The labor world. [volume] (Duluth, Minn.) 1896-current, 1904-05-07
COAL TRUST ORDERED
TO PRODUCE EVIDENCE
INTERSTATE COMMERCE COMMITS
SION SETS A DAY FOR HEARING.

Action Follows Supreme Court Desision
Sanctionins Inspection of Baers
Books.-coa' Trusts Operations Will
Be Disclosed.-Hints Of Possible
Surprising in Developments at In
vestigation.
Washington, D. c., May 7-Backed
by the Supreme Court of the United
States, the Interstate Commerce Com
mission will demand that the coal bar
ons produce contracts and give the
evidence which they refused to give
the commission on the suit for the dis
solution of the coal trust filed by Will
liam Randolph Hearst in November
1902.
The coal barons will be summoned to
appear before the Interstate Commerce
Commission in New York at II a. m. on
May a.
A special meeting of the Interstate
Commerce Commission was held yes
terady, all of the members being pres
ent and it was decided to hold the hear
ing on that date in the Federal Build
ing, New York
The official order to that effect was
issued yesterday. The Interstate Com
mandate from the Supreme Court,
which compels the trust magnates to
answer, will have arrived at the New
York District Court on May 4. The
commission has urged action since the
decision of the Supreme Court and 1t
regards the period from now till May
"A as giving reasonable time for all
parties to prepare for the next battle.
This action, it may be repeated, is
entirely without the assistance of At
torney General Knox.
Mr.. Knox did not begin the proceed
ings which were ended in Supreme
Court in favor of Mr.. Hearst. He did
not initiate any action in his own de-
partment nor before the Interstate
Commerce Commission.
Al the coming hearing in New York,
it is intimated here, the questions to
be propounded may not be confined to
the production of the Temple Iron Com
pany contracts. The decision of the
court is somewhat broader than an or
der for the production of certain tes-
timony.
One Of the authorities said yester-
day that it is not improbable that the
Interstate Commerce Commission may
demand answers to matters under the
ruling Of the supreR,e Court OF which
the coal people haV. as yet no notice
and which will be exceedingly grave.
If such new questions are objected to
and answers refused it is not likely
that the defendants can get past the
Circuit Court this time, inasmuch as it
will be in possession Of the opinion of
the Supreme Court.
In delivering the opinion of the court
on this phase of the question, Justice
Day said:
LAS to the so-called Temple Iron
Company contracts, it appears that in
1889 certain operators in the anthracite
coal region organized a competing rail-
road, with a view to carrying their
product from the coal region to market
at tidewater 1t became evident that
this company was likely to succeed and
to construct a competing railroad from
the coal fields to the sea.
with q view to acquiring it's proper
ty, five of the leading railroad carriers
purchased the colleries whose propri-
etors were developing the new scheme.
To pay for these the Temple Iron Com
pany was purchased and it's capital
stock was increased
The company issued a large amount
of stock and bonds and the contracting
railroad companies agreed among
themselves and with the Guaranty
Trust Company of New York, as
trustee, to guarantee a per cent div
idend upon the Temple Iron Company
stock and the payment of principle and
interest of the bonds.
This ended the building of an indie
pendent line, and the transportation of
coal from the collieries is distributed
among the corners interested.
1T is argued that these contracts
will tend to show a pooling of freights
in violation Of the fifth section of the
commerce act While this testimony
may not tablish such an arrangement
as is suggested, it has, in our opinion,
a legitimate bearing upon the ques-
ton. There is a division of freight
among several railroads, whereby
agreement or otherwise the companies
have a common interest in the course
from which it is obtained.
"F'urthermore we think the testimony
competent as bearing upon the man
ner in which transportation rates are
fixed, in view of determining the ques-
ton of reasonableness Of rates, into
which the commission has right to
inquire.
ITO unreasonably hamper the COM
mission by narrowing its field Of in
curry beyond the requirements of the
due protection of rights of citizens will
be to seriously impair it's usefulness
and prevent a realization of the salut-
ary purpose for which it was estab-
lished by Congress.
IAN appeal is also prosecuted from
the refusal of the Circuit Court to or
Adv 1,,itnesses Eben B, Thomas and
William H. Truesdale to answer GER
tain questions respecting the prices and
sale of coal. Upon the principles al
readv discussed we think these ques-
lions had legitimate bearing upon the