Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1918-12-03
FILE CHARGES
AGAINST "bIC
five" PACKERS
Federal Trade Commission
Report to Congress Accuses
Of Being Combination in
Restraint of Trade.
BY Associated Press.

Washington, Dec. 1.-The federal
,rade commission. in supplemental
report submitted to congress today,
charged the FIVE big meat packing
companies OF the country with a
combination in restraint of trade
and with controlling the sale of
live stock and fresh meats.
Evidence is cited at length to sup
port the charges. Swift & Co.. Ar
riour & Co., Morris & Co., Wilson
{. Co. CInc.) and the Cudahy Pack
ing company are named.
THE evidence of the present day
existence of a meat combination
among the five big packers is vol
luminous and detailed the report
said. This evidence is convincing,
consisting as it does largely of doc
uments written by the packers or
their agents and including the men,
orandum made by one of the par
Elephants in the combination of the
terms and conditions agreed upon at
various meetings of the packers"
Divide Purchases.
The principal conclusions to be
drawn from this mass of evidence
relating to combinations among the
packers, the report says, are:
81. That Swift & Co., Armour &
CO., Morris & Co., Wilson Company
Qnc.) and the Cudahy Packing COM
rany are in an agreement for the
division of live stock purchases
throughout the United States, &C
cordng to certain fixed percentages.
''That this national live stock d.
vision is reinforced by local agree
fments among the members of the
general combination operating at
each of the principal markets, as
at Denver. where Armour and Swift
divide their live stock 'ffty-hfty.'
THAT these national and local
live stock purchase agreements con-
stitute a restraint of interstate COM
merce in live animals and in the
sale of meat and other animal prod
ucts, sitting competition among the
five companies substantially con-
trolling the prices to be paid live
stock producers and the prices to
be charged consumers Of meat and
other animal products and giving
the members of the combination
Unfair and illegal advantages over
actual and potential competitors.
y. That the FIVE companies, ex-
change confidential information
which is not made available to their
competitors and employ jointly paid
agents to secure information which
IS used to control and manipulate
live stock markets.
SO. That the FIVE companies act
collusively through their buyers in.
the purchase of live stock.
"a. That Swift & CO., Armour &
Co., Morris & Co. and Wilson COM
pany, Inc, through their subsidiary
and controlled companies in South
America, combined with certain
other companies to restrict and
control shipments of beef and other
meats from South America TO the
United States and other countries.
IS. That the five companies act
collusively in the sale OF fresh
neat.
"6. That there is joint con-
lribution to funds expended under
their secret control to influence
public opinion and governmental
action and thus to maintain the
power of their combination.
~. That the agreements, under
standings and pools hereinbefore
,ecited are reinforced by the COM
nunity Of, interest among the FIVE
companies above named through
Joint ownership; either corporate or
individual, Of various enterprises.
Two or more of the interests thus
have Joint ownership or representa-
ion in l08 concerns, so far ascer-
aimed to July. 1918"
In summary of its conclusions
regarding collusive live stock buy
ng. the commission said it finds:
"That the big packers together
control the live stock markets.
"That such competition as ap-
w-nup -