Evening journal., 1920-01-24
SATURDAY, JANUARY "a, 1920.
GRoNNA EXPLAINS KENDRIcK- KENYON BILL.

shat farmers packers Dealers shippers and all others
Interested in the subject may have concise but compre
hensve understanding Of the provisions and purposes OF
The b Senator AISLE j. Gronna, chairman Of the Senate
Committee Agriculture has made the following ex-
/ planstory analysis:
"The packers subject to the Sherman Act pro-
hibng monopoes and combinations oonsplraeies in
restraint Of trade the Federal Trade Commission Law
prohibiting unfair methods OF competition. and TO the
Clayton Act prohibiting discrimination price fixing, ac-
. qson OF capital stocks Of competitors and inierlockng
drecorships tendns to lessen competition. Under the
Trade Commission Law they also subject to inyest
cation and regulation by orders Of the commission with
respect unfair methods Of competition. The revised
KendrckKenyOn BILL now pending In the Senate Asr-
cultural Committee without setting aside the general OBJ
legations imposed upon the packers by existing laws,
singles the packing industry just the Interstate
Law singled out the railroads and subjects it
to more definite governmental regulation and more ef-
fectve administrative enforcement
"The principal duties imposed the packers by the
proposed legislation are:
"a they are prohibited from engaging in unfair-un
Justly discriminatory deceptive practices in interstate
commerce;
~ib they are prohibited from buying or selling live
stock such to apporton the supply unrea-
soaably affect the price, create monopoly in dealing
in livestock
"lc) they are prohibited from dealing in foodstuffs
other than livestock products where the result is to les
sen ccmpstltion
I'd" they are prohibited from apportlonins territory
or purchases arranging agreeing to control prices
"(e) they are prohibited from agreeing or arranging
among themselves prevent any other person carrying
on any business which competes with them;
"D they are required within two years after the act
becomes effective to dispose their ownership Of in
res in stockyards unless this time extended for good
cause
In addition to these specific duties the proposed egs-
h.s
stock Commission created by this measure, similar TO
the investigation which the Trade Commission now has
power to make At the time they taken out OF
the jurisdiction Of the Federal Trade Commission though
they would still be subject to the positive requirement
OF thee Trade Commission Act which prohibits unfair
methods OF Competitions They are required to keep rec
ords and made subject TO investigation, examination
and inspection BY the agents Of the Livestock Commits
son in much the manner the railroads under
the Interstate Commerce laws.
zone OF the most important parts Of the proposed bill
the provision for prosecution Of the packers for viola
ons Of the obligations imposed them by the anti
trust laws and by the provisions Of this law. The pro-
posed Livestock Commission is given power to nvestl
gate the methods and practices Of the packers and to
make regulations and orders representing the commits
son Interpretation Of the requirements OF the law with
respect TO particular circumstances conditions. The
packers are obliged 10 conform to these regulations and
orders Of the commission unless appeal to the courts
they able 10 show tnat such regulations or oueS arc
Invalid II upon such appeal the commissions rules and
orders are held valid any violation by the packers after
such ruling by the courts is made criminal ofense pun
shable by fine Imprisonment.
The pending bill does not make OF any system Of
Compulsory licenses registration for the purpose OF
regulating the packers but provides for governmental
supervision by commission which, like the Interstate
Commerce Commission given the power to determine
subject to review in the courts what the duties and ob
cations Of the packers are and compliance with the COM
missions orders is to be enforced in criminal proceed
ngs.
The bill also provides that the new commission shall
take over and develop the functions performed by
the Bureau Of Markets the Department Of Agriculture
IN collecting and distributing market information re-
specting production distribution and consumption Of
livestock products
rWith respect to the transportation OF perishable
foods the bill requires that interstate carriers shall pro-
vide refrigerator cars and shall not haul privateyowned
refrigerator unless such open 10 all shippers
on equal terms.
stosuards and refrigerator transportation the b also
contains provision for the voluntary registration OF
persons corporations associations conducting pack
ng houses stockyards warehouses This provision is
intended primarily TO stimulate cooperative organza-
ons to conduct local sockyards and packing houses No
financial aid is be furnished by the Federal Govern
mens but It intended that such cooperative organza
ons may assisted with plans and methods
In connection with the conduct Of their businesses 1t is
also intended that they shall have the benefit Of Federal
registration and OF the guarantee which with that
they are conducting their businesses in accordance with
standards laid down by the Livestock Commission This
registration Is voluntary however, ana compulsory
and any registered establishment at time release
itself from any obligation TO comply.
.These voluntary registration provisions have rela
ton to the regulation Of the packers except insofar
they may stimulate local cooperative competitive
stockyard and packing establishments"
That is an enighenng statement. and win lead to
better understanding the bill by interested and affected
9hmericsns.