Evening star., 1918-08-08
iniquities to ThWart
Congress Probe Charged;
C. H. Livingstone Mentioned

Efforts to thwart the purposes of
congressional investigation are
charged against the packers. in a sum
mary of the Federal Trade Commits
sion in its report on the packing in
dustry, contrasting the legal ethics
employed by Francis j. Heney in con-
Quoting the case with those employed
by the counsel for the packers.
The letter of the commission to the
President says:
THE commission, through Mr.. He
ney, had to meet deliberate falsihca-
tion of returns properly required un-
der legal authority; We had to meet
schools for witnesses where employees
were coached in anticipation of their
being called to testify in an investi-
cation ordered by you and by the
Congress of the United States; We had
to meet a situation created by the
destruction of letters and documents
vital to this investigation: we had to
meet a conspiracy in the preparation
of answers to the lawful inquiries of
the commission"
The report summarizes efforts made
here to influence legislation. as fol-
lows:
THE packers joint activities for the
prevention of governmental action are
illustrated by the vicissitudes of the,
legislative efforts to secure an inves-
tigation of the packing industry. This
u,
had its origin in resolutions intro
duced in the House of Representatives
in February, 1916.
EARLY in April of that year. a COM
mittee of three of the confidential en-
ployes of Swift & Goa D. White,
John n. Chaplin and r. C. McManus-
we're sent to Washington to investi-
gate and report on the status and
probable chances of the resolution.
On April 10, 1916. they prepared a
long joint memorandum, copies of
. which were sent to the principal Of
hcials of each of the five packing
companies. stating in substance that
the resolution could be blocked only
by adroit and vigorous action of the
packers and their friends along GER
tain indicated lines"
Following a warning regarding the
seriousness of the situation" the
Big Five, according to the Federal
Trade Commission report, ..set at
work one Of their most expert lobbyists.
Colin h. Livingstone, who, in addition
to his general influence. indicated by
his position as vice president of a
Washington bank. had for years been
employed as secretary to a senator
and had thorough knowledge Of
congressional affairs"
1t says also that "they brought sun
port to bill providing for the col
lection of certain data. on the theory
that 1t would serve to sidetrack the
proposed investigation"
Various Kinds of Foodstuf.
In detailing amazing and devious
ramifications" of the Ave great pack
ing companies through important
of finance. the commission reports that
the packers not only control the meat
supply, but a countless number of
by-product industries and have in
vaded allied industries and even un-
related onea This control has EXTEND
cd now to the principal substitutes
Tor meat, such as eggs, cheese and
vegetable-oil products, the commis-
sion says and rapidly Is being extend
ed to cover fish and nearly every kind
Of foodStuff.
This control Is made possible, saws
the commission. not SO much by
means of production and preparation.
nor by the sheer momentum of great
wealth. but by the advantage OBJ
tanned through monopolistic control
transportation
The commission dfsmisses the claims
OF the packers to legitimate competi-
tfon among them by saying that some
that it is superficial. There is some
show Of natural rivalry of officials
and departments. the report says, and
this is made much of. as indicating
the existence of real competition, but
1t is not real.
"In Hands Of Small Group
After detailing the control of the
five companies over the meat and al
lied Industries. the commission says
this control rests in the hands of a
small group of individuaIs-J. Ogden
Armour, the Swift brothers, Morris
brothers. Thomas f. Wilson. acting
under the veto Of ~-o--~ - -
including Chase National Bank, Guar.
anty Trust Company, MUM, 44o,. x
Co., William Salomon & Co. and Hall
garten & Co., all of New York, and
the Cudahys.
The commission says tnat through
the control of Wilson 4 Co.. Inc
three Of the most powerful banking