The Birmingham age-herald., 1903-06-09
Interstate Commerce Commission
 Takes Up Complaints
COAL CONTRACTS EXPLAINED
Several Witnesses Examined and coun- sel of Carrying Roads Defend Them Against Hearst's Charge of
 Violating Sherman Law.

New York, June s-The Interstate Commerce Commission returned to New York today to continue the investigation into the complaint of w. R. Hearst that the eoal-carrying railroads nave violated and are violating the anti-pooling sec ton of the Sherman antitrust law. The commission declined the hearing until the United States Circuit court had passed the right of the coal road presi- dents to refuse to answer questions as to contracts between the coal companies and the railroads.
 oliphant First Witness.
 Robert M. Oliphant, former president of the Delaware and Hudson one of the respondent railroads, was the first wit ness. He corroborated the statements of the other coal men who have testified that the price of coal to the public is to be raised ten cents a ton month until a maximum increase of fifty cents ton is reached. He was not prepared to say that the increased cost of production would not exceed 30 cents. In fixing the increase the company takes everything into consideration. In the whole history of commerce there was never anything as ignorant and stupid as the way the coal business has been conducted con sidering the usefulness and necessity of coal and it's limited supply. Mir Oliphant said he doubted if his company made any money when coal was selling in New York at s4 or less. For the past ten years the profits of the company have been about per cent. His com pany increased the price, he said, be- cause exigencies of the trade justified the demand.
 Could Get Higher Price.
 We could get higher price If we asked for it. he added
 It was out of deference to the needs Of the public, the witness said, that the price of company coal was kept at 30 just after the strike when the independ- ent carriers were getting sS to Sio.
 Eldebert Moot of counsel for the Erie system protested that the company has no jurisdiction in any matter that com cerns the price of coal The commission decided 1t could consider the prices real ized for a product to arrive at the req condolences or unreasonableness of the freight rates.
 MT. Moot argued again that as the Delaware and Hudson handled no coal but from its own mines, neither the conn mission nor congress had any authority 10 investigate It's prices.
 The commission overruled the ob1ec- tions.
 A question to Mir Oliphant relating to the 65-35 per cent contracts was objected to and sustained pending declssion on the point from Judge Lacombe w. w. Bullet, the special statistican of the an- thraeite coal region presented a long re- port.
 RuIet cross-Examined.
 G. F. Brownel of counsel for the Sus- quehanna and Western cross-examlned MT. Rulet on his report to show the varia- ton in the price of some grades or coal sold by the defendant companies Samuel T. Peters of Williams and Peters. sales agent for the coal interests of the Erie system, was recalled ana explained the variation in prices showing that sometimes 1t was necessary or polite to make a special price to q special con sumer He declared that the demand for coal is so great today that the dealers could get s6 to s7 q ton for 1t if they de- manded 1t.
 M S. Kammerer of NJ S. Kammerer X Co. dealers in coal and iron of the | Luzerne district. the next witness, has an arrangement with the Jersey Central railroad for transportation. The rates, he said, on coal approximate + per cent or | the ttdeWater prOnt or the prouuct. After long argument between counsel, the committee ruled in favor of MT. Shearn's contention that the coal purchase contracts are admissible as evidence. The commission decided that the only point before the United States Circuit court is, can witnesses be compelled to submit their contracts to the commission.
 Contract Read.
 As soon as the ruling was announced, MT. Shearn read from the record the con tract between J. J, Jermyn and the Sus- quehana Coal company made on Novem- Der 1, 1900. By that contract the Jermyns agreed to sell the entire products of their mines to the Susquehanna and Western Coal company at certain prices ranging from 50 per cent of the tidewater price realized on the pea coal. to 65 per cent realized for stove and chestnut coal. A ton of coal under the contract means 2240 pounds and an allowance of 1 per cent Is made by the seller for waste.
 A clause to the contract says if the price at tidewater shall be less than sS.50 per ton for sizes greater than pea coal. the mine operators have right to close their mines.
 The commission adjourned until to- morrow.