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Show Francis J. Henry Making I Sensational Disclosures I WASHINGTON. Dec 20. Sensational Sensa-tional disclosures of "high finance" between be-tween the Chicago packers and tho stock yards and terminal railroads there and promises of more to come featured today's session of the federal fed-eral trade commission's Investigation to get at some of the innermost causes caus-es of the high cost of living. Backed with an array of facts and figures gathered by trained investigators investi-gators working under the ?250.000 fund recently appropriated by congress, Francis J. Hcn.ey In charge of tho investigation in-vestigation for the commission, began cracking ono sensation after the other. $8,000,000 Robbery Today's session had wholly to do with a big operation in which a $2600 block was the medium of forming an $8,000,000 corporation which took the risk of tho Chicago stock yards and terminal railways being moved further west and developed testimony to show how tho packers in return to use the language of one of the participants, got their share of "tho plunder" and took "their pickings." J. Ogden Armour, it was said, got all the profits over 9 per cent. The point of the whole transaction, as brought out by the testimony was that tho packers were threatening to raovo away frbm Chicago; that a corporation, cor-poration, was formed to take oyer the stock yards properties and assume the risk of their becoming valueless and that 113 a result the enormous profits of the yards and terminal equipment was divided with the packers as an Inducement In-ducement 16 them to continue their business and not move further west. Whllo today's testimony dealt only with that phase of tho packing Industry, Indus-try, it was said tho commission Is in possession of facts to broaden the investigation in-vestigation to show whether thero is a practical monopoly in control of tho country's food supply. , Inside of Story The Insido story of how the big transaction tran-saction came about was laid bare as a result of the introduction of letters passing between tho stockholders of tho holding corporation and the stockholders stock-holders of tho company which formerly former-ly controlled tho yards and the railways. rail-ways. One letter said that the directors, fearing a court decision against the reorganization re-organization plan were nnxlous to get it through beforo the decision came down. Another, telling the reasons for the re-organization of the new company said: "For a long time somo of the western railroads have been endeavoring endeavor-ing to induce tho packers to move west and It has only been on account of pecuniary considerations which your .company has given the packers from time to time that they have remained in Chicago. Suit has now been enter-cd enter-cd to prevent further payments of this sort and in addition there is a bill pending in the Illinois legislature to regulate the charges made by your company. fl Formed New Company "Under these circumstances it was thought besl toiform a new company which would be controlled by the packers and In that way give them a pecuniary interest in your company which would make it worth while for them to turn all possible business over JM to the company. Therefore, tho com-pany com-pany composed of the packers have agreed, If the stockholders of the Chi- fl cago Junction railways and the Union Stock Yards company accept the pro-position pro-position to guarantee 9 per cent on the stock which is now paying S per cent, or to glvo $200 and 5 por cent bonds for each share of stock, which amounts to 10 per cent of the stock." ! Interest of the packers in the coun-try's coun-try's stock yards extends also to Kan- jM sao City, according to E. V. R. "Thayer, president of the Chase National bank' of New York, who said he understood JH one of the packers owned part of the yards there but that the others did not. He did not name the packer, |