THE SUNDAY OllEGOXIAX, PORTLAND, DECE31BEB 15, 1913.
GOVERNMENT TURNS
OH "BUTTER TRUST"
Conspiracy to Fix Prices to
Detriment of Farmer and
Consumer Alleged.
Your
Account
DISSOLUTION IS INTENDED
A I tor iiej -General Wickershani As
sens Elgin Board of Trade and ,
Creamery Manufacturers Are
in . Agreement.
CHICAGO, 111.. Dec. 14. Charging a
conspiracy to fix arbitrarily the price
of butter hi the interest of big manu
facturers and cold storage concerns,
and to the detriment of the farmer,
other small producers, and the consum
ing public, the Gederal Government' to
day began a civil anti-trust suit against
the Elgin Board of Trade, otherwise
known as the "butter trust," and the
American Association of Creamery
Manufacturers. An attempt will be
made to dissolve the so-called trust,
which Attorney-General wickersham
alleges is a violation of the Sherman
law.
The Government's petition In equity
declares that butter making has drift
ed to the large manufacturers, the nat
ural increase in the volume of busi
ness has been curtailed, and prices to
the people have been enhanced, espe
cially during the Winter, by the oper
ations of the "conspirators."
Trrntr-fnnr Are Defendant.
The following are named as defend
ants: Elgin Board of Trade; Charles II.
Potter, Elgin, .III.; H. C. Christians,
Richfield. Wis.; J. P. Mason. Elgin;
Colvin W. Brown. Elgin; A. C. Haw
lev. Jerseyville, Ill.;'Amerlcan Associa
tion of Creamery Butter Manufactur
ers (unincorporated) and 17 individuals
in different cities. Including Duluth,
Minn.. Omaha and Kansas City.
The bill Is signed by Attorney-General
Wlckersham. James A. Fowler,
assistant to the Attorney - General;
Vnlted States Attorney Wilkerson; of
Chicago, and three special assistants.
Aside from the dissolution of the two
organizations, the Government seeks to
enjoin the defendants from appointing
a price-fixing committee, from fixing
prices, from quoting or publishing
figures purporting to be "market
prices" unless they are based on bona
fide sales of butter: from demanding
that the Elgin price be used as a basis
In making contracts for butter: from
making fictitious or "match sales" of
hotter to mislead as to the actual price
at which butter is being sold.
The price of butter fixed on the Elgin
Exchange, the Government maintains.
Is not the result of free and open com
petition regulated by actual bona fide
sales under the law of supply and de
mand. The price-fixing committee or
the board is dominated and controlled,
it is alleged, by large butter manufac
tories, known as centralizers, and by
cold-storage concerns. This committee,
the petition adds, "has acted arbitrarily
and without regard to actual values
and fixed prices, - wholly In the inter
ests of the conspirators:"
From May to August, when the bulk
of the country's supply Is made, the
petition says large contrallzlng con
cerns are buyers, rather than sellers
of butter, buying up the surplus prod
uct and storing it for Winter, when
the price .of butter fixed by the board
during the Summer months, have been
almost- Invariably below the price at
which the product actually has sold
upon the market, .while during the
Winter months, the prices fixed have
been somewhat above market and pri
vate sales.
It Is charged that the American As
sociation of Creamery Butter Manu
facturers, composed of about 46 firms
and individuals. Is used by the "con
spirators' to maintain these seasonal
differences In prices without regard to
trade conditions or competition. All
members of the Association are re
quired. It Is alleged, to use the price
thus established as a basis of their
contract for the purchase or sale of
butter.
Before the Summer of each year, the
petition continues, the large central
izing concerns send representatives
throughout the butter producing area,
contracting with small manufacturers
for their entire season's supply, based
on the figures of the Elgin board,
usually one-half or one cent higher
than the Elgin price.. Vast quantities
of butter are thus purchased from
farmers and others. It is said, by mem
bers of- the association.
