The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1903-04-23
REFUSE TO SHOW
THEIR CONTRACTS
Interstate Commission Will
Take Railroads Action
to the Courts.

NEW YORK, April 22.-Hearing on
the complaint of William r. Hearst
against the Pennsylvania and other
railroads was continued today before
the interstate commerce commission.
Mr.. Shearn, counsel for the complain
ant, called for all the contracts entered
into between the Lehigh Valley road
and the Lehigh Valley Coal company,
explaining that he expects to prove by
them the differences between the ac-
tual price of carriage charged to that
company and the published schedule
price charged to the independent COM
panies. He said that the contracts will
show that the Lehigh Valley Coal COM
pany is to receive for all its coal IS
per cent of the price realized by the
coal at tideWater.
Judge Campbell, of the Reading, and
Mr.. Kerr, of the Ontario e. Western,
protested that no such conditions OBJ
tanned on their roads.
Mr.. Shearn said that the contracts
would show the creation of monop-
oily; that the coal companies have no
power over the output of their mines
because they can only get rid of the
Quantity the railroads are willing to
take from them, and the railroads will
not handle the coal in sufficient guam
titles TO reduce the price to the con-
sumner. Analysis of the contracts, he
said, will show that they are really con-
tracts for the carriage and not for the
purchase of the coal.
These companies" he said, brought
the cost to this tidewater for 80 per
cent of the price of So per ton, and then
turned it back again to the coal COM
panies to be sold for $12 to SIS per
ton"
Where do the complaints come
FROM" interrupted Judge Campbell.
From the Independent companies? No.
From the owners of the palaces about
Central Park, the crowded tenement
and the business building in the lower
part of the city? Yes. If the price of
coal is reduced will your rents be re-
duced? Not bit of it. Cheaper coal is
the hySterical demand of your neWSpa-
perS, not of the thinking public We will
show the people of New York the facts.
We will show this commission that for
more than a quarter of q century the
people of New York have wrung the
bowels If the coal regions of Pennsylva-
MIA, practically getting their coal for
nothing and whining like a pack of
whipped dogs when decent remuner-
ative price is asked by the miners
Here is where the surplus comes and
mere the coal is cheaper than any
Where else. You pay less than l pay in
Philadelphia. You don't pay enough
and am going to appeal to the COM
mission to order the rates on coal to
tidewater advanced"
We appreciate very much" Mr.
Shearn replied, the courteous words of
the representative of the divinelv or
dalned agent of God in the coal regions.
The people of New York city, Albany,
Buffalo and Boston will be grateful
for the comparison with whipped dogs.
because they objected to be robbed"
Mr.. Gowan, of the Lehigh Valley
company, made a long argument
against the request to produce the con-
tracts called for. Mr.. Shearn asked the
commission to order the production of
The contracts. Mr.. Gowan denied the
existence Of any such contracts as Mr..
Shearn described.
Mr.. Kerr argued that the contract in
question is a matter of bargain and
sale; that title to the coal passed at
the breaker. and the question of trans
portatlon-the only question of which
the commission has authority-is not
involved
The commission decided that the,
Lehigh Valley should produce the con-
tracts demanded. Counsel refused. ra z
w. w. Ross, representing the Della.
ware, Lackawanna & Western, also
refused a similar demand. He declared
that the coal was bought at the mine
and that consequently the question of
transportation does not enter into the
contract and the commission had no
jurisdiction. Counsel for the other
roads declined to produce their con-
tracts. e.
The commission certified the point
raised to the United States circuit
court, where a decision will be render
ed.
George o. Waterman. secretary of,
the Central Railroad Company of New
Jersey and also of the Lehigh &,
Wllkesbarre Coal company. testified
that there are no contracts between
the companies for the transportation of
coal; there are contracts for the pur-
chase and sale of coal. He admitted
the possession of the contracts. but
declined to produce them. under ad-
vice of counsel
Three witnesses testified that it was
cheaper to handle bituminous than
anthracite coal at the points of trans
shipment at tidewater. George vii
son, auditor of the Lehigh Valley
Railroad company and Lehigh VALLEY
Coal company, testified that a sepa-
rate set of books is kept for each
company, The commission adjourned
until tomorrow.