Anti-racketeering Poultry Code Ready for President’s Approval

Racketeering and other unfair trade practices in the New York poultry industry would be eliminated under a code of fair competition drafted by the Agricultural Adjustment Administration which is about ready for submission to President Roosevelt for final approval.

The code would cover every person in the metropolitan area of New York who is engaged in the business of selling, purchasing for resale, transporting, handling, or slaughtering live poultry from the time the poultry comes into metropolitan New York to the time it is first sold in slaughtered form. Related branches of the industry may be included under the code through an amendment.

As tentatively drawn, the code contains language which unmistakeably indicates that its purpose is to wipe out all forms of graft and racketeering now existing in the New York wholesale and retail poultry trades. One of the main purposes of the code will be to prevent the collection of unearned “fees” and “dues” and the forcing of members of the industry, through threats of violence or other means of coercion, to join or not to join “protective” or other organizations.

The specific section of the code which hits at racketeering is entitled “anti-racketeering” and reads as follows:

The following practices and acts shall be considered violations of this code. 1. Any act of violence, coercion, extortion, or intimidation, or any threat, conspiracy, combination or concerted action to commit any act of violence, coercion, extortion or intimidation. 2. Payment of money or any other valuable consideration to any person, firm, corporation or association as a result of or in connection with intimidation, coercion, extortion, violence or injury to personal property, or threat of such violence, extortion or injury, or to avoid such violence or injury. 3. Payment or collection, directly or indirectly of money or other valuable considerations for the purpose of obtaing favors or special privilege under or exemption from:

(a) Any provision of this code or.

(b) Any Federal, State, municipal, county or local statute, ordinance, rule, or regulation relating to the conduct of the industry, or.

(c) Any rule, regulation, or policy of a labor union.

4. Any act intended to coerce, having the necessary effect of coercing any person, firm or corporation engaged or employed in the industry, or attempting to engage or be employed in the industry, to join or not to join any association, firm, corporation or group. Whenever any person, firm, or corporation engaged in or employed in the industry is apprised, directly or indirectly, or any such payment, collection, violence, coercion, extortion, intimidation or any attempt to make such payment, collection, or to commit any such act of violation, coercion, extortion or intimidation, he shall make a full and complete report thereof, together with all direct or indirect information in his possession relating thereto. Any failure to make such report or furrish such information shall be a violation of this code.

OTHER UNFAIR PRACTICES

Listed as “unfair methods of competition” are false advertising, knowingly purchasing or selling for human consumption poultry that is unfit for human consumption, granting secret rebates, commercial bribery, interference with structural relations, defamation of competitors or customers, destructive price cutting, price discrimination, giving of prizes or premiums as an inducement to buy, misrepresenting poultry for sale, and service charges or other repressive action upon the freedom of farmers to deliver poultry direct of any buyer.

Trade practice and similar provisions would be under the jurisdiction of the Secretary of Agriculture and the Agricultural Adjustment Administration. The code contains labor provisions which would be under the jurisdiction of the National Recovery Administration. The code itself would be supervised by a committee representative of all branches of the industry.

Wage and labor provisions would set forty hours as a maximum work week, with a minimum wage of fifty cents per hour. During Jewish and legal holidays, employes may be permitted to work in excess of the maximum limit, but must be paid at the rate of time and a third.