Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-09-21
Holds Russia Is Physically
and Economically Unable
to Make Delivery and
Never Intended to Do 1t.
CITES EXECUTION OF SIX
FOR FORGING BREAD CARDS
House Committee Will Call Off
Gals of Russian Syndicate to
Testify in New York and Will
Continue Hearing in Chicago
Later.

Direct responsibility for short
selling of wheat in the Chicago
pit by the Russian government
was placed on the Chicago Board
of Trade yesterday by Secretary
Hyde as Representative Hamilton
Fish, chairman Of the House Com
munist Investigating Committee,
prepared to delve into the rami-
ficationS of the charges.
Following a conference between
the Secretary and Chairman Fish
Mr.. Hyde made public telegram
to John A. Bunnell, president of
the Chicago Board of Trade, in
which the Government made plain
its intention of placing squarely
up to the board the burden for
prevention of manipulation Of
prices
In response to a telegram from Bun
nell asking for complete facts in sup
port Of the secretary's charges, Hyde
offered ito afford" the business conduct
committee of the board full facts. but
reminded the board that every bushel
of short sales by the Soviet government
was sold by your members from whom
no doubt you can get information.
These transactions by the Russian
government" the secretary wired, ARE
not based upon even q remote possibility
of delivery upon your market or in the
United States and have the effect of
manipulating the price downward
against every farmer who has sold
his wheat since these short sales were
executed.
Question for Board.
"A new question of broad public
policy lies before your board to con-
slider, and it is thus primarily question
for the Chicago Board Of Trade to con-
slider its position as providing free
market for the American farmer and
the consumers of the world.
The law provides the Board OF Trade
shall make such regulation as provide
for the prevention of manipulation OF
prices
IT should be glad TO hear your action
IN respect to these transactions"
In making the telegram public to the
press yesterday afternoon Secretary
Hyde stressed that the short sales were
made by a government that could not
possibly deliver the wheat contracted
for. and whose people now are being
rstioned on bread butter and meat"
He disclosed that the transactions
complained of took place September 8,
2. 10 and II and were accompanied by
q marked depression of prices on the
Chicago wheat market. The sales
were made in the name Of the ALL
Russian Textile Syndicate, which Sec
retary Hyde claims is a subsidiary of
the Amtorg Corporation, whose sctivi-
ties already have been investigated by
the House Committee. Secretary Hyde
informed President Hoover that the
sales totaled at least 100000 bushels
to be delivered, theoretically, in De-
cember
Impossible TO Make Delivery.
"But It is physically and economi-
eally impossible for the Russian gov
eminent to deliver that much wheat in
America in December, and II has no in
tention Of so doing" the Secretary de-
clsreo yesterday TO the press.
Does 1t seem reasonable that Rus
sia would contract to sell us 100000
bushels of wheat when there are bread
lines in her own country? The De-
partment Of Commerce advises me that
the people Of Russia are being rationed
Only last week six men were executed
for forging bread cards. White bread is
allowed only children under TO- anc
one-eighth of a pound of butter goes
with g. One-half to quarters Of
q pound OF rye bread is allowed in
dustrial workers daily and only one
fourth of a pound of beef is allotted
workers.
ut is inconceivable that a govern.
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