Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-09-28
HITS GRAIN BOARD
ACTION ON. WHEAT
Former President Says Body
Is Being Used as Seats
paw" by Government.
By the Associated Press.

BY the Associated Press
CHICAGO, September 27-A charge
that the Board of Trade directors ex-
ceeded their authority and bowed to a
Government motivated by political ex-
pediency in banning foreign nations
from trading privileges was made to-
day by Samuel P. Arnot, several times
president of the board.
His statement presaged a possible
schism among board members over the
action of the directors, who yesterday
took the stand that sales of grain fii-
lures by q foreign government are OBJ
Jectionable and should be stopped.
Their resolution was communicated to
Secretary Hyde of the Department of
Agriculture by John A. Bunnell. A6r.
Arnot's successor last year as president
OF the worlds largest grain exchange
.., Inc directors clearly tanscended
their authority in the resolution. Mf
Arnot asserted. Matters of this ma
ture are regulated by rules passed by
vote OF the membership, and not by
resolutions passed by the board Of al.
rectors. He said the Board of Trade
had been made the "catspawp of COW
eminent authorities, who were ''uiani-
fectly inspired by political expediencv
and a rather undignified exhibition Of
hysteria." -
Fright to Fellow Players.
During the last week the specter of
soviet Russia stalking across the stage
N resumption of its old role of grain
exporter had given a new fright to
IelloW players In the world market
wheat sold down in Liverpool because
OF Russian offerings today. and Amerj-
can markets followed suit. The Rus
sian sales so unsettled the trade that
wheat prices on the Chicago board
aIready sunk to depths familiar only
70 Craoers OF pre-war years, dropped
away this week to almost daiIy new
low records. The final sales TO-DAY
found September wheat going be0pins
at 7412 cents bushel and December
contracts at 771s--losses of ia to 23L
cents for the day. At WINNIPEG wheat
touched 20 cents.
Inc dropping market that was beine
| compared few weeks ago withs 19I {
prices Is nearing now the level OF
september, 1906, when wheat wa,
quoted at 69k cents and the American
a. uoiIar was buying more groceries thar
1t buys today.
Charges Were Old.
It was just week ago that secretar,
HYDE made his charges that Soyiel
Russia had engaged in short selling or
the Chicago market to the extent d
100000 bushels of wheat. It's atten.
ton directed to the matter by the Gov.
eminent, the Board of Trade directo.
rate, after conference in WashinQtor
with Government officials, ANNOUNCED
Yesterday that selling of grain future.
by foreign governments would be pre-.
vented, and that bear raids and pric,
manipulation must stop.
In the weeks interval since the dis.
covery of the Russian short sales whea
has declined from 6A to 71s cents OF
this market, shearing about $50, $50, 0Ol
from the value of the United State
wheat crop Of 1930-which totaled $685.
100000 bushels. This loss was increased
today despite the boards. ban on foreign
selling, despite drought reports from
opposite hemispheres, despite the pre-
diction off George S. Minor, manager o
the Grain Sterilization Corporation
that grain markets of the United State
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