Salt Lake evening Democrat. [volume] (Salt Lake City, Utah) 1885-1887, 1886-10-04
CORPORATIONS VS.. THE STATE.

Our Saturday night dispatches con-
tanned the following from Harrisburg,
Pennsylvania, which is just now very
interesting topic, as it will tend to prove
how far corporations chartered by a State
can go in raising the price OF commodities
which they produce, and whether the
State Government can stop them from so
doing or not:
Governor Pattison has addressed letter
to Attorney General Cassidy on the action
of the Anthracite Pool and requesting him
to move against it in court. In the course
of his letter the Governor says: "My atten-
tion has been directed to the fact within the
past fortnight, that certain corporations
chartered by the Commonwealth of Penn
sylvania, acting i'll concert, have ordered
two advances in prices of anthracite coal.
1t has been ascertained upon inquiry that
these corporations comprise what is known
as the Anthracite coal combination, which
was created in its present form at meeting
held in New York on December 81, 1884,
when there were present representatives of
the Delaware, Lackawanna IL Western Rail
road Company, the Lehigh Valley Railroad
Company the Philadelphia & Reading Rail
road Company, the New York, Lake Erie d
Western Railroad Company, the Delaware
IL Navigation Company, and the Pennsyl-
vania Railroad Company. At that meet
ing an agreement was entered into
by which six of these corporations
were in effect pledged in writing to restrict
and regulate the production of coal and to
maintain and advance its price. An appor-
tionment of the total production was then
allotted to each company for the wear 1885
and on January |, 1886, Il new allotment
went into operation, based on the annual
production of 30, 3,500,000 tons.'
After referring to the advance of 30 cents
per ton in the price of coal since July .,
lsS6, the Governor says: "Recently, through
the officers of the syndicate of capitalists
there has been strengthening of the An
thracite Coal Combination, and the claim is
now made by some of the members that
they can mark up the coal prices to any
figure they please, thereby subiecting the
public to their mercy, injuriousy and un-
warrantably taxing every fireside and i'm
posing upon the coal consumers. The
State Constitution declares that no corpo-
rate company doing the business of COM
mon carrier shall directly or indirectly pros
ecute or engage in mining or manufacturing
articles for transportation over its roads, |
yet all, or nearly all of the common carriers
represented in the Anthracite Coal Combi-
nation are engaged directly or indirectly in |
the mining of coal
BY restricting the production and advanc- |
ing the prices, it has crippled the vast iron |
decreasing the demand for
anthracite coal, and in the reduction of iron
ores, forcing the iron furnaces out of blast
and placing nearly all the industries of East
ern pennsylvania at the mercy of the mana
gers OF these companies"
The Governor also calls attention to the
Trunk Line pool, which, he says, by its arbi-
trary power holds perpetual menace over
The material interests of the country. In
closing, the Governor SAWS against such
DlnntIDng ia N iul al 10 baJ, nv
Commonwealth of Pennsylvania, in Great
ng the corporations that are members of
.he Anthracite Coal Combination and of the
Trunk Line Pool, vested them with the
'ight OF eminent domain and other fran
,hlses of public nature. They owe certain
luties to their creator, and one of these is
o avoid any infringement upon the rights
II individuals or the general we'll being of
ne State. Their interference with the
natural current and condition of trade has
'een III violation of what is believed to be
ound public policy and against the interests
If the State.
1t prejudices the public and suppresses the
Individuals. 1t is perversion of the pur-
ose for which they were created. These {
acts which have been reported to me, and {
'hlch are measurably authenticated, L deem
sufficient Importance to refer to you for
our consideration and such action as the
may warrant"
lt Is understood that Attorney General | ,
,assldy will at once proceed against the coal
'ool, but IN what manner he has not vet
ecided. This is considered one of the most
Important steps yet taken by the State
administration, and was not decided upon
ntll after very careful consideration.
In the above corporations are repre-
ented the wealthiest in the State, and I
hey handle the greatest industries in the
tate, and IL they can pool their interests s
the manner described, there is no !
NIT to the rise in prices they can make,
lort OF eXtortion, and every freside in
lie Eastern half OF the land would pay i
'ibute to them, while the maddening fact
'mains that the thousands who labor for ,,
lem are in no manner benefited by the
love. The average reader, with a fair ,
lemory, will think that the riots in 1877 ,
Pittsburg should be n warning to the ,
railroad company to be i
lreiul how they goaded the poor o
asses again, and if for no other rea.
IN, they should be slow to again ,
1use them. 1t is true that the coming :
ections in that State call for political ,
pItal, but this move by the Governor =
N hardly be classed as such, while the h
lton at large will be earnest and eager I
see just how the law will handle capi- =
lists when they combine to iniure labor. "
his being the first move of the kind in :,
which, more than any -
ate in the Union is cursed with labor 7
oubles, the workingmen of the nation ~
Ill watch with bated breath the outcome ;,
the fight against capital in which they :,
we no direct hand. If these gigantic q,
operations can legally be forced to A
rms by the law, then the greatest vic =,
ry ever won by labor will be recorded, =,
ID big stride be made toward forcing =,
pital to acknowledge that the poor have -,
,hts which it is bound to respect. /,
VALE KEARNEY I'll