New-York tribune., 1918-01-30
Competitor Says They Take
Turns Selling Against
Co-operators
Price Fixing Alleged
Rancher Tells Federal Trade
Commission Cattle Bids
Are Kept Down

WASHINGTON, Jan. 29.-Charles H
May, manager Of the Farmers Coopera
tive Association and independent and
cooperative packing plants of Madison
Wis, testified to-day at the Federal
Trade Commissions hearing, that the
five big packers took turns in cutting
prices on beef and pork in the Co0pera-
tive Association territory, so that the
latter's sales were reduced greatly. lie
said he knew, from years of experience
with Swift g. Co., that the packers
prices were below the cost Of proudc-
ton.
"Ths happened some years ago.
asked Francis J. Hency, the commits
sion's counsel.
at happened this year also-thrce
weeks ago" Mr.. May replied.
"How is that? Aren't they being reg
ulatcd by the Food Administration ."
II haven't seen it," replied Mr.. May.
Since the commissions investigation
began. Mr. May testified, it has been
impossible to obtain invoices Of sales
BY the big packers, although butchers
readily gave them before. Tho commits
sion obtained a number by pcremptory
orders. Mr.. May testified also that
grades now were being omitted from
invoices.
Pricc-Fixing Concealed
Attorney Honey brought that out
with the announced intention of show
ing that the packers had taken steps to
cover up" their alleged efforts to stitlc
competition, by making it difficult to
compare prices with those of the inde-
pendcnts
i. c. Lasatcr, of Falfurrias, Tex.
testified as to the difficulties in mar
ketlng livestock, which. the livestock
men long have contendcd, show an un-
dcrstanding between the big packers
to keep prices low. Mr. Lasater said
he sent a shipment Of cattle to Fort
Worth and received only one bid-from
the Armour buyer. He decided to send
the cattle to ST. Louis, and received
only on one bid thcre-from the same firm.
The cattle were sold to Armour there
for less than had been offered in Fort
Worth. He said he had no doubt that
the Fort Worth buyers tclegraphcd
ahead.
Nv. Lasater declared that wiring
ahead slch information was a common
practice with the packers.
Numerous informal complaints that
cream and cheese factories of Wiscon-
sin arc being put out of business bv
condcnscries established by the big
packers have been fled with the com
mission and are being investigated. The
fact was brought out in connection
with the loss of skinned milk for
pigs, which was said to be causing
serious diminution in pork supply by
sending pigs to the slaughter houses
instead of to the fattening pens
Hides Are Plentiful
Difficulties which the independent
packers find in marketing their by:
products were described by Mr.. Nav
He said this was particularly true OF
selling hides, due. he believed, to in.
terests which the packers hold in many
tanncrles. He declared the stock OF
hides on hand in the United States at
the present time to be the largest in
history, so that buyers were out Of the
market and prices very low He was
unable to explain why the cost OF
/ shoes and other leather goods should
be abnormally high.
Colin ii. Livingstone. WASHINGTON
representative OF Armour e. Co., wa>
called as Il witness to complete testi
mony he began Saturday, but was sen,
back to his office With commission
examiner TO search for letter he hae
failed tO DrOducn