The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-05-25

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pafpsns dlscsyery Shattpr PRESIDENT A d
Cesstt h ~ NJ h-sd n sgd - ths arNstaat
bAusartary NJ ~ eraW and DISCRIMINATION
shae Aavs beeH shewu N ~ In vor~ N ,has
corporation.
Admlu-iOna duwn from p's-idsns Dc
ats assbasaats sud the men clos~st te him
havs shown timi ttsy y hundreds n
~tho,rands NJ dolarp uoVth ~ ssooh faF
which ttsy raid nue . penny.
Assistant william A Patton, who owns
ssTJno Il this stuck, oonfasesd that Prs-l-
dent Casaatt knew II he holdlne-
Ca~-att,s ohtsf olush. Purvianer. admitesa
owninG $4,000 Of the sams nv" wsalth
II was undeIntood tina, Mr.. Cassatt was
aware Of this also.
Tbs questions put 90 thase two risn and
otbsTp wsFs with tbs dsfnite purpose ~
tracing ths sraft stream dirsot>ep ths had
Of The Pennsylvania system. Thsrs Ia In
formation in the hands Of che commissions
that tho 20 called Oasaatt coaf companies.
the Herwind- white and the keystone. are
largely the property Of the Cas~att family.
The testimony concerning the favoritlsm
toward thses oonosrns b bsing brought nj
for the same PURPOSE, an b. the testimony
"a TO graft stock. II II not likely that Mr..
Cassatt will be called before tbs commits
sion.
Graft, from tina petty kind. tho acceptance
of ono. five. ton and twenty dollar bills BY
an assistant trainmaster Of the Pennsyl-
vania Railroad to the acquiring Of se7 ,Ooo'
OF coal stocks without the expenditure OF
money by q brothsr Of Assistant William
A. Patton. who himself acquired SSo7 600
Of stocks in the same manner, was revealed
at to-day 3 meeting Of the commission,
Those were the extremes Of to-day's
graft disclosures. But the paying by opera
tors Of $9O or more apisoe for cars, the lend
ing OF 800 to train dispatchers, who after
five years have neglected to pay even the
principal or interest ware other manifesto
tons Of the system.
Much more eloquent was evidence telling
of the effect Of this passing Of stock, money
and other presents among employees and
the close family ties bstween high officials
and mine promoters; evidence which showed
how independents operators or those whs
failed judiciously to make presents were
forced to sell their mine ownings to others
who were In harmony with the customs OF
the railroad!
Tho names Cassatt., Berwind-w White and
Keystone Coal and Goke Company were,
constantly intermixed with the revelations
concerning discrimination.
Hulnor of the ironical kind was brought
forth during the examination Of John
Lloyd, banker, mine promoter and men,
Der of the banking firm Of ]. Gardner Cas-
SAT- d Co., Of which j. O. Cassatt, President
Cassatt's brother, is senior partner and MIR.
Lloyd is Junior.
Frankly avowing that he bought large
blocks OF stock Of mining companies In
which he was interested land either gave
it outright to railroad employees or held II
for them in his own name for no reason but
that he considered 1t good business 70 stand
in with railroad employees who had In
~auence, Mr.. Lloyd swept aside the pltiful
attempts of the railroad men TO justify
their holdings of free coal stocks.
Reluctantly he half admitted that his own ,
wheels which he had cogged 80 often for
and'that he was being frozen out OF
the field by the Berwind-W hits company,
the chief friend Of the railroads.
The genius Of Mr.. Lloyd was shown In
his account Of the profits made by the Co.
Coal Company. in which many rail-
road men are interested. Only 10 per
cent. Of the capital stock was paid In, yet
under his fnanoiering and the railroads
help this company paid In ten years divi-
dends amounting to 100 per cent. upon the
capital stock and placed SO 2-s per cent.
in the treasury on account OF payments
upon stock, or, In other words, paid ie5 SIS
per cent. upon the capital stock. Upon
the actual money invested it paid ten timss
this, or 1855 2-s Per cent. Ia Ten years., or
at the rate Of 1876 2-s per cent. profits a year.
j. Howard Patton, brother Of William
Patton, assistant to President Cassatt.
was a witness who occupied the stand for
q long time to-day. the length OF his OK
animation being due TO his manne Of
answering questions.
From his testimony it was learned that
he was station master for the Pennsylvania
at Grsensburg, Pa, and that he
was bonded for the faithful performance
the duties Of his position. He could not
oiesrly what his duties were, He said
ne paid the salary for the position 10 the
nan who did the actual work. While con-
that he had influence In the dis
Of coal cars, he admitted that st
he same time he was superintendent Of the
Jiaridgo Mining Company. which was con-
demanding cars.
Have you anything 10 do with the dis
Of cars 1t Glaridgef' asked Mr..
Glasgow. mo, I have not replied the
witness; but 10 later admitted that he was
responsible for the handling Of the Gers
and in . way supervised thsir distribp-
ton.
what is your connection with the Key
tone Coal and Coin oompanyf' Il acted
rs superintendent
Now, as agent atClaridge and as super
Intendent Of the Keystone Company, how
10 you proceed 10 ct your cars for the
shipment Of ooalf- Il ask tn, agent at
Claridge; that is the man who actually