New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-09-28
TO TAKE STRONG MEASURES
RESULT OF THE COAL INVESTIGATION.
,n,r ATTORNEY .opvsRAI. URGED TO PROCEED
AGAINsr THE COMBINING OF RAIL
WAY COMPANIES.

THE ATTORNEY GENERAL URGED TO PRocEho
AGAINsr THE COMBINING OF RAIL
WAY COMPANIES
A heavy blow was aimed at the Phladelpha anu
Reading coal combination yesterday morning. "ne
the senate Investigation Committee urged 'he nv
torneyGencra OF the State OF New-forh W oesi
action In the courts against the companies WIZ"
had entered into the organization. Tho comm''ee
met at the Murray Inr Hotel at II a. m 'eher"i
Martin r Mcmahon, the chairman. sent woru thao
II would be impossible for him to attend and direc'ea
that the committee should hold It's sessions "i'""''
him. State Senators Erwin and saxton were tha Only
members present. o
The attorney for the committee, Daniel u. uriih''
read an opinion prepared by mnSel anu i"o
Jackson IN which he said that the testimony OF
,r,,rosgos sbowed that the Reading combination OF
railroads controlled the entire product Of anthracite
coal He said that although the railroad oniciais
denied that the combination would increase P'ices'
the cost of anthracite coal to the consumers iu "1
yanced 90 cents a ton. Mr.. Grimm called inc at
tention Of the committee to the fact that III o'o'
Of the Delaware Lackawanna and Western haiiroau
Comnanv had testified that the advance In price
,vos moi made because tie cost Of production anu
transportation had increased. but TO add TO the
aiv,dend, OF the companies In the combination lie
sad that the combination was made 20 Increase the
cost o, a necessity 10 life, and was III MS opiiioh
Illegal.
IIs reviewed the testimony taken before the com.
mtee and made suggestions as to the Dest mnier VI
beginning action asalns, the combination. lie sad
that the Code OF Civil Procedure OF the sm'e con-
tained a section which gave the Attorney General
authority 10 bring suit 20 annu the charter OF any
corporation which had forfeited Its franchise by aohs
illegally lie cited sections from the STOCK corpora
ton law witch forbid the combination OF corporations
for the purpose OF stopping competition Although
several OF fhe companies were foreign corporauohs
Mr. Griffin said that proceedings 10 annu the char'er
could be brought against the Lehigh valley hahrodu
Company Incorporated under the New-iork laws lie
aid that an acton could be brought against the Dela
war. IeckawanDa and Western Railroad Company
o annul It's leases railroads in this state although
n Is foreign corporation and Its charter cannot De
attacked IN New.iork.
For II would be nbsurtity," continued Mr.
Griffin "to permit the railroad of IA corporation organ
lied under the laws OF this State to be used by
foreign corporation In q manner not JUSTIFIED oy tho
charter OF the company under which the road was
constructed Whatever railroad companies Of this
STATE through the medium Of leases OF their roaoS "
other railroad companies. arc thereby ensnsco III M
thering or aiding alleged combination are as su0''
on.na ble 70 the laws OF the State OF New-fork Bu'
20 suppress part Of the system and leave IN Vigorous
u, ,h. ror, takcn by the New-York division OF the
n.,ay,re Iackawanna and Western Railroad, WOULD
fall far short Of realizing the reliei 10 WHICH tile
nubuc IS entltlea and which 1t urgently demands
THE Delawsre. Lacimwanna and western ha'iroua
f. not absolutely dominated In It's canal trade by the
philadelphia and Reading systom. but rather In con-
junction with TINT company. and By al agreement rs
,,sdly observed a. would be the most formal written
instrument 1t helps TO dominate the other coal pro-
duolng and carrying companies. and has elected swo
directors on It's board practically In the interest OF inc
| PHILADELPHIA and Reading Railroad Company instead
Of being an accessory. 1t IS principal In the com
nnatton II has simpy chosen another method Iot
the unlawful object as that sought
and realized by the other companies, an increase III
The cost OF a necessity Of life. Thus while It's part
i'm the combination is not held by the same tenure us
That OF the Leh!gh Valley Company. yet IL J.. none
the less condemned by law, for IL Is using rtiIOaos
bult by corporations created By the laws on New
York 10 Cypress lis citizens instead OF advancing their
interest as required by the spirit OF their charters
senator saxton made motion that the Attorney
General be Instructed TO bring suit to annul the chir.
tiers Of the companies organized under the laws OF
York and declare void the Lenses OF the foreign
corporations Interested In the combination The testi
| mouy Obtained by the committee and all document
viii be forwarded the Attorney General with IN
trcons TO begin such legal proceedings he thinks
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