The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1907-03-29
Albert Lea Man Tells of the
Coal Combine.
Ed. W. KNATN0LD's STORY,
He Gave Some Evidence to the Leg
IsIative Investigating Committee
That Startled Them.
From the Minneapolis'Journ i

From the Minneapolis'Jour j
In their quest for Il trust controlling
the retail coal trade of Minnesota, legis-
lative committee on Saturday Afternoon
unearthed line of evidence which made
the members open their eyes and prick
mp their ears.
f. w. Knatvold, former mayor OF
Albert Lea, and merchant who has
been, selling supplies to the numerous
creameries in the butter belt, testified
that the Chicago, Wilmington & Vermil
lion Coal company had refused longer to
supply him with coal because of com
plants from the Northwestern Goa
Dealers association. He was equipped
with sheds, bins and scales; his credit
was good and his relations with the
wholesale company were entirely pleas
ant. He produced a letter from the COM
pany voluntarily making these state
ments and giving as the only reason for
dropping him the fact that complaint
had come from the association, the trade
OF whose members far outweighed what
he could give.
Taken in connection with testimony of
wholesalers and their agents before the
interstate commerce commission IN
Minneapolis last December, this testi-
mony of Mr. Knatvold's is believed to be
most significant. At the December hear
ing almost every coal jobber was asked
if his company would sell to anybody.
Invariably the answer was, "Ges-to any
regular dealer" Pressed as to what
constituted regular" dealer, the wit
nesses indicated. that the requirements
were sheds, scales and credit. Later 1T
was explained that these requirements
were established largely in the interest
of the consumers, as otherwise track
dealers of the fy-by night variety could
come in and demoralize the trade so that
there could be no assurance OF a steady
supply of fuel. None of the witnesses
admitted or intimated that member
ship in the dealers association had any
thing to do with the case.
Inasmuch as Mr.. Knatvold seemed to
have met all the requirements, but was
not a member of the association, the
legislators are wondering if they have
not struck a rather definite lead in
their investigation. They are not dis
posed to jump at conclusions, and may
hear evidence on the other side of this
specific case before formulating their
report, but they feel that it will take
some extremely emphatic and ingenu-
Gus explanations to offset the knatvold
story.
Mr.. Knatvold was not primarily a
coal dealer. He sold fuel of a particular
variety to the creameries, just as he sup
piled them with tubs, color, separators
and other necessities.
Mr.. Knatvold was the only witness
examined on Saturday. He is dealer
in creamery supplies, of which he con-
stantly carries a stock valued at about
$1,000. Through his dealings with the
twenty eight creameries in Freedom
county he naturally drifted into the way
of supplying them with coal. The coal
they wanted was Wilmington lump,
which was supplied by the Chicago, Viii
mington & Nermillion company. This
company allows him a commission of
ten cents ton, at the same time quot
ing a satisfactory price to the creameries.
The commission, though small, was suf-
ficient for Mr.. Knatvold, for all he
did was to write the orders and settle
monthly with the wholesaler. He did
not handle the coal himself.
This business went along nicely for
six years with everything serene. Then
there was a rift in the lutte. Mr.. Knat-
void in April received letter from the
wholesale firm announcing that COM
plant had been made that the creamer-
les were selling coal to farmers. The
retailers were grumbling. "We cannot
afford to antagonize the retailers, es-
pecially when they belong to the
Northwestern Coal Dealers associa-
tion," continued the letter. Soon
warning was sent to Mr.. Knatvold by
the same frm-he must not give the
creameries any advantage by cutting
the commission.
On June 6, the same year, the Chi
cago, Wilmington & Vermillion COM
pany wrote that there was disturb
ance in the retail trade in your city.
We do not want any row through irregu-
lar business"
what kind of business We're YOU con.
Quoting at that timer asked Elias
Rachie, who was conducting the ex-
animation in the absence of w. A. Nolan.
chairman of the subcommittee.
Il was selling only In carload lots
and was not interfering with the bust
ness of the other dealers in any way,
as | was not soliciting any business.
There were five dealers in Albert Lea"
Did you ever have any difficulty
with any of them?"
Not directly. No, sir"
How did the complaints to the ship
ping company get out?''
why, | suppose that the dealers in
Albert Lea complained to the North
western Coal Dealers association and
that the secretary. Mr. Reeves COM