FOOD RACKETEERS

Otago Daily Times, Issue 24596, 2 May 1941, Page 5

FOOD RACKETEERS

SCANDAL IN BRITAIN SPECULATION RAMPANT "PUBLIC BEING ROBBED" (Rec. 10 p.m.) LONDON, Apl. 30. Evidence that the public is being robbed by speculators who traffic profitably in foods which are in short supply was revealed by Sir Douglas McCraith, chairman of the Food Price Investigation Committee in the North Midland region.

" Speculation is rampant," he said, "with goods changing ownership many times, like stocks and shares, without even leaving the warehouse. People who do not render service in distribution are enriching themselves at the expense of the consumer. Prices to the public have risen out of all reasonable proportion, and have contributed considerably to the increase in the cost of living, with inevitable discontent."

Sir Douglas quoted the case of a dozen cans of soup supplied by the manufacturer at 6s 6d which, after passing through the hands of seven middlemen, were retailed at 14s 6d. One middleman appeared twice in the transactions, buying and selling the same soup each time profitably. An instance was also quoted by Sir Douglas where canned marmalade was sold by an importer at B£d per tin, and after passing through the hands of three middlemen, was retailed at 3s 6d a tin.

Members of the House of Commons to-day accused the Food Ministry of belated action -and inattention to rocketing prices, the mishandling of voluntary rationing, and ignorance of the activities of food racketeers

During March there were 2141 prosecutions under the Food Control Orders, of which 1994 were successful.