Evening star. [volume] (Washington, D.C.) 1854-1972, 1882-12-19
kcene ON .sCOHnerS.o
HIS REMARKS ON THE COAL CoMBINATIoN-THB
BUCKET SHOP SYSTEM, ETC.

HIS REMARKS ON THE COAL CoMBINATIoN-THB
BUCKET SHOP SYSTEM, ETC.
AT the session Of the New York senate COM
mittee on corners In New York city yesterday
AFTERNOON James II. Keene testified that he IVES
Spectator, and had been twenty years In
business In this city and San Francisco He
never knew any corner OF any production that
worked injuriously on the public. Corners In
breadstuf did not last long enough TO work In
lunously Agricultural laborers and others
We're benefited 10y the results OF corners Auy
interference in this matter would be iniursouS
He did not want to defend corners they were
Injurious. and invariably worked ruin upon
their operators.
THE COAL CORNER
was the only one he remembered that had been
injurious to the public. The anthracite com.
panies fixed prices out Of all proportion to oon.
sumers. That corner originated out Of the
necessities Of the corporation. The latter waa
Overburdened with debts. and had to make
corner to pay dividends aud extricate itself from
difcu ties. The heads OF the different coal
companies had done what Others would have
done in their places. Stock watering and divt.
bends combined tended to raise the price a
coal.
STOCK WATERING
meant to increase capital without giving sa
equivalent He could not name any coal COM
panies that had watered their stock, though no
knew that few days since certain coal com.
panies We're compelled under pressure 10 In
crease the capital stock. He did not know thss
anyone else except those interested took part.
The anthracite companies had combined TO ad.
vance the price of coal, and had arbitrarily
agreed to maintain their rights and prices Cod
was the greatest of all productions and the evil
OF the corner was seriously felt. With dear coal
we had dear iron and all the results therefrom
Coal was selling at 81 ton more of tidewater
than the companies should sell II with regard to
the public. The supply of coal, owing to this
combination. was limited, but the production
has been greater. Coal was selling here a.
twice as much as In England. and vet the cost
OF production was not Increased except perhaps
the laborer might be q little better paid He
did not think that the cost of TRANSPORTATION
was greater. He thought the commerce and
business ofthe country could not be carried on
with the system OF dealing I'm futures.
THE BUCKET-sH0P SYSTEM
was demoralizing, inasmuch as there was No
pretense, to deliver provisions sold. II was
simply gambling, and should be suppressed.
Dealings in futures--things bought outright
are not simply gambling transactions. Specu-
lation is the real civiIizer Of the country. =
built up the west and has benefited the whole
people. Corners do not affect the public They
do not last long enough. Nor do they affect
transportation or foreign trade. The conse-
Quences are not far-reaching nor disastrous
Witness never was engaged in a corner.
THE "KEENE CORNER"
ne supposed, was so called because he was tho
central figure In the combination which owned
large quantities Of wheat. This combination
was not formed to corner, but merely to protect
themselves from the tender mercies OF tho
bears. He preferred not telling who formed
that syndicate. 1t disbanded long before the
wheat was sold. 1t was not organized to
corner. IT held certain amounts OF wheat and
had combined for common defense. When the
hue and cry was raised by the press about the
corner, the syndicate had to sch the grain at b
loss 'We never sent agents through the
country to buy up all the wheat. The amount
of grain we had stored away prior to the alleged
corner making was not as much as We after.
wards held. 1 should suppose the most We he'd
was between fifteen and twenty million bushels.