Omaha daily bee., 1919-07-12
Report of Trade Commission
Shows "Big Five" Hold
Stock in 752 Companies and
Exposes Ramifications.
URGE FULL PUBLICITY OF
CORPORATION OWNERSHIP
In Absence Of Adequate Laws
1t Is Declared Unfair Compe-
tition May Accomplish Ruin
of Competitive Companies.

Washington, July ll.-An ap-
preaching packer domination of all
important foods in the United
States and an international control
OF meat products with foreign COM
panies seems a certainty unless
fundamental action is taken to pre-
vent it, the federal trade commits
sion declared in part one of its re-
port to President Wilson on the
Extent and Growth of Power of
tie Five Packers in Meat and Other
Industries."
"A fair consideration of the
course the five packers have follow
Jed and the position they have al
ready reached" said the report,
must lead to the conclusion that
they threaten the freedom of the
market of the country's food indus
tries and of the by-product of the
industries linked Herewith. The
rleat packer control of other foods
will not require long in developing"
Declaring "the history of the
packers growth is interviewer with
illegal commissions, rebate and with
5undisclosed control -. of corpora
tens" the report rged the impor-
tance of full pubhslty of corporate
ownership for all industries.
Law Inadequate to Control Them.
"As to devices for securing con-
troll, there does not exist adequate
law" the report, said. "In its alb
sence unfair, competition may run
its course to the goal of monopoly
and accomplish the ruin of COM
petitors without the secret owner
ship being suspected and conse-
quently without complaint to the
commission or investigation of
facts. The competition is in
jeopardy so long as he has not the
knowledge of true ownership and
the public is entitled to such knowl-
edge"
Alleging that the "big five" pack
ers-Swift & Co., Armour & Co.,
Wilson & Co., Morris & So, and the
Cudahy company jointly or sepa-
rately WELD controlling interest in
574 companies, minority interest in
95 others and undetermined interest
in 93-a total of 762 companies-and
that they produce or deal in some
Us commodities, largely food prod
ucts, the report gives this picture Of
growing packer invasion into related
and unrelated industries.
Interests Are Numerous.
"They have interests large enough
to be dominating influence in most
of the services connected with the
production and distribution of ami
NAL foods and their by-products, and
are reaching out for control, not
only of substitutes of animal food,
but of substitutes for other lines
into which the integration of their
business has led them.
"They are factors in cattle-loan
companies making the necessary
loans to growers and feeders of live
stock; are interested in railways and
private car lines transporting live
stock and manufactured animal
products; in most of the most i'm
portant stock yard companies-the
public market for the bulk of food
animals; and in livestock trade pa
pers on which growers and feeders
rely for market news.
They are interested in banks
from which their competitor pack
ing house borrows money; in COM
panies supplying machinery, ice,
salt, materials, boxes, ETC., to them
selves and their competitors; they
are principal dealers on the pro-
vision exchanges where future
prices in standard cured animal
products are determined"