Omaha daily bee., 1906-12-01
COULD LINE PAYS REBATES
Coal Companies Owned by Railway Mag
mates Given Special Rates.
SECRET 81 ~ ON MINING MATERIAL
DrF %k on Brick Amounted 20
y = 90 a Car-Land Titles Sc
cured by Irregular
y Means,
RET sS>$A.f ON MINING MATERIAL

SALT LAKE CITY, Nov. sO.--Interstate
Commerce Commissioner E. E. Clark, con-
tlnuing his investigation of the coal trade
in the intermountain country an the meth
DDS Of obtaining coal properties, devoted
most Of the morning session today to the
Denver & Rio Grande system and Its af-
hliated coal companies.
Charles Livingston, former chief clerk at
Sunnyside for the Utah Fuel company and
the Wasatch store. both Gould companies,
testified that previous TO August last both
companies enjoyed what amounted TO secret
tariff on all material shipped to the mines
over the Denver & Rio Grande lines. The
companies also received concessions over
railroad lines, he said.
Mr.. Livingston said that under these spe-
cial rates the coal companies shipped fire
brick from Pueblo at s55 per car. while un-
der the present fun tariff the rate is S15j
per car. He stated that all freight bills
were turned in to the railroad agent at Sun
nysde as cash" and that the settlement
between the companies was made at some
other point.
w. o. Williams, auditor OF the Utah Fuel
company, the Pleasant Valley Coal COM
pany and the wasatch store at Sunnyside
testified that the coal company has never
paid any dividends. All the profits of their
business, he said, went to pay off interest
on outstanding bonds. He also told of the
special freight rates enjoyed by the coal
companies. The railroad company, he tes-
titled. acted as agent for the coal companies
at certain points, collecting the bills for
coal delivery.
Denies Burning Books.
Replying TO questions asked by the at
torney for the government, Mr.. Williams
denied that any books or vouchers of the
several companies were sent to headquart-
ers in New York after the beginning Of the
present inquiry. He also denied that any
books or vouchers had been destroyed
Mr.. Williams admitted that his name had
been used by the coal company to secure
title to go acres of land near Clear creek.
He never received any compensation for
this, he said.
Byron Groo, former secretary Of the State
Land board Of Utah, was uncertain to
how title to the land was passed from the
state of Utah to the coal companies. He
admitted that large tracts of land were so
disposed Of by the State Land board, but
said he could not remember the amounts
paid or other details of the transactions.
George d. Holiday of Salt Lake City
told OF his efforts to acquire title to a
! tAeiNN Va wal ieAhh III w HlAhlOA0 Nelllepli
near sunnyside. He organized the HoiIl-
day Coal company and undertook to mine
coal Robert Forester. geoiogist OF the
Utah Fuel scompany.- with J.-f1ipman and
other men, came to him, he said and told
/ him that unless he got on the land they
| would jump his claim. Later, during his
! absence. armed men went in and took
possession OF his property to which n man
named Robert KlriSen set up a claim.
Holiday testified that he attempted to con-
| test Kirken's claim I'm the district court
Of the Third Utah district, but every deci-
sion was against him until he secured n
transfer Of the case to Salt Lake CITY.
Mr.. Holiday told Of several conversations
with Robert Clark, superintendent of the
Pleasant Valley Coal company, and other
officials of the coal companies. in which
some times threats we're made against him,
and at other times efforts were made to
buy him out, Finally, tiring Of the strug
gle. he sold out to the coal company for
s22,SOO,
Driven on by Armed Men.
After the Pleasant Valley Coal company
caused Kirken to jump his claim. Holiday
testified, he went back to the property. but
was driven of by seven armed men. and
Kirlten fired a shot at him From the
time Kirken jumped the claim, he testified
until he sold out his rights to the Pleasant
Valley company he was not permitted to
go upon his land.
This land, which Holiday located in
1897 today is one Of the most valuable
coal and eoking properties owned by the
Utah Fuel company While Messrs. Lvngs-
ton and Williams. officials of the Gould
coal companies, were under examination
Attorney ]. T. Marchahd, for the govern
ment endeavored to secure admissions from
them that the coal companies had been
granted special freight rates on shipments
OF coke over the Oregon Short Line to the
smelters at Anaconda, Mont. Both denied
knowledge Of any such concession made
by the Hartman line.
The government agents have been un-
successful IN their efforts TO subpoena
Captain W. F. Cotton, reputed cashier Of
the Gould coal companies. Auditor Will
lams testified that he did not know the
whereabouts Of Captain Cotton. He said
he had not seen Captain Cotton for six
weeks.
Driven from Claim with Rine.
The afternoon session OF the hearing was
enlivened by a story in which rifles threats
of violence and corporate revenge figured
r Arthur A. Sweet testified that he had pro
, tested the location OF a tract OF coal land
, by Charles Mostin owen, who filed on It as
agricultural land. The protest was up
/ held and Sweet fled on Il as mineral land
, When he went to take possession he en-
. countered f. M. Wheeling and Mexican
both armed with rifles. Disregarding theil
4 statement that there was mo coal on tbs
( land" he went onto the property. As h'
proceeded he heard a gun fired. The armed
men followed him 70 his claim and told
him he had TO leave. They asked hin
II he would go at his pleasure" or by
, force. He consented TO go at his pleas
ure'' Afterward, he said. he secured
iniunetions from the district courts Of thu
state restraining the fuel company from in
: terfering with him. but the injunctiOns wer'
p oontemptuously disregarded.
n Finding he could secure no capital NJ
d rates and no cars. Mr.. Sweet said he finally
o disposed OF his claims to J. H. Judson 10
J. N,OOO, and they soon afterward passed int
n the hands Of the coal company
But this aid not end Sweets troubles
l. lie said he had secured employment on tn
I. RIO Grande Western railroad, but was dis
& charged through the influence Of the Goa
o company ofhcials, who also eKerted presspr
o on a New York bonding company TO hav
a his bond cancelled.