Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1922-06-13
CHICAGO MAN
BACKS GRAIN
GROWERS PLAN
Would Spend Millions
Developing Program
of Selling Produce.
Coz Operative Project
Plays No Part; Good
Investment Seen.

Chicago, June 12.-(By The Asso-
ciated Press.)-The Chicago capitalist
who was said by James K. Mason, of
Milton, Ind, in testimony before the
special senate committee investigating
the United States Grain Growers, Inc,
to be willing to spend a million dollars
in promoting a sales department for
the grain " is Burton f. Hales,
a wealthy member of the board of
trade.
Mr.. Hales readily admitted to an
Associated Press representative Mon
day that he was the man referred to
by Mr.. Mason, who in giving his testi-
mony Saturday at Washington refused
to identify the prospective benefactor
of the subsidiary planned to sell the
grain contracted by the United States
Grain Growers. Inc.
Mr.. Mason's testimony-that a board
of trade man was willing to help fl
nance the cooperative organization
| which is looked on by big traders as
inimical to their interests-created a
sensation in financial circles here but
the Identification of Mr.. Hales created
even more surprise. for the guesses as
to the identity of the man had not in
cluded Mr.. Hales.
Plans Yet In Making
Mr.. Hales said that the subject of
a sales department for the grain grow
ers still was penUGng and hat he did
not know just what would come of his
offer. He would not go into details
as to his reasons for being willing to
back the proposition.
He fully confirms all of Mr.. Mason's
testimony concerning the plan, saying
that he had agreed to advance $4,000
whenever it was wanted as a starter.
Mr.. Hales said he did not remember
just how he became interested in the
idea, adding that he presumed some
one approached me on it as a good
He said he had been discussing the mat
ter for several months. Asked specif-
ically whether he decided to 60 into
the deal because of IN interest and be-
lief in cooperative marketing or just
because he thought it was a good bust
ness proposition. He said:
Purely an Investment
II think it is just a business invest
ment so far as | am concerned. for
| have never taken part in cooperative
marketing plans.
"Of course, | own some small farms
and raise thoroughbred cattle as a
hobby and I'm somewhat of a farmer
in that way myself. I. couldn't ex-
press approval or disapproval of CO.
operative marketing because I've never
looked into it thoroughly"
Mr.. Hales is a broker in many lines.
but chiefly in grain. his firm owning
many elevators. He said his nephew,
G. W. Hales. also had become interest
ed in the grain growers proposed sales
department., primarily from an invest
ment standpoint. He said his nephew
would assist him in any financial aid
given the plan.
Disagreement between the board of
trade and the United States Grain
Growers, Inc. over the terms of their
entry upon the board has developed
into a struggle involving the a~gricul-
tural bloc in congress and the United
States supreme court, centering recent
ly around the supreme court decision
holding unenforceable several sections
of the futures trading act, known as
the Capper-Tincher law.
The board has commended that co..
operative organizations seeking seats
the board were unwilling to comply
with the rules of the exchange, chiefly
the provisions against rebating of COM
Await Boards Decision
Announcement of specific plans for
the purchase of a seat by the grain
growers has precipitated lively discus
sion in grain circles as to the boards
probable action on such an application.
Contracts for handling approximate
ly 10000. 900 bushels of wheat have
been made. il is said. through the grain
growers proposed selling organization.
Officials of the grain growers refused
to comment on the situation Monday.
aside from saying that complete details
of their selling organization were ex-
pected to be ready for announcement
a few days. c. II. Gustaffson.
the president, was out of the city.