Show BAKERS TO FACE CONSPIRACY i I t iI W Ill Jet ii II j s 3 u INVESTIGATION DISCLOSES PLAN TO FIX PRICES More ore Than Fifteen Bread Manufacturers to Be Named in Joi Joint t. t Com Complaint Co Complaint plaint Attorney S Says ays aysBy is isBy By JAM JAMES ES G. G WOOLLEY County Attorney Arthur E E. Moreton announced last night that on Monday morning he will Issue a joint complaint charging more than fifteen Salt Lake bakers with conspiracy to de defraud raud by entering into a combination to fix the Price of ot bread This decision concluded concluded concluded con con- a ten-day ten Investigation n inaugurated Inaugurated inaugurated by the county attorney when rumors reached him that the local bakers through the medium of at a trade I organization Organization had fixed a minimum price on the French loaf loat at 7 7 cents wholesale and 9 cents centS retail Until the final hour of ot his probe which closed at o'clock last night Mr l Moreton was undecided as to whether he should ask for a grand Jury to consider what Information had been lodged with him or or- go directly into court with the evidence and testimony testimony mony at at h hand nd Final admissions of ot several Implicated persons gave gave Mor Moreton ton what he considers considers- to be suf- suf But suf-r evidence to secure a a. conviction Late developments 1 In the case show that lh t not only was was the price of th the French loaf but but that also of the the the- wrapped loaf loat agreed reed upon at the meeting meeting meet meet- ing in the Fleishmann Yeast company's company's company's com com- pany's office on Postoffice place th the night of at November 21 Under the law four tour counts may be placed against the defendants as both the wholesale and retail prices were subject to the agreement the understanding being according to evidence in the hands of ot Mr Moreton to hold the French loaf at a cent 7 wholesale minimum and the wrapped loaf at an cent 8 wholesale wholesale wholesale whole whole- sale minimum with the retail minimums minimums minimums mini- mini mums fixed at 9 and nd 10 cents respectively r I I Retail Dealers I To Be Penalized Th The manner in which they would hold the retail price agreement was to tobe be for tor the bakers' bakers delivery men to tall fan to stop at any retail establishment which violated the prices determined by the bakers In this way it was ex expected expected expected ex- ex to whip into line all stores who for tor advertising or other purposes had been retailing bread at below market prices Bakers violating the agreement agreement agreement agree agree- ment were to forfeit posted un under under un- un der the guise of an initiation fee tee and further were ere to suffer the enmity of their tell fellow ow tradesmen This enmity it was proposed would be demonstrated ed through means of et f a boycott under which the agreeing bakers would at attempt attempt attempt at- at tempt to put the product of the violator violator violator vio vio- lator out of ot the market Attempts to coerce at least one bak baker r Into entering the combine are alleged in the affidavits placed with the county count attorney during his probe Just how hov many will be named in the complaint complaint complaint com com- plaint Mr Moreton could not sa say as some revision of ot the list lodged with him is Is' necessary It Is said The complaint will however name at least fifteen among among- whom are some of the leaders of ot the local baking baking baking bak bak- ing industry George Mueller of of the Ro Royal al Baking company is in fact according to Mr Moreton the only large producer of bread that will not be named in the complaint M. M Martinov of the Butter Butter- I Krust bakery M. M Klein of the U. U S. S bakery Frank Erath of at the Superior bakery Nick of at Mothers bakery and Gregor Soter of ot the Parisian Parisian Parisian Pa Pa- bakery are among those who will be named according to Mr Ir More- More ton Sufficient evidence to secure a a. conviction conviction con con- has been lodged with Mr Moreton More More- Moreton Moreton ton it Is said Most of ot this information informs informs- tion according to tie t e county attorney has come from persons either present t affected directly by the findings findings' at or c cof of the meeting Attorney States M r Stand in Case CaseIn In his announcement that he would d J prosecute the tle local bakers Mfr Mr l Moreton Moreton More More- ton said Bread Is on one of ot the principal prin- prin cipal necessities s. s It kept ept free from any trade arrangements that thit f fI might affect its availability to every person regardless of at their heir economic condition The law says that such combinations are illegal megal and when It comes to so vital an article as bread there can be no excuse for laxity In enforcing this law For or the safeguarding safeguardIng safeguard safeguard- Ing of ot this most Important of of foods from commercial exploitation and In the best Interests of f the public I I shall issue a n complaint complaint on the information now no In hand Price combines and especially where those combines would restrain In anyway an essential to life lite must not be tolerated The Tho price fixing agreement which Continued on page 7 I I i i I I I I I i I I I I I I I I INVESTIGATION DISClOSES Continued from page 1 1 will be alleged against the local bakers bakI bakers bak bak- ers came as the culmination to a bread war in m which a half dozen of the local bakeries participated Some Information tion that the whole affair was enI engineered engineered en- en by br one man in an effort to drive out the small baKers and monopolize monopolize monopolize lize the bread trade of the city has been placed in Mr Moretons Moreton's hands Investigation of this allegation may lead to further complaints against those thos involved according to Mr More- More Iton ton Regardless of the reason for the Iwar war the facts according to a dozen witnesses whom the county attorney will call if necessary show that this bread war had driven the wholesale price of the French loaf to 4 cents I that being the price charged by the United States Bakery on Tuesday November November No- No vember ember 22 It was the night before this that M. M Klien Ilien of the United States Bakery and others Agreed according to sworn affidavits to raise the price to a cent 7 minimum Practically all the bakeries in Salt Lake were represented represented rep rep- resented at this meeting it is said rep rep-j On Tuesday o of last week those bakI bakOn bak- bak I On Tuesday o of last week those bakI bakOn bak- bak bakers bakers bakers ers formerly underselling the agreed price notified their trade that the new price would become effective on November November No No- o- o vember 23 a Wednesday and less than thirty-six thirty hours after the agreement was effected Stores who had been buying at prices ranging down to 4 cents were surprised at the sudden Jump to a 7 cent 7 price They were still more surprised that this price was uniform and that out of a half-dozen half establishments that had been fighting the price there was not one that would make any sort of concession |