296 CORN 



The man who stored grain in the warehouse is furnished with a 

 storage receipt which is negotiable. In case he sells the grain he 

 simply transfers this receipt. When this receipt is surrendered to 

 the warehouse officials the grain may be removed according to the 

 regular method. In removing grain from the warehouse, the super- 

 intendent must secure a certificate from the registrar's office of the 

 State Inspection Department, stating the grade and amount to be 

 taken. This serves a two-fold purpose. It makes it impossible for 

 the superintendent or employee of any public elevator or warehouse 

 to ship out any grain without the proper state official being present to 

 inspect the grain, and further secures the banks which have perhaps 

 loaned money on the grain stored. 



PUBLIC WAREHOUSES. 



There are three classes of public warehouses for storing gram. 

 Class "A" includes all warehouses, elevators and granaries in which 

 grain is stored in bulk in such manner that the identity of different 

 lots can not be accurately preserved, such warehouses, elevators or 

 granaries being located in cities having not less than 100,000 inhab- 

 itants. 



Class "B'' includes all other warehouses, granaries or elevators in 

 which grain is stored in bulk, and in which the grain of different 

 owners is mixed together. 



Class "C" includes all other warehouses or places where property 

 of any kind is stored for a consideration. 



Chicago alone has storage capacity for approximately 50,000,000 

 bushels of grain. The regular warehouses are licensed by the Chicago 

 Board of Trade, and the grain handled by them is subject to inspectiqn 

 by the State Grain Inspection Department. All grains handled by 

 . them are represented by negotiable warehouse certificates which form 

 a collateral upon which most banks will give loans at low rates of in- 

 terest. The irregular warehouses are not operated under the rules of 

 the Board of Trade, but are subject to inspection by the State Grain 

 Inspection Department. 



