Evening star., 1926-11-11
BREAD TRUST QUIZ
IS NOW IMMINENT
Senate Judiciary Committee
to Handle Inquiry-Norris
Likely Chairman.
BY FREDERIC WILLIAM VILE.

Another far-flung Senate investiga-
tion--this time of the so called bread
trusts imminent. 1t will be launch
ed by the judiciary committee, at the
instigation of Senator Thomas j.
Walsh, Democrat, of Montana. and Is
aimed at the Continental Baking Cor
poration, the $500 900 900 organization
of interlocking baking interests head
ed by William B. Ward. The Senate
ordered the investigation on the eve
of adjournment last July.
While designed to explore an alleged
illegal monopoly in the manufacture
of bread, flour and other food prod
ucts. the investigation will aim pr1-
marily to clear up the connection be-
tween Department of Justice pro-
cedure and Federal Trade Commission
activities in the Continental Baking
Corporation case. On April 3, 1926.
the United States Court at Baltimore,
on Attorney General Sargents 1nltia-
tive, entered a consent Decree, or
dering dissolution of the $4,000. 900 900
Ward Food Products Corporation.
This Is the giant merger which was 10
have absorbed the vast and various
Ward baking interests. whose annual
sales approach $3.50, 100000 a year.
Dismissal of Decree.
The immediate consequence of the
decree was the dismissal by the Fed
eral Trade Commission of the COM
plaint it had filed against the Conti-
mental Baking Corporation on Decem-
ber 19, 1925, for violation of the Clay
ton antitrust law. According to the
minority Democratic) members of the
Trade Commission as then constituted,
Messrs. Nugent and Thompson. the
result of the dismissal of the complaint
was to leave the Continental Baking
Corporation in the quiet. und1sturbed
and lnchallenged ownership and pos
session of the capital stock corpora
tions owning and operating SO bak-
ing concerns, including some of the
largest in the country" The action of
the commission ma ajOrity Republicans)
was assailed as having mot only exc
cuted section of the Clayton act,
but buried it unwept, unhonored and
unsung."
senator Walsh declares that he is
bent upon pressing the Investigation
because the millers of Montana and OF
the Northwest generally are alarmed
over the situation which will arise
If the purchase of flour falls into
monopolistic hands. There have al
ready been serious results of that
character, Senator Walsh Is informed.
La Toilette Began Probe.
The Senate's interest in the bread
trust" was originally aroused by the
late Senator La Toilette. who, in Feb
ruary, 1924, introduced u resolution
which was unanimously adopted. 1t
provided for a sweeping inquiry into
the whole baking industry, from the
WheatfeldS to consumers tables. with
particular reference to attempts to
create q monopoly or form combina-
tions in restraint of trade. The Fed
eral Trade Commission was directed
to make the investigation, but 1t never
came off Early in his career IN the
Senate Young Bob" La Toilette took
up the bread trust" issue where his
father left it, but matters did not
come to a head until Senator Walsh
tackled them just before the Senate
adjourned last Summer.
High politics and an unusual array
of battling personalities VIII nStln'
cuish the forthcoming investigation.
The packing" of the Federal Trade
Commission with Republicans friend
" to corporate interests is one OF the
major charges the Democrats long
have planned to launch against the
Coolidge NEUTRALITY-SUSPICIOUS. L liC VI eau
trust" inquiry Is apparently to he the
arena in which these accusations Will
be aired.
Persons to BE Heard.
The Federal Trade commissioners
whose names will figure conspicuous
ly in the Democrats onslaught are
William e. Humphrey. Charles w.
Hunt and Vernon w. Van Fleet
The latter is no longer a member of
the commission. But the man who
took his place a few months ago is
likely to figure no less prominently
Abram F. Myers, who was the special
Department of Justice attorney in
charge of the proceedings which end
ed in the dissolution of the $1,000
900, 900 food merger.
No less interesting is the makeup
of the Senate judiciary committee,
which will hold the investigation. 1t
will be headed, in all likelihood by
Senator George w. Norris, Repub-
an-Progressive, Of Nebraska. heir
by seniority to the craftsmanship of
the late Senator Cummins. Other
committee members are Borah, Re-
publican; Reed (MissourD Walsh
(Montana). Ashurst, Caraway, King
and Neely, Democrats, and all hard
hitting, experienced probers.
Copyright 1926.)
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