The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1921-05-14
HOUSE PASSES
REGULATION
GRAIN DEALS
Capper-T r-Tincher Bill, Designed
To Destroy Manipulation,
Goes to Senate-Provides
Tax on Transactions.
MEASURE CRITICIZED

WASHINGTON. May 14.--The Cap
per-Tincher bill. for the regulation of
dealings in grain futures, passed the
house Friday afternoon after an ex-
tensive DEBATE, in which the oppon-
ents of the bill put up good fight
The bill is designed to eliminate
puts" and calls" or the insurance
"indemn:ties," as now known, princi-
pally bought for hedges against specu-
lative lines and for pure speculative
purposes in scalping the market. The
bill is now up to the senate.
If the bill becomes law in its pres
ent form. it will provide tax of 20
cents a bushel on such transactions.
similar tax is provided on contracts
for future delivery, made outside Of
contract markets. the contract mar
kets to be designated by the secre-
tary of agriculture, except where the
seller is the actual possessor of the
grain.
Representa- tive Tincher says the bill
will "absolutely destroy manipulation,
although it does not abolish what is
known as the legitimate hedge"
Merrill Moores Votes "No"
Representative MOOTSS OIL
lis voted against the bill, stating that
| he regarded the measure as mostly
bunk" for the farmers He believed
that it would interfere with legitimate
marketing, with greater effect than it
would hamper speculation. The re-
manning IL of the Indiana delegation
supported the bill. although Represen-
tative Purnell of the Ninth district
said he did not regard the measure as
perfect, simply a step in the right di-
rection I've are firm in the belief
that reasonable amount of specula-
ton. but without manipulation, is nee
essary under our present system, In
order that We may have liquid mar
ket."
Joseph P Griffin, president of the
Chicago board, says that the exchange
may withdraw from business if this
bill becomes a law. according to the
Chicago Tribune, which quotes Mr..
Griffin as saying:
while l do not speak with author
ity for any exchange except the Chi
cago board Of trade, it is my judg-
ment the grain exchanges of the coun-
try will voluntarily withdraw from
business and close their market places
unfair, and arbitrary features of th.s
bill.
'The exchanges do not protest regu-
iation, and if there be of evil in their
business they have no objection to
legislation if they themselves fail to
eradicate such evil"
BIames Cabinet Member.
Under the captain: "Blames Cabi-
net Member" the TribuneS meaty in
terview continues as follows:
The statement blamed the secre-
tary of agriculture for causing the re-
drafting of a bill that had the ap-
proval of representatives of the farm
ers, millers, country and terminal
grain dealers. and the grain exchanges
of the United States. AS so changed
the bill had what Mr.. Griffin called
bureaucratic and undemOcratic prin-
ciple' written in Ito appease the de-
mands or the wrath of elements of
our population merely because of nu-
| merical strength of the voting
groups"
IF congress and other legislative
bodies. are really desrous of helping
the farmer, then there should be an
end to bootstrap legislation" Mr.. Crit
fin added. THE responsibility for the
farmers present deplorable condition
cannot be attributed to any particular
group of men. but to worldwide sit
uation. Potentially there is demand
for all the products that the American
farmer can Or will produce, but our
customers are in bankruptcy"
Fears Economic Results.
He said it might be necessary "to
indemnify American exporters on for
eign credit transactions"
"If," he added, the coming harvest
the world over should prove TO be
bountiful, and in the interim our gov
ernment has provided no means by
which the farmer can find a market
| for his products, dread to think of
the condition in which this country
will be plunged, in a purely economic
sense"
OPEN OANZIG BANK
fRv Associated PressD
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