The news scimitar. (Memphis, Tenn.) 1907-1926, 1919-08-26
j. S. OPERATION
Of REFRIGERATOR
CARS IS URGED

WASHINGTON, Aug, 26 Declaring
that the step Is necessary to control the
business OF the five largest packing
companies the federal trade commits
sion, in a special report to President
Wilson, recommends that operation Of
refrigerator cars and cars used for
transportation of meat animals be de.
'elared government monopoly II rec
ommends further that the property con.
cerned, lnGludtnka icing stations and
other facilities as wei as the cars. be
acquired by the government and rail-
| roads thereafter be licensed to own and
operate them The big packers, the re-
port says, now own 80 per cent OF all
the refrigerator equipment In the coun.
try suitable for the transport OF fresh
meat,
The federal control act gave the
railroad administration the right to take
over these cars, but they carefully re-
Trained from doing so, he said THE
Interstate commerce commission, after
careful study confessed that only In
efficiency could result from turning the
cars over TO the railroads"
Ownership Of the stoCkyards by the
|packers, MIR Brown said, was not a
cause for objection by shippers so Tong
as competition was maintained and yard
charges we're reasonable
THE present country wide system Of
distribution by the five big packers
has grown up from their control Of
refrigerator care lines In conjunction
with various pools' the report says in
part,
'"In turn, the volume Of traffic Of the
| five packers has enabled them to Sc
cure from the railroads advantages over
competing shippers, Formerly In the
I,.l.a - III .knt "A "a
| tages are now usually In expedited
| service 10 the big packer cars In favor
| able mixing rules which include all their
| diversified products and even many ar
| tices not related to the packing In
| dustry; by allowances paid to some OF
| the big packers by carriers for a part
| Of the transportation service; by favor
| able arrangements and lease OF stock ,
yards by the railroads to some OF the
big packers, and BY the sale to the
| railroads of humping posts manufac-
| tured by u subsidiary Of one OF the
big five.
Cars Are Misused.
"rhe small independent packers cars
are misused and diverted, frequently
| being out Of AhisN service for extended
| periods, IN several instances as long as
| six months. In 1917, the cars OF the
| big five and their subsidiary compan-
/ les HlHlHldlneu hil dNfIhbN VI ouso ilillts
per car per day, while the average for
cars of their competitors, the indepen-
dent packing companies, was only 5A.5
| miles"
Tho commissions investigation Of the
private car ownership has developed the
\ fact that while packers claim losses,
the report says. "A proper revision Of
| their car accounts Shows the car OPP
| Grafton has netted some profit. This
amounted to G.S per cent In 1919, 3.t
per cent In 1914 and 4.S per cent in
| 1917.
"The prompt and efficient handling
| of the traffic In meats and other perish
able foods is OF great public concern y
| the report says In making the recom-
mendations. land II is also important
that all shippers should have equal and
| adequate service The recommendations
| are made to correct present lnequali-
ties OF service and rates as well as to
prevent the dangers II monopoistic ad
yantAppp'