Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1919-12-27
COMPROMISE
WITH PACKERS
IS NOT FINAL
Federal Trade Commis.
sion Still On Their Trail
and Will Stick.
By DAVID LAWRENCE.
Especial to The Argus.)

Washington, D. c., Dec. 27.-The
troubles of the Chicago packers are
by no means over. What the de-
partment of justice has done in
compromising a suit brought under
the Sherman antitrust law will
not swerve the federal trade COM
mission from its course in bring
ing proceedings in 81 different
cases in which it is alleged that the
packers are violating the federal
trade commission law with refer
ence to unfair competition.
The full significance of a little
statement issued recently, rathe:
vaguely worded at the time, but
conveying nevertheless the inten-
uOns of the federal trade commits
sion, is just beginning to be appar-
ent. It developed that the commits
sion was fully aware Of the nego-
tiatiOns between the department OF
Justice and the packers and pre-
pared the statement Of its position
to be issued coincidentally with the
announcement of the compromise
reached by the attorney general. In
many quarters the federal trade
commissions position was prompt
~ interpreted as dissatisfaction
with the course of the department
of justice and the fact that the
commission addressed its letter to
the president and asked q contin-
uance Of his confidence was con-
strued as the outcropping Of an in
ter-departmental quarrel.
Is Perfect Understanding.
But that isn't the situation. The
feeling between the federal trade
commission and the department OF
justice is friendly and cooperative.
There is a perfect understanding
Of the scope and jurisdiction OF
each branch of the government
with reference to the suits against
the packers. The federal trade COM
mission furnished to the depart
ment Of justice much Of the evil
dence which was used in the suit
brought under the Sherman law
That Ii only one Of its functions
however. Under other laws, it II
charged with the duty Of compel
ling big business to desist from un-
fair trade practices and its orders
are subject to affirmation or revcr-
sal in the United States court oi
appeals. So while the packers may
reach an agreement with the de-
partment Of justice as to their dis
sociation from related lines Of bus
mess constituting a monopoly, that
has nothing to do with the work oi
the federal trade commission under
other laws.
The big question which the fed
eral trade commission is trying tc
answer in behalf Of independents
and smaller concerns than the
packers is this: III the $525, ,000. .00(
Of capital which has hitherto been
distributed in more than 400 differ
ent kinds Of business now must be
concentrated in the meat business
and in the butter, egg, cheese and
poultry business, what will $685.
OOO,O Of organized capital do te
the persons engaged in the meat
butter, egg, cheese and poultry
business?"
Packers Know Powers.
The packers know Just what th<
powers of the federal trade com.
mission are but an item in Chi
cago newspaper recently gave ths
impression that they expected Pres
ident Wilson q call off the fedora
trade commission. 1t is known thai
the packers have discussed thai
possibility with the attorney gen
eral but the latter has no more
Jurisdiction over the federal trade
commission than the secretary o.