"Jf, theretoi.7 thei petition de
clares, "the price fixed by the Elgin
board should fall below the real eco
nomic price of butter, as fixed by the
law of supply and demand, the profit
accruing from the corresponding drop
in contract prices goes to the large
centralizers on every pound of butter
which had been purchased in advance
i-0er contracts based upon the Elgin
pice."
Aliened Combine Five Years Old.
The system by which the price of
butter is fixed is not generally known
to the widely scattered producers, ac
cording to the retitlon, but "on the
contrary, the price' Is published
throughout the United States in news
papers and otherwise, without any ac
companying statement of how the
price Is determined, and readers of
quotations thus published, and partic
ularly farmers and other producers of
butters and sellers of butter fat, are
led to believe that the price quotation.
re prices established by actual bona
nde sales and purchases of butter In
open competition on the Elgin Board
of Trade."
.he alleged combination and con
spiracy Is said to have been formed
"siime five years ago."
Officers of the American Association
of Creamery Butter Manufacturers deny
that the organization has ever at
tempted to fix the price of butter or
that It has any connection with the
Elgin Board of Trade.
ELGIN" JlEX riJOFESS XO FEAR
President of Board Says lie Expects
Action to Be Dropped.
KI-GIX. 111., Dec. 14. Elgin "butter
barons" have no fear of dissolution by
the Superenie Court of the United
States.
"When the Supreme Court of the
United States is fully informed on this
subject, as 1 have no doubt It will be,
I believe the action will be dismissed,"
said President Potter today.
The Elgin Board of Trade was organ
ized in 1ST! and chartered under the
laws of Illinois in 179. Prices of but
ter were quoted between the figures
of the three highest sales up to 1896.
. when a quotation committee of five
members, two of whom are usually pro
ducers, two dealers and one a broker,
was elected. The Board convenes each
Monday and acts as a primary market.
A call board is maintained on which the
receipt of the New Tork market are
first announced, producers than, nlaca
is wanted, whether
check or savings.
Xo restrictions
placed on amount
for opening a check
account.
Savings Accounts
may be opened for
$1.00 and upward,
on which 4 per cent
interest is paid.
MERCHANTS
SAVINGS & TRUST
. COMPANY
Sixth and Washington Sts.
Open Saturday Evenings,
6 to 8
their supply before the Board and offerings-
are made. The prices are for
actual sales upon which butter is de
Uvered, It is stated.
After the call board, has closed the
quotation committee meets and recom
mends a price. From this appeal can
be taken to the Board as a whole and
a pew price fixed.
"If enjoined we will obey the Injunction,"-
said President Potter. "But for
the Elgin Board, the price of butter
would be much higher than It is at
present. -
"In reference to the 'centralizers- the
Government names in its suit, I wish to
state that these men are benefactors
of, fnstead of "conspirators' against the
prpducers and consumers. During the
months of May, June and July the sup
ply exceeds the demand. Butter is pur
chased by these so-called centralizers
and placed in cold storage. In the
Winter months there is practically no
butter produced and before the Elgin
Board of Trade quotation committee
was named, the price of butter in Win
ter often reached 50 cents a pound. Now
it sells for 35 cents most of the time
or around that price for fresh extras.
"There never has been any -manipulation
on the Elgin Board of Trade
since I have been a member."
POPE'S BROTHER GAINER
Faithful Service as Postmaster
Brings Grant of $35.
TURIN, Italy. Dec. l4.-The Minister
of Posts and Telegraphs has awarded
$35 tovAngelo Sarto. in recognition of
his long and faithful services.
Sarto, who is postmaster at Grazie. in
the Province of Mantua, a few days ago
requested an increase In his salary,
which amounts to 50 cents a day.
He asked the deputy for his district
to use his Influence and the deputy
took Sarto, who Is more than 76 years
old, to the Minister of Posts and Tele
graphs, to whom he made his appeal in
person. It was favorably received and
today's compensatory grant of $35 is
the outcome of his visit.
