The Elk Mountain pilot., 1918-02-28

D. e.sa SssesssOs OsS.s 0st vss.k
esafsssssas - oAew evsAsssss
s.l esassassss ES.aDy 1tse9
The sordia tale Of piracy by which
the big paesssrs Of the United Bates
clubbcd together to club cat and
starvs oat all their less powerful
competitors, WAS frightened from
tis.s to time In the Fedessi Trade
eos~snsssion hsarings IN st. Paul ~
bits Of PACKER philosophy put into
tins record by President William Ma
givney Of the St. Paui Union Stock
yards company. Al one time Special
Prosecutor Frsncis J. Heney told Mr..
Magivney that ne had made out "the
best case Of special pleading for the
big packers" that Mr.. Hsney had run
onto IN all tho investigation. At
other times ne had to stop Mr.. Ma
givny's flow Of argument aHa remand
him that facts were wtAt the com
mission wanted.
Mr.. Magivny proved that he Is =
cog In ths profit machine and because
no 10 . cog and not because It Is Mr..
Magivny, what he said il Of general
interest. 1t was he who showed how
the various big packing eenters all
arc locked together-how banks,
stockyarAs anA packing houses are
only tsntacies Of tho came oetopas.
It was he told how L. r. Swift Sc
cured . little pocket change by hav-
ing himself patd>a salary Of $500 .
year for being chairman Of the board
Of dirsctors Of the stockyards com
pany; who told Of -big" losses on the
st. Paul Bridge and Terminal com.
pany. the beef trust r,llroad over
which everything has to be hauled In
and out Of Soath St. Paul.
While making out hard luck story
one dav for the railroad eoapaay aad
the packiWg bassWess IN general, Mr.
MnEivny said the railroad eo@pany
lost $500 last year.
.How much did they lose the year
before ttat7" asked Hsney. Magivny
caught his breath but braeed up and
replied, "lt made . profit Of @e5.ooO
tho year befors."
Mr.. Heqey. asked him how beef
trust profits In general are assursd
and row It came that Swift Z Co.
had cleared 81 .0oo, 80 In profits iast
year.
1T Vas . vsry sxtraordlnary ysar.
and things occurred due to the war
that made this possible. Ths packing
business is run on . vssy narrow mar
gin. Of profit. A change Of fraction
Of s,esnt H. some ooe item might To-
suit In .s.oemoas losses" hs said.
,..And rather than 70 take . chance
on enormous losses. thsy decided to
Ak It up Tor saormsas prohts7" asked
Mr.. Hsnsy.
I'D rathsr have enormous profits
than enormous losses" said Magiv.y.
He admitted that with the weighing
Of cattle and the feed thsy eat In TIE
stockyards In the hands Of tie stock
wards company "vs eouid rob them
II No wanted to"
"Yss, and unfortunately wheasssr
people arc In the position to take 3D.
vantage. thsy do It," said Mr. Hsnsy.
Sunless hs is wise enough to inov
thsrs Il . Aay Of rsckoning." put ia
MagivDy.
"AnA under this system thsrs IL
NO chance for day Of reckoning" ~
joined Hsnsy. Magivny said they
would -hAvs to show him II the gov.
Srnmsnt couldn't control the five men
Who ars charged with being the pack.
Ing trusA
.Yoa talk. - sDbough the govern
nsat WAS Just one man With CON-
pasts power" said NJ. Hensy. but
yoa shoald rsunsmbsr that thsrs 10 ,
ssnatA Of ovsr - member, and ;
ksgss = Representatives Of over zoo.
aad thaA Every one Of those men 10
suAjset to human influsnees"
Nagivny hinasif had just been tell
ing NV - domlaaAad the Minnesota
legisisf1rs In tho matter Of ieKisla-
t[on, ,a6sSTing tiss beef trust and Mr..
Hsnsy's r,uark was folly appreciated
By tbs fasmsss who at back In tbs
room. SAnotissr ~ Of Magivny's phil
csophy wss tAiss
Producers Aavs no right to ask
II there 10 combination, but should
b satisfied u they get . fair Pries
compared With other markets-as
though ~ going from ono bssf trust
mari,et to another the livestock pro.
ducers could escape.
II don't think federal regulation is