The Bottineau courant. (Bottineau, Bottineau County, N.D.) 1895-1929, 1918-10-24

~ VAN AAV
PRICE COMBINE
STATE SUES FOUR OLD LINE
COMPANIES TO RECOVER
FOR PRODUCERS
Suit was filed by the State of
North Dakota last Saturday
against four of the largest old
line elevator companies in the
state, charging an illegal COM
bination to maintain. extortionate
profits in violation of the anti
trust law, asking a permanent
injunction to prohibit such
practices in the future, and de-
handing damages, to be paid
the state for the benefit of tax
payers and grain producers, who
it is alleged, have suffered ma
terial losses thru the manipula-
ton of prices.
The Great Western Grain Co.
the Powers Grain Co., the Occi-
dent Elevator Co., and the Mon
arch Elevator Co., all foreign
corporations doing business in
North Dakota and at Minneapo-
lis and Duluth, are named as de-
PENDANTS. The suit was filed by
Attorney General William Lang
er and Harry A. Bronson, assist
ant attorney general.
The basis for the allegation
is that an illegal combination ex-
lists is the issuance Of q daily
price list, issued by the Grain
Bulletin of Minneapolis, which is
said to be directed by the Chamb-
er of Commerce. The complaint
alleges that all the defendants
arbitrarily and unreasonably fix
their prices according to this
list.
The complaint alleges that
farmers of this state have SUI
fered particular damages from
the defendant elevators to the
extent Of $500,O0O, and the fur
Their allegation is made that in
the state at large a sum OF not
less than $1O,O00,0 900 annually
is extorted from the grain pro-
ducers by means Of "such con-
federation and conspiracy
The complaint gives details OF
the spread of prices between Du-
luth, Mimi, and Mandan, N. D.,
on Oct. 16. This reveals a diff
ference of 1912 cents a bushel on
wheat, Fl cents a bushel for bar
lev. 81 to 38 cents a bushel for
flax. ID cents a bushel for oats
and 20 cents a bushel for rye.
The freight rates on all grains
except flax between Mandan and
Duluth was IL cents a bushel.
The freight rate for flax was
21H cents a bushel.
Extortionate Profits Alleged.
The complaint alleges that
this agreement and conspiracy
restricts trade and gives defend
ants and other elevators an I'M
Just, illegal and extortionate
CONDENSATION for handling grain,
that is 100 per cent more than
is reasonable.
The action promises to be one
of the most important and far
reaching ever filed in North Da-
kota. Attorney General LANCER
and his assistant, MIR. Bronson,
haze thoroughly investigated the
alleged illegal practices OF Ger,
tain elevators and have decided
to test the right of the state not
only to break up and permanent
" enjoin such combines, but to
recover cash damages it it can
he shown that individual grain
producers lost money by manlp-
ulation which depressed prices
to them but resulted in exorbl-
tant profits to the elevators.
It is understood that action
has resulted by reason OF many
complaints coming to the state
department from farmers or the
state of unreasonable margins
or spreads in the price of grain
between the local markets and
the terminals.
This case will directly test the
rights of the line elevator com
panies to determine the price TO
be paid at local elevators thru
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