WRECK'S BLAME IS FIXED
Engineer and Brakeman Account
able for Indianapolis Fatality.
INDIANAPOLIS. Dec. 14. Willis Tork
and Carl Gross were accountable for
. i . t ....,! Unmtltnn & Davton
railroad wreck in a suburb of this city
on November la. wnen id me were
lost.' according to the report of Cor
oner Durham.
Coroner Durham declared mat unaer
the rules of the railroad company, En
VnrV wn reflnonsibln for the
closing of the switch after his train
had passed onto tne siaing. jjraKeman
Gross is criticised for reporting to York
,., ihA Kwitch was closed. The open
switch caused the wreck.
OPIUM TAKING IS CHARGED
Dresden Professor Says American
Athletes TJso Stimulant.
BERLIN, Dec. 14. America la addict
ed to taking opium, according to Pro-
. ir nn nf nrerien. He ad-
iessur - t -
dressed the Association for the Scien
tific Investigation or sport last nigm
on the subject of "Sport and Stimu-i-4
in hia lecture enumerated
the stimulants to which the various
nations are addicted.
The association, which was recently
formed Includes many of the leading
physicians and experts. Professor
Hueppe, who Is a court councillor, holds
high rank as a writer on alcoholism.
ESCORT AND MONEY GONE
Man Gives Girl Carfare and letter
She Finds Her Pocket Picked.
SAN FRANCISCO, Dec. 14. "Better
take these: they might come in handy,"
said the escort ofMiss Eve Willis last
night as he pressed two nickels Into
her hand and assisted her to a trolley
C""odav Miss Willis complained to the
police "that after taking her seat she
found her pocket had been picked of a
wallet containing $35. She had met
her escort at a dance and couldn't re
member his name. The nickels did
come in handy. .
NAU'S
One-Quarter Off Sale.
All our high-grade ladles" bags,
leather goods, manicure cases, Henc
kel's cutlery, etc., at above reductions.
NAU'S PRESCRIPTION PHARMACY.
Corner sixth and Alder streets.
Northwest Postmasters Named.
OREGOXIAN NEWS BUREAU. Wash
ington, Dec 14. The President today
renominated C. H. Kellogg as post
master at Puyallup. Wash., to succeed
George W. Edgerton. and renominated
Postmasters Theodore Hall, of Medical
Lake, and Thomas N". Henry, of Pros
per, Wash., and Charles C. Moore, at
St. Anthony. Idaho,
Rainy Skies Make More Apparent
The added comforts the wonderful economies made
possible by this great mid-season half-price sale
Yesterday the store was thronged again and again by crowds of fair shoppers, justly
demonstrating an implicit belief in the honesty and the integrity of this store's adver
tised reductions. Tomorrow we shall serve equally well a still greater throng. We
invite you to come and share with hundreds of others in these astounding bargains.
ALL OUR LADIES' AND MISSES' FANCY MAN
; TAILORED SUITS AND ENGLISH MANDELBERG
Raincoats Half Price
Exclusive Fabrics Handsomely Tailored Genuinely Reduced
$16.50 Raincoats, half price. . . .$8.25 $20.00 Suits, half price f?'22
$18.00 Raincoats, half price. .. .$9.00 $22.50 Suits, half price $11.25
$20.00 Raincoats, half price... $10.00 . $25.00 Suits, half price ...... $12.50
$22.50 Raincoats, half price... $11.25 $27.50 Suits, half price. $lo.75
$25.00 Raincoats, half price. . .$12.50 $30.00 Suits, half price .$ 15.00
$27.50 Raincoats, half price... $13.75 $35.00 Suits, half price $1AaS
$30.00 Raincoats, half price. .. $15.00 . $40.00 Suits, half price $2222
$32.50 Raincoats, half price... $16.25 $45.00 Suits, half price $22.50
Exceedingly Liberal Reductions on Blues and Blacks
In this store "Half Price" carries no double meaning it means what it says.
i BEN SELLING
MORRISON STREET AT FOURTH . .. l
- raw jtmwyx$Sm
- :C4-rP nil
1 It v IS x- f '
CARABAOS
HAVE JIHX
Army and Navy Men at Tenth
. Annual "Wallow.'-'
"EMPIRE DAYS" RECALLED
Speeches Are Made trging United
States to Keep Philippines, on
Ground Time for Indcpend- -ence
Is Not Arrived.
