Evening journal., 1919-01-25
SWIFT ADVOCATES
U.S.PRICE CONTROL
Regulations Are Declared
Necessary Until Normal
Conditions Return
LOBBY CHARGE
AGAIN DENIED


advisable to continue price control
measures on food after peace is declared
formally was discussed at length yes
terday by the House Interstate Com
merce Committee with Louis F. Swift,
president Of Swift and Company.
The witness reiterated his statement
made yesterday that disastrous condi-
tions would result unless the food sd-
mlnlstraiion's control over the price Of
livestock were continued until normal
conditions were restored. He said that
prices would go down, causing a de-
crease in production and then would
90 up.
Il think we ought 10 have some gov
ernment agency to flx prices, irrespec-
tive Of war" Representative stephens,
Of Nebraska, said. "Are we to so BACK
10 all these violent fluctuations after
the war ?"
Control is practicable during war
time but ] do not know whether u
would work under normal conditions,
Mr.. Swift said 1t is practicable now,
because the food Administrations conT
t-ol over buying for the Allied govern
ments virtually dominates The market.
1T would be a good thing II we could
have some system Of stabilizins prices,
on the basis Of cost Of production. Any
thing that will make an average price
FOR a given length Of time is better
than the same price arrived at through
wide variations"
Plat denial that the si0O,00o,0o0 Eu-
-opean famine relief appropriation
sought by President Wilson would ben
EFT the packers was made by Mr.. swift
under questioning by representative
Dewalt Of Pennsylvania.
"The heavy stocks we have on hand
are needed for domestic and export con-
sumption" Mr.. Swift said. "TO assume
that it would beneflt the packers to dis
pose Of this meat for the famine relief
is assuming too much"
He said that neither he nor any OF
the other packers had attempted in any
way to influence the passage Of the bill
and that he had had no intimation that
such an application would be asked.
Mr.. Swift in resuming his testimony
concerning pending legislation affecting
the packers. said today that the pack
newspapers and other adiuncts Of the
packing industry were not used to con-
troll shipments or prices Of livestock.
Replying to Representative Dillon or
South Dakota, Mr.. Swift said the ma
turing dates Of cattle mortgages held
by banks in which the packers We're
interested were fixed by the borrower
for the time when he expected the ami
mails to be ready for market.
He said that control Of the cattle re-
mained with the owner and that II the
banks attempted to dictate the time or
place Of sale, the owner could transfer
his loan 70 other banks.
The packer, he said, gave little at
tention to their market papers or their
policies.
In response to further questions, Mr..
swift said his company became inte--
ested in real estate development pro-
jects through the establishment Of new
plans such as that in St. Paul, where
it was necessary to provide houses TO
obtain employees He said that although
the Swift brothers did not own ma
iority Of the real estate firms stock,
they had been retained in control by
the stockholders, many Of whom were
friends Of long standing.
Mr.. Swift was TO be followed on the
stand by ]. D. II. Weld, manager OF
the commercial research department OF
the swift company. Having heard j..
Ogden Armour, president Of Armour &
co and Mr.. Swift, the committee today
expected to have as its third principal
witness. Edward Morris, president OF
Morris & Co.
Questions by Representative Barkley
OF Kentucky. developed that swift q
Co.'S expenditure OF si,7OO0OO for ad-
vertising in 1918 was twice the sum
spent the preceding year. d,
Mr.. swift said half the increase had
been due to natural growth Of thelr
advertising department and the otner
half was spent because Of the "propa-
ganda" being put out by the Fede'al
Trade Commission. He said there was
one conference between the packers as
TO a Joint advertising campaign, but
that no agreement was reached.
Mr.. Swift said his company was IN
terested with Armour in a salt com
pany because neither Of the packers
had been able TO obtain salt suflclent
for their business: in a box company
with Morris for the same reason, and
in a Joint car shop and townste at
Fort Worth with Armour, 10 facilitate
the work OF their plants there.
Concerning charges by the Federal
Trade Commission that the Fort Dear
born National Bank Of Chicago, Is a
Swift bank, he said, the entire Swift
family owned 2i49 shares, which was
only s per cent. Of the total.
]. Ogden Armour, who testified at
length this week before the House
Interstate Commerce Committee, ap-
peared today before the Senate Argi-
cultural Committee at a continuation
OF its hearing on bills for regulation Of
the meat industry. Much Of the tes-
timony related to profits.
Asked to explain the stock dividend
Of 400 per cent. declared by his COM
pany in 1916. Mr.. Armour said this was
made possible by the accumulation Of a
surplus since the establishment OF the
business.
But this surplus was in addition 10
dividends paid to the stockholders. was
70 not?" asked Senator Norris, Of Nc
braska.
Mr.. Armour said it was.
In a prepared statement, which he
previously had presented the House
Committee, Mr.. Armour opposed the
Kendrick bill providing for the licens-
ing Of packing plants.
SWEDISH METHODIST.
The Swedish NJ. z. Church, Eleventh
h.