The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-04-11
INTERSTATE COAL ROAD PROBE
PART PLAYED BY PRIVATE CARS
OF MINING COMPANIES.

Commerce Commission Learns OF Alleged
Discrimination Against Small Pro.
ducers and Of Agreement for Appor.
tiOnins Frelshts Among Railroads.
PHILADELPHIA, April l0.-Hostility on
the part Of every witness examined before
the Interstate Commerce Commission
which held the initial session of rs investi-
CATION into the coal business of the rail
roads in this city to-day, failed to prevent
the Government from obtaining a good
foundation to work on at subsequent hear
lngs.
William A. Glasgow, Jr,, who had charge
Of the examination Of the witnesses on be-
half OF the commission, brought forth
among other things the following admis-
sions:
That by means of pr ivate car systems,
which the railroads foster, large mining
companies get an advantage over rivals
that makes it difficult for companies de-
pending upon cars furnished by the rail-
roads to conduct business;
That by means of the private cars COM
panies owning them can contract for the
delivery Of coal at stated times, while COM
panies which W no cars cannot guarantee
N''O ~ i'N' thOt Sbhl III 10 9 GU
That despite the fact that it's charter
commands it to carry private cars from any
firm that offers them for transportation,
the Pennsylvania Railroad refuses to handle
private cars unless the owner has at least
500 cars. the possession of which involves an
outlay of $500 900.
That the coal roads for ten years have
had a secret agreement as to the proportion
Of all coal to be carried by each. This
agreement involved the esta Enlistment of
o associations whose duty it was to OBJ
tain such statistics as we'll as enable the
railroads to see that the agreement was
adhered to.
1t was also shown that many railroad
officials have personal interests in coal
mining companies.
U. B. White, statistician of the Bitumi-
nous Tidewater Steam Coal Traffic Asso-
citation, was the first witness. He frankly
said he would give only such information
as he was forced to give. It was shown
that his association was a clearing house
for checking of competition.
S. W. Passmore, statistician of the Eastern
New York and New England All Rail BIZ
luminous Coal Association, said the roads
in his association are the New York Central.
Pennsylvania Erie and Buffalo and Rochester
and Pittsburg. The laws Of this association
provide for the diverting of coal freight in
the event OF the reports showing hat the
agreement among the road7 had not been
faithfully carried out. Penalty for failure
W i've up 10 tut dBtetIItlI also might Dt
imposed il the executive committee decided
Upon such a course.
First Vice-President Voorhees, of the
Reading old of the manner in which his
company purchased its fuel coal and from
What companies, He admitted having a
small interest in several coal companies,
none OF which, however, shipped coal over
the Reading.
u. H. White, statistician of the bureau Of
of statistics of the Tidewater Bituminous
Steam Coal Traffic Association, testified
that the association was formed in 1896 and
that it was subsequently agreed that the
tidewater coal trafic.should be apportioned
among the roads having membership in
the association as follows:
Pennsylvania. 46.65 per cent Beach Creek
II ,05 per cent; Baltimore and Ohio, II IS
per cent; Chesapeake and Ohio, IL per
cent; Norfolk and Western, ls.45 per cent. !.
A copy Of the agreement signed by the
presidents Of the railroads was produced,
but it was 30 carefully worded that little
OF the purpose Of the association could be
gained from a Derllsal of il. |