WASHINGTON, Dec 14. Enlivened
by songs, speeches and "stunts" recall-
i-. J TTnltpri States OC-
lng tne enny -
cupation in the Philippines, the tenth
annual "wallow" of the Washington
corral of tho Military Order of Carabao,
. . . v,A mnxt mlncessful In
the history of the organisation, whose
members comprise most of the Army.
Navv and Marine Corps officers who
served In the Philippines during the
"days of the empire." from 1898 to 1902.
Chief Justice yiw . 'Z
Justices Vandevanter and Lon; ot
the Supreme Court; Secretaries Stim
son Fisher. MacVeagh, Nagel and 11-
. .-. . .""..nuT-sil HITCHCOCK
son ana rrauMoin-. ;
were among the prominent gTiestg who
helped to make the occasion notewor
thy. Reforms Keclted ly Messenger.
While the dinner was in progress
there arrived from Manila In an aero
plane, which first appeared on a screen
as a speck and approached until it be
came real size, a messenger extraordi
nary, who announced that the Filipino
tribes, "in cockpit assembled," had
"just adopted a 'declaration of Inde
pendence. To prove that they should receive
independence, the declaration recited
that the United States had been tyran
nical by suppressing inter-tribal strife,
encouraging business and commerce,
raising the standard of living In the
islands, economically collecting the
revenues, and so on through a long list
of reforms. t
General Brans Toaatmaater.
The messenger urged the Carabaos
to get the United States to decrease the
number of battleships in Philippine
waters. ,
The toastmaster was Major-General
Robert K. Evans, In command of the
Department of the Gulf. Henry D. Es
tabrook, of New Tork. spoke in favor
of retaining the Philippines, declaring
that the time had not come to ar
range for independenc& for the Fili
pinos. Ontario Club Shows Growth.
ONTARIO, Or.. Dec. 14. (Special.)
Fifteen new memDers have been added
to the Commercial Club this month and
several others have signified an inten
tion to Join. This enthusiasm was
caused by the successful exhibit made
at the Minneapolis Land Show last
month. Many inquiries are being re
ceived at the rooms of the club from
persons who saw the exhibit. As a
result of the exhibit one year ago over
0 families moved Into this section.
BANKS SHOW GAINS
Controller Shows Number Has
Doubled in 12 Years.
BUSINESS STILL . LARGER
Net Earnings for Fiscal Year Equal
to 8.59 Per Cent on Capital and
Surplus Four-Fifths of Na
tional Debt in Hands.
WASHINGTON, Dec. 14. Business in
general; as reflected in the condition
of the banks of the United States, has
shared In the country's prosperity, ac
cording to Controller of Currency
Lawrence O. Murray, In his annual re
port, made public today.
The banking power of the Nation,
represented by capital, surplus, profits,
deposits and circulation, reached dur
ing the year the enormous total of
$22,348,707,000, a high record, showing
an Increase of 5.69 per cent over 1911
and 27.8 per cent over 1908. Since 1900
the banking power has Increased 111
per cent, or more than doubled. Dur
ing the last 12 years the number of
banks has Increased by over 107 per
cent and their volume of business, as
Indicated by deposits, snows an in
crease of over 127 per cent.
Money Rate Higher Since August.
The Controller's report consists of
a mass of statistics with analyses.
