The news scimitar. (Memphis, Tenn.) 1907-1926, 1920-02-16
LUMBERMEN SAY
i. S. REVIEWED
ATTACKED PLAN
Federal Trade Commission
Did Not Voice DiSapprOVal
at Time-DefendantS Con-
fident Of Being indicated.

An attitude OF complaccncv has been
adopted by the hardwood lumber manu-
lacturers of Memphis and elsewhere IN
the territory named as defendants IN
the suit for an injunction brought
agains, the 'open competition plan
membership of the A;ivllcan Hardwood
Manufacturers assoCla uOn, by Attor-
ht.%-GeReral Palmer Oh behalf OF The
government. There Is no thought but
that the trial OF the suit Will result in
a cor lplete vindicatlon of the methods
o. the associa tons statistical or open
competition department, Preliminary
hearing is set before judge Mccall
March S.
To sls. ain this eompacent attitude
the lumbermen recall the fact that the
plan vas submitted to a review OF <the
federal trade commission before ii was
Instituted and that While the commits
S on did not approve ii in SO many
wtrds, they Gid make no objections to
It In its entirety. The commission
tain minor alterations and these Were
promptly and gladly affected by the
associated lumbermen.
Since that time copies OF every report
Issued 10 the membership from the
open competition plan department have
been filed With the federal trade cpm.
mission and the dcpGY tmentA OF Justice
TO operate surreptitiously and has been
giad TO Keep the government agencies
continually informed Of Its operations
Furthermore, its meetings. held period.
ically in Memphis, New Orleans, jack
son, Miss, Little Rock, Ark, and Gin
cinnat, o.. have been open To members
Of the press ard no restriction las beon
placed on the publicity that mignt oth-
erwise be given 10 the conduct Of the
members at these meetings
As to the charge Of conspiracy In re-
straining trade, the members point out
that the association has been open at
all times to all hardwood lumber man
ufactnrers willing to pay the expenses
Of membership. and that the. assoca-
ton has always been seeking nc "
members and glad TO get them, There
was no attempt to effect a close cor
poration for the benefit Of a few mem
bers of the industry excluding all but
the favored ones.
Relative to the charge OF collusion to
advance and keep prices Of hardwood
lumber up, II is pointed out that the
thing for which the open competition
plan firms have been arraigned Is no
more than what is being done by the
government itself to keep live stock
raisers, fruit and vegetable growers.
producers of dairy products, grain and
cotton apprlsed Of market conditions.
Nothing has been done by the lumber
association further than to report stocks
of lumber on hand and prices secured
| for lumber. There has never been any
| thing like an effort to come to q
price agreement nor even a suggestion
OF this.
The open competition plan depart
ment OF the association. II Is said
| merely undertakes to supply its me-
| bers with the legitimate market infor
nation which II happens the govern
| ment does not furnish to the lumber in
dustry rs it does to some others.
Gen. l.. G, Boyle. of Washington
counsel for the American Hardwood
! Manufacturers association. arrived in
| Memphis Monday morning TO prepare
to fight the injunction which the gov.
| ernment asks to restrain the oper
| competition plan members from further
meetings or further issuing reports on
stocks, sales, market conditions, etc
Gen. Boyle Will recruit corps of local
legal talent to assist him in the de.
| fense and n hard fight win be made to
free the association from the incubus
OF the charge Of profiteering and con-
| spirscy.
| Three hundred and siXty-two firms
| in l6 states are named as defendants
along with r. Il, Gadd, manager Of sta.
| tistics OF the association.