The Broadus independent., 1919-04-10
RAILROADS F;FUSE
FIXED STEEL9R|CE
WHOLE QUESTION OF PRE- oc
ADJUSTMENT MAY Be
REOPEnED NOW =
STORMY CONFERENCE HE'LL
Director General Hines Says Railroads,
Which Are Largest Purchasers Of
Steel, Should Have Rock Bot.
tom Prices or Commodity


Washington, April 3.-Director Cen
prai Hines of tile railroad administra-
ton, which is the largest purchaser Of
steel in The United States, refused yes
terday to accept the price rcadjust-
ments arranged by the Industrial board
of the department OF commerce in con-
ference with representatives Of the
steel industry.
An effort to effect an agreement
between the board and the head Of the
railroad administration failed al
though members Of the cabinet, the in
dustrial board and Representative Of
the food and fuel administration, the
war trade board and the war finance
corporation conferred for four hours
The conference at times grew stormy
with the cabinet members finally with
drawing 10 an adjoining room from
which they emerged with recommen-
dation that the question be committed
to the board for further consideration
This finally was agreed upon.
Members of the conference were
reticent in discussing the proceedings
Secretary Glass, who called the con
ference, refused to see newspaper men
afterward. and the official statement
concerning the gathering was very
brief. AS originally issued it read:
Issue Brief Statement.
''1'hc steel prices approved by the
industries board Of the department of
commerce, not having been accepted
by the railroad administration. the
views Of both were expressed at the
trial board were expressed by Secre
tary Redfield, Chairman Peek and
other members of the board. The views
of the railroad administration VIDE
presented by Director Genera! Hin 3.
The matter was recOmmitted to the
board for further consideration"
The statement caused such Il furry
by its intimation that the entire ques-
ton of steel prices would be reOpened
that an amendment was added By
Chairman Peek to make the last sen
tence read:
"The matter was recommitted to the
board for further consideration with
the railroad administration
Additional conferences will be held.
it was said, ut which the board will
attempt to show the railroad admin
istration that the prices agreed upon
are not excessively high according to
cost figures obtained by the federal
trade commission.
Kicks on Price Fixing.
Director General Hines has main
tanned that the railroad administra-
tion was entitled to it's enormous pur-
chases at prices as low as could be
obtained.
Mr.. Hines, according to one of the
officials present told the conference
that the agreement on steel prices
| reached by the board with tn esteel in
dustry two weeks ago was made over
| his protest and was without warrant
| of law. The director general was II
ported as declaring that no ms. ~
of the board in its attempt at price re-
adjustments, it was price fixing. The
Sherman antitrust law, it was said
was cited by Mr.. Hines. He further
stated, 1t was said, that the railroad
| administration had been left to make
its purchases at prices acceptable to
it, and that he would not accept arbi-
| hx- hh
board after agreement with the indus
try.
When the conference broke up,
those who had attended filed out, each
one saying that Secretary Glass was
the spokesman and whatever was made
public would have to come from him.
Some officials who have been inter
ested in the work of the industrial
board looking toward restoring indus
try to a peace basis, predicted freely
that unless the railroad administrl,
tion agrees to cooperate as to price
recommendations and will make its
steel and other purchases on this basis
the board will collapse.
Coal, another point of disagreement
on the part Of the railroad administra
tion, was not discussed at the meeting
officials said. The National Coal as
sociation last week announced that il
would not continue its conferences
with the industries board concernins
price adjustments unless the railroad
administration would agree to abide
by any agreement the board made witt
the industry.