Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-05-18
STOCK PRESENTATION
BY Coal Companies to Railway
Officials
IN THE TESTIMONY TODAY
Adduced by the I. c. G. Inquiry in
Philadelphia.
RAILROAD MEN ON THE STAND
Refusals to Accept Dividend-Bear
Interests in Coal Concerns-State-
ment From "Pennsy" Official.
N THE TESTIMONY TODAY
.AILROAD MEN ON THE STAND

PHILADELPHIA, May 1s.-Additional
evidence of stock presentation by coal COM
panies to railroad officials was adduced at
today's session of the interstate commerce
commission.
E. J. Cleave of Cresson, Pa, superintend-
ent of the Cambria and Clearfeld division
of the Pennsylvania railroad, was the first
witness. He was asked if he held stock in
any coal companies He said he had $50
shares in the Cochran Coal Company,
which he received in partial payment for
land sold to the company.
Had you ever been offered stock in any
coal companies7' inquired Attorney Glas-
gov.
'Is 1t necessary to answer that ques-
tion?" asked the witness.
.It is"
IT was offered stock, but declined to ac-
cept It,"
F. L. Sheppard of New York, general SUI
perintendent Of the United Railways OF
New Jersey when questioned by Mr.. Glas-
gov. said he owned stock in several min
Ing companies He could not recall the
names of some Of these companies The
stock in one, which Is a subsidiary COM
pany of the Berwind-White Coal Company.
the witness said, he received from Edward
Berwind.
Stock Paid Dividends.
It was paying dividends. but he did not
remember the amount. Mr.. Sheppard said
he owned so or 100 shares in the Pine Run
Coal Company. He received this, he said,
from Frank Patton. He had invested
$500 in another company which failed.
This money was returned to him, and he
was given the Pine Run Coal Company
stock. He was also given. he said, sixty
seventy shares in the Pittsburg Coal
Company for his work in negotiating the
sale of the stock.
Have you ever declined to accept stock
in any coal companies?' queried Mr.. Glas-
gov.
Il have"
''Whyf"
well, l thought might be asked to do
something that would not be proper in
my official capacity"
who offered you the stock you re-
fused?"
II really can't remember"
You were in a position to favor the
coal companies?"
ITO certain extent, yes"
Accepted Some Stock.
Then, some you turned down and others
you accepted"
That's correct
"Why didn't you turn them all DOWN.
'I did not think there was impro-
priety in accepting the stock took
HAS any other company the same facil-
tiles as the Berwind- White for dumping
coal at Harsimus?" asked Mr.. Glasgow.
NO. replied the witness.
Mr.. Sheppard was asked II he knew that
any Pennsylvania officials were Interested
in the Berwind-White Company. He re-
Piled that he had no knowledge of the
matter, but that it was generally reported
to be the case.
Mr. Shenna rd testified that the Rerwind-
White Company rented pier at Harsimus
from the Pennsylvania railroad for =, ,SOO
year. This pier. he said. was improved
at q cost of $4,000 before the coal COM
pany rented it.
Mr. Glasgow wanted to know II the wit
ness did not think the rental rather low.
Mr. Sheppard thought so.
Diversity in Charges.
Further questioning elected the inferma
tor from the witness that the railroad
company allowed the Berwind-White Com
pany seven cents ton for unloading at
Harsimus and that other companies at
South Amboy were allowed five cents a
ton for the same work.
Mr. Clement asked the witness If he did
not think 1t injurious to the reputation AMI
starding of corporation like the Pennsyl-
vania railroad for its officials to accept
gifts of stock in coal companies. Mr.. Shep-
pard said he would-not attempt to justify
the practice.
Corrected His Testimony
Frank III. Wfgton, president of the Nor
rlsdale Coal Company. who yesterday testi-
fed that his company had received rebates
from the Pennsylvania railroad up to with
in a few months of the retirement of
Freight Traffic Manager Joyce In 1868, to-
day corrected his testimony
THE last adjustment our company made
with w. H. Joyce" he said, was In 1895
After that time the adjustment was made
by rendering monthly bills up to March 81
1900. Since that time we have paid the
pany."
Commissioner Clements asked Mr.. Wigton
II his company kept all the rebates or IL
they rebated them in turn. The witness
said the rebates were kept by the company
Mr.. Wigton, continuing his testimony
told the commission of complaints he had
made to the Pennsylvania railroad con-
cerning the rates to ddewater The rate
on Pocahontas and New River coal In the
southern field, he said, Is $1.35, and on cen-
tral Pennsylvania s1.20, the difrerential be-
Ing 10 cents. Mr.. Wigton claimed the DIFF
ferential should be not less than so cents,
Pennsylvania and the increased cost OF
production in this state The witness as
serted that both Mr.. Provost and Mr. Pugh
of the Pennsylvania railroad admitted the
justice OF an increased differential in favor
of the central Pennsylvania district Mr.
Wigton said he believed the pressure
brought to bear by the Norfolk and West
ern, the Chesapeake and Ohio and the Bal
timore and Ohio railroads prevented q