The Washington herald., 1921-02-25
PACKERS ACCUSED
OF aim TO DECEIVE
INSALE OF STOCK
U. S. Counsel Fails to
Force Showdown. Court
Postpones Action.

Efforts Of the Department of JUS
tice to force the hand of four of
the big packers-Armour and Com
pany, Swift and Company, Wilson
and Company, and the Cudahy Pack
ing Company-into revealing what
they arc alleged to be concealing
with regard to the real nature of
their plans of February last for
the Investment of their interests in
stockyards, stockyard newspapers
and stockyard terminals, failed yes
terday when Justice Wendell r.
Stafford postponed until Monday
next action on the governments
demand that the court take hand
Immediately and force sale of
these holdings.
The only progress made at the
session was the approval of Justice
Stafford of the disposal of the TWEEN
ty shares of the Chicago stock
yards held by Armour and Company,
valued at $I,50O,000. to +. H. Prince
and Company, of Boston, owners OF
the other four-fifths of the stock.
the total value of which is $780,
900. The transfer of this stock has
long been a bone of contention, but
the government was not opposed to
the ratification of the sale yester-
day.
Session Lively.
The session yesterday was the
liveliest on record. When Assistant
Attorney General s. J. Kresel ac-
cused the four packers outright OF
attempting to deceive the court and
stated that they had reasons other
than lawful ones for delaying the
process of Investment for moro than
4 year after agreeing to act swiftly
in the matter. Conrad Syme, counsel
for Armour and Swift, rose to his
feet and questioned the veracity of
the governments counsel.
Kresel then demanded that before
Syme called him liar" and shout
ed that he (Syme) had better look
into facts before making such a
remark again. Syme denied pass
ing the short and ugly word. but
counsel for the government insisted
that IL he did not say 1t in so many
words, he implied il.
Then. Kresel offered to prove to
the court that the packers-all but
Morris & Company, whose plans
come nearer than any to meeting
the courts approval-had attempted
deceit by reading from a statement
presented to the court by Wilson
& Company to the effect that some
time ago the best offer for the stock
in the st. Louis yards was SIS a
share, whereas, in the plans of Feb
urary s. the price was quoted at
s120. Therefore, kresel argued,
that defendant had purposely put a
prohibitive price on the stock with
a view to controlling 1t indefinitely.
Demands Immediate Action.
The Assistant Attorney General
demanded then and there that the
court go ahead and appoint a trus-
tee or holding company to take i'm
mediate steps for the disposal of
these properties, but Syme objected
to this procedure and characterized
it as a haphazard method which
would be to the detriment Of the
packers.
Justice Stafford '1nterposed with a
remark. to the effect that the four
packers were very reluctant to let
go of these properties. but that he
would give them until next Monday
TO prove facts pertaining to the
value and offers of various amounts
for the stock as related in the recent
plans, and also for the defendant
packers to bring before the court
by that time some other plan of a
workable nature which the govern
ment could approve.
Sees Joker In Plans.
Kresel then again attacked the
plans and accused the four packers
Of inserting "joker" in them which
would allow control of their hold
ings to remain in their hands even
after trustees had been appointed
and sales agents arranged for the
sale thereof.
Counsel for the government inti-
mated that every plan submitted so
far showed that the packers were
doing nothing more than dilly-dal-
lying and il given the opportunity.
he said. the packers would present
plans from now until dooms day
with no more actual results that
are manifest today.
The court held firm in it's decision
to allow the packers until Monday
to again demonstrate their good
faith.