Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-01-10
INVESTIGATING.
n. ACTIVITIES OF
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LUMBER FIRMS
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Federal Trade Commission
and Department of Justice
: .s. Make Inquiry.

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Washington, Jan. 10.-An extensive
investigation into the activities of
lumber manufacturers through their
national and regional associations is
being made by the department Of JUS
eral trade commission. This is dis
closed in a report sent today to SEN
ate comnittee on reconstruction.
The report. the committee says, is
designed to show the activities of the
manufacturers and their attitude to-
wards national legislation, amend
ments to the revenue laws. elimina-
prices and production restriction of
ref6restration and other matters"
It is set out that the lumber manu-
facturers in approximately ten differ
ent lumber, sections Of the country
have organized regional associations,
which have formed the National
Lumber Manufacturers association.
with headquarters at Chicago.
Each regional association" the re-
post .s7vs. complies statistics upon
production, market conditions in gen.
era... sales reports showing actual
prices obtained for lumber and es-
tablishes and maintains uniform
grading rules and uniforns cost ac-
count system. Various other activi-
ties are undertaken to accomplish the
purpose of their organization
listed as constituting the national as
sociation are the Southern Pine as
'sociation, West Coast Lumber associa--
ton, Western Pine Manufacturers
Northern Hemlock and Hardwood
Manufacturers association, Northern
Pine Manufacturers association.
North Carolina Pine association.
Georgia. Florida Sawmill association,
Southern Cypress ASSOCIATION. Michi-
gan Sugar and White Pine Manufac-
turers association.
Committee is Active.
The commission informs congress
that the national association has been
very active" in legislative and de-
partmental affairs whic1l affect this
industry.
1t adds that L. c. Boyle, Kansas
City attorney. with headquarters in
Washington, ''is. employed to attend
to such matters for the national as
sociation," and that he also represents
many of the regional associations.
The report says the national asso-
citation appointed committee upon
government relations the function
Of which was fully outlined" by Mr.
Boyle in a letter dated May S, 1919
to: Charles F. Keith president Of the
OK thesleading officials Of the nationa
associafion;" which tho. commission
ssis IL Mud the outsts snding Epper.
) \ 4llntty OF your, committee has to serve
r@ghe Industry and also the country Z,
SslArgeS4s to SO mobolixe its unitsS thai
they may be in q position to more
Ao~ -, nSr n&vak
the destructive tendencies of ,tht
hour. The result can be aided by the
industry being kept fully advised
through your conymittee of govern
mental activities-political legisla
tive and Observation-Disclosures have fol
their direct or indirect object invasion
of constitutional guarantees. Due t.
this character of information the op
orators may be induced to pay less at
tention to the political complexion )
a candidate for Office and more atten
tion to the political complexion of
candidate for Office and more atten
ton to, his standing as a bona-fid'
American citizen-one who. under
stands that we live under constitu
tional form, of government
i. "Mr. Boyle" says the commission
further referred to this committee il
letter of May 8 to Mr.. Keith, il
which he added:
1T would be unwise to sprea;
broadcast the plan of organizing you
committee and this is especially if tn
organization is to be comprehensiv
of the industry" because the YER
magnitude of the plan would chal
lenge attention and arouse suspicion.
a. Numerous extracts from CORE
,,spondence, said to have passed be
tween officials Of regional organiza
tions,, are given in the report to sup
port. the commissions charge that is
suance Of price lists from time to tim
was an established practice" tn
corresnondepce quoted involves tn
West Coast Lumbermen's association
the Western Pine Manufacturers as
sociation. the Association of Hemloc
Manufacturers, and the Michiga
Hardwood association.
The report contains documents !
support Of further charges that tn
association had consistently sought
eliminate competition not only 1
prices. but in competitive woods an
also to restrict production in the ir
.terest of price levels. -t,.
- It Is set forth in the report that fou
days before the expiration, on Decen
Der %, 1918, of the maximum price
on lumber fixed by the war industris
board, the Southern Pine associatio
met at st. Louis. The day after tn
meeting, according to the report,
representative Of the Edward Hin<
Lumber company of Chicago wrote I
Mr.. Hines in part as follows:
"All those in attendance reporte
that their stocks were so to rs pt
cent under normal and all expect {
advance their prices on the gard, tn,
is to say, the advances running frol
one dollar to three dollars on all item
with the exception Of timber.
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