II .order to centrahze the functions o' sa fila food administration into the va 1a0us states.
 s.A commission to take charge O. the production and distribution O. flour. sugar and potatoes and possibl! Jew other necessities is now beinl contemplated, said MT. Hoover.
 l.rsy setting up a wheat commission ve can buy wheat, regulate It's stor are and transportation and handle until exported or sold in this country 1T xve do not do this wheat prices ma slre1anse on account of our not peln able to store and carry 1t, with spec ulators securing the sole penent ah farmers bearing the loss.
 eve can contract tomorrow wit Inc allies for 8 certain return for ever hnshel of wheat we can sell. By con @rollins prices at interior terminals W can assure millers their supplies an simplify the question.
 As to sugar. MT. Hoover said Amer .can rcfiners are competing with tn
 Allies in Cuba and that the propose
 sugar commftion could Aopera4
 Continued on Ninth FaEe) s S <