Morning journal and courier. [volume] (New Haven [Conn.]) 1848-1894, 1892-11-26
THE READING COAL DEAL.

Work Begun by the Congressional
Committse-Presid A. A. Mcleod
and j. II. Maxwell Examined-How
Prices Are Fixed.
NEW YORK, Nov. 25.-The inquiry into
the Reading coal deal was begun in earnest
to-day by the subcommittee of the con-
gressional committee on Interstate and
foreign commerce in room 121 of the Post
Office building. ALL the members of the
Lima and Storer. William j. Coombs of
Brooklyn is the chairman of the sub-com-
mittee, and he presided to-day. Several
witnesses were in attendance before the
committee was called to order. Among
them were Mr.. McLeod, president of the
Philadelphia and Reading Railroad com
pany, and j. R. Maxwell, president of the
Central Railroad company of New Jersey.
There was also an array on coun-
sci representing the several railroads,
among them being James Armstrong, the
New York counsel for the Reading rail
road; J. D. Campbell, the Reading COM
pany's general solicitor; and J. G. johnson
and j. F. Schaperkotter, special counsel.
7. FL. McCarter appeared for the Lehigh
Valley Railroad company, and Robert B.
DeForrest for the Central Railroad com
pany of New Jersey. Charles F. Beach of
this city was the counsel for the COM
mittee. Daniel G. Griffin of Watertown,
who was counsel for the senate committee
of this state that investigated the coal deal
was present in the room as q spectator.
A. A. Mcleod, president of the Philadel-
phia and Reading Railroad company, was
| the first witness. After he had been sworn
he was examined by Mr.. Beach. After
| some documentary evidence had been put
| in and a certain statement by Mr.. Mcleod
in another proceeding identified by him
| and acknowledged to be correct, Mr.. Nc
Leod said that it was true that the Goa
lands controlled by the Philadelphia and
Reading Coal and Iron company in Penn
| sylvania aggregated 113, 317 acres, of which
about two-thirds were uuimproved.
| Copies of the leases of the Lshigh Val
| ley and Central railroads, by which tn,
coal deal was consummsted were next pu
in evidence. Since these leases had gon,
into effect, the witness said, contracts hat
been made by the Philadelphia and Read
ing Coal and Iron company to purchas
coal from certain individual operators, tn
price to be paid to such individual operat
ors being go per cent. of the price reslizet
for the coal at tide-water.
Mr.. Beach next endeavored to learn hoy
the prices of coal were fixed, and MI
Mcleod told, as has often been told be
fore how the several coal sales agent
meet every month, discuss the conditio
of the trade and informally agree on
circular to the trade, fixing the price.
The committee retired to their privai
room for consultation. They were onl
absent, however, for few minutes. o
resuming Congressman Patterson que
toned Mr.. Mcleod as to the prices befol
/ | the deal and since. The witness said IL
, average increase in the price since IL
= leasing of the roads had been an averas
of 374 cents.
The chairman said that the commit
/. did not care to go into the price of p
/, coal; what the committee was anxious
J. find out was where the increase went tn
4 had taken place in the price of coal
which the average consumer was int
ested. The general opinion was that
II | the consumer the price of coal has be-
n increased about 81 ton.
ls President ]. R. Maxwell of the NJ
II Jersey Central was next called to the stan
?. He said that neither he nor any of
,r representatives at present attended
monthly meetings between the represent
tives of the Philadelphia and Reading q
other companies In regard to the price
Z coal. He was, however, represented
b such meeting prior to last April:
A. The committee then dismissed Mr.. N.
y before the New Jersey state courts Il
" the New Jersey Central was not now c.
~ nected with any combine, which was e
y. isfactory to the committee.
" The committee adjourned until 10