In connection with the rates In mon
ey, wtiich recently have been soaring,
the Controller simply observes that
the rates were normal up to August,
with a tightening of the money mar
ket thereafter. According to the last
condition report, September 4, the
Controller points out that New Tork
and Chicago were slightly deficient In
the amount of their legal reserves, and
St. Louis slightly excessive. Banks In
the major portion of other reserve
cities were also slightly deficient, but
the country banks maintain an excess
of the legal requirements.
Clrcnlntlon Not All Issued.
Less than 70 per cent of the total
amount of National bank notes which
the National banks might circulate un
der the law, has been issued. Based
upon the September 4 report, the banks
might Increase their circulation by
8321,927,060, Murray says.
The National banks, the report Indi
cates, held over 80 per cent of the
bonded debt of the United States In
ths way of security for circulation and
public deposits and as Investments.
During the fiscal year 1912 the Na
tional banks paid dividends aggregat
ing $120,300,872, or 11.66 per cent' on
capital and 6.93 per cent on capital and
surplus combined. . The net earnings
of $149,056,603 were equivalent to 8.69
per cent of capital and surplus.
During the last 43 years the banks
have paid an average annual dividend
of 9.17 per cent on the capital stock.
iitght National banks, with an ag
gregate capital of $l,100,0i.0, failed
during the year ended October 31,
while 83 National banks, with an ag-
a
come wiiico us
and solve the men's gift problem
in this store, where he would do his own purchasing j competent
Slesmen will assist you in selecting appropriate and lasting gifts,
which, coining from this store, will carry added value -neckwear,
50c to $3.50 . leather novelties 25c to $25
silk hose, 50c to $3.50 a pair gloves, $1.50 to $4.00
night robes and pajamas, $1.50 to $15.00 a suit
canes and umbrellas, $1.00 to $10.00
eor nine miff links and studs. 50c to $10.00 .
suit cases and traveling bags, $3.00 to $25.00
special, regular $10.00 imported silk pajamas, $5.00
linen anu. 5 no. jj.ciuujo.cj. iii&iui 1
reefers and mufflers, $1.00 to $10 ' cRn
suspenders, 50c to $3.50 silk and flannel sh $ 2.0C ) to $6.00
- thermos novelties and motor lunch sets, $1.00 to $71.00
knitted, fancy and dress vests, $4.00 to $12.00
-hat and cap orders, $1.00 to $10.00
silk and opera hats, $8.00 and $10.00
sweater coats, $5.50 to $7.50
if in doubt, give a merchandise order ".
a suit
mall
orders -solicited
HTfllo Michel
mail
orders
solicited
331 Washington street
between 6th and 7th streets, imperial hotel building
gregate capital of $21,605,260, were
placed ir. voluntary liquidation.
PolU County, Educators Meet.
DALLAS, Or, Dec. 14. (Special.)
The Polk County educators met here
today and discussed several topics rel
ative to education in the county's
schools.
SKILL
PROMPTNESS
AND UP-TO-DATE
DENTAL
SERVICE
Are always at your command at
this office. AVe make a specialty
of treating people from out of town
instantly, so that they will not suf
fer any loss of time and can com
plete their work in one day when
necessary, v
Our 20 years of active practice
in Portland has enabled us to
systematize our business in such a
way that your work is completed
without the delays and discomforts
common to most dental offices.
DR. W. A. WISE
In personal attendance. Ask to see him.
o that you can be iur you are la the
right place.
ttt that eon u
pistes. With Flexible Suction. -The
very beat and latent in modern
dentistry. No mora falling platss. .
Our brldg
w o r k has
been brought
to the high
est state of
p e r f a ctlon.
The teeth on
this bridge
are Inter
c h a n geable
at will with
out removing
from the
mouth.
We Give a tS-Tear Guarantee.
26 YEABS' ACTIVE PRACTICK Vf
Wise Dental Co.
FAILING Bfll-WNO.
Kntranre on Third bt.
T11IK1 AM WASHINGTON.
Southeast Corner,
rhuaea Main 02 A 02.