The Richmond Virginian. (Richmond, Va.) 1910-1920, 1916-11-06
IN PRICES
TO Be INVESTIGATED
DDnRtuaes,t Of Justice Believes That
Onnspirucy Exists Among the
Goal Dealers
COAL sITuAIYpv re- ACUTE
nQulry Into High Goat OF Errsnd and
MIN VIII Also IA Mahc---.ib-
NORMAL Incrca@c- NC4 Due te Ehire-
I psAa War

washington. Nov. 6.-Attorney-
1ensrai Gregory today authorized the
s following formal announcement;
'srhe Department OF Justice r. in
q NoatigatinE the recent abnormal and
Suspicious increases in the prices Of
& various nscessaries OF life. especial
n coal.
"wherevrr any such increase 10
found to have been cue 70 conspiracy
Or other unlawful acton. the depart
ment will invoke agaJn~ the offenders
j the severest penalties which the law
pxescrihes."
Three separate Investigations into
TIE abnormaily high price OF COM
moditics II was said ct the depart
Z ment are in progress, with view of
criminal prosecution OF persons or
Ootpcrations Responsible for the tn
egoAses in the price OF milk. bread
and coal The Interstate Commerce
Commission also Is conducting an in
curry into the alleged shortage OF
coal cars, which niddlelnen claim
- responsible FOR the rise in the price
81 coal.
n was sad In high administration
QuArters today that facts have been
uncovered which indicate conspir-
Acy on the part Of coal operators
and the coai-carrytng railroads 10
SURGE up arbitrarily tire price o: coal
In suhstantauoa % this belief. II
was pointed OUT Tho woa her 'coHdl-
tons have been excellent. SC there
could be no shortage Of coal cars aus
to conses1cn or Blockade The rail-
roads claim they cannot handle the
coal output of The mines a account
of the ca shortage bat at both the
Department OF Justice and the Inter
state Commerce. >'D.umt sS}on Il WAS
declared 10 condition exists which
would cause natural shortage o.
cars II was &dde8 thal coal cas- are
built especially for the purpose OF
transporrtnE coal. and that they can
not be wall iced for any other par
pose except by structural oi sngcs
II was said tle number Of Goa cars
on the various railroads was larSe
enough TO take care OF the needs Of
tho county
In further support of the charge
tina. q CONSPIRACY exists Il was said
that al sections OF the country are
sufiering equally although there t
woula be no cause for distant points
TO be affected seriously because ions +
hAuis are favored. II the allegation /
OF q real car shortage we're tTua, II J
- declared. only those places imme- |
diately affected. which would be the
shorter hauls. would suffer, and then
fur only short time.
MAY Nairan Immediate Action.
1t Is expected that the Interstate
Commerce Commiss!ons inquiry Will
develop evidence concerning the car
situation which Will warrant action |
by the Department OF Justice, 1t Is
understood the department win have
representatives at the hearings to be |
conducted by the commission.
From all parts OF the country com |
plants have been received nv the De- |
partment OF Justice, and considera bic
data haA been gathered bearing oni
the situation. both from private per-
sons and from the Offices OF district
attorneys All sections OF the country
have demanded Federal action, and |
during the past month the depart |
ment has become convinced that the |
coal situation Is acute. II was limited |
that unless relief Is obtained imme |
diately Congress may be called upon |
to pass extraordinary legislation for |
the welfare Of the country.
A The coal operators are understood
to maintain they cannot afford to
mine more coal than the railroad can
handle ana that the facilities OF
transportation now are such that IL
would be financially disastrous for
them TO increase their output There
II charge against the middleman
also, that because OF the scarcity Of
Withholding from the market the
supplies piled up IN their yards. sell
ting 1t only at exorhtant prices.
What the Department OF Justice
nust prove, to establish its case, is
= conspiracy for restraint OF traffic |
On the part OF the railroads; q CON
Splraey to reduce production for pur-
po1s Of Increasing eE!es Of zeal en- the I
part of the operators. and. going 20
the bottom. a conspiracy 70 Withhold |
coal from the market for the purpose
of raielng the price on the pArt-es
the middlemen.
Evidence OF such Il conspiracy 49,
the last described would be the fact /
II was said- that retailers have piled +!
up and are holding an unusual amount
- coal.
The principal Federal INJURY into
I the high price Of milk oenters at Bos-
ton. ALTHOUGH Investigations are under |
way n New York. Philadelphia. wash
1n9ton and other cities District At
torney Anderson, of Boston, who IL
directing the milk inquiry. has made
tAroe visits to washin Eton recently to
aoafsr with Department of Justice Of |
SAG1alA
Ths inquiry into bread prices. IN
uluding the wheat situation. csntsrs
\ IN Chicago.
me Department of Justice does not
Aoospt the view of Secretary Of Com |
Neros W c. Redaeld who recently |
q 0oo4Ared the high cost Of living was |
u me 70 the European waE