New-York tribune., 1918-01-31
The Repudiated Coal Agreement

Those who seek to excuse Secretary
Bakers part in helping to bring on the
coal famine tell a strange story. They
say that his astonishing reputation of the
agreement entered into between the coal
operators and another member Of the Cab
met, Secretary Lane, to which we referred
yesterday, was not Of his own initiative.
1t was to obligc another officer Of the Cab
met, or perhaps two. They say the situa-
ton was this:
In consequence of the severe coal short
age which began to become evident las+,
sprluG prices, as every orc remembers,
scared to the skies. And great was the
outcry thercat The operators were ac-
cuscd Of taking advantage Of the nations
necessities and cXactng thcrefrom an out
rageous toll. And. as usual, this was be-
lieved to be the work of Il "coal combine"
or general "conspracy.' 1t matters
little that in the three years since the out
break of the war it was estimated that the
number Of individual coal operators had
more than trebled 1t was computed at
around perhaps 5000 in 1914. 1t was cstj-
mated as high as $4,000 last June. Of
course, the larger number Of these now
producers were small operators, many Of
them producing only few hundred tons
a year.
BE that as it may, the fact remains that
not in q generation was there such wide
competition in the coal industry IN
long gears such slight opportunity for a
coal combine" Nevertheless, Attorney
General Gregory boldly sailed forth IN
search Of fame and conspirators and
brought about the indictment Of q number
Of large operators. When seven hun
dred OF tho largest mine owners Of the
country agreed with Secretary Lane and
his committee from the Council of Ma
tional Defence on base price Of SO there
was dismay in the Attorney Generals Of
ficc This price was higher, in some in
stances than the supposed price set by the
"combne." If this price stood it would be
der such conditions.
And there was Secretary Daniels. also a
member OF the Council of National De
fence. 10 save money to the government
he had fixed price Of 1888 for the
superior grade Of coal required by the
navy. a So base for the run of mine
coal might be upsetting to such an ar
rangemcnt. So, it is said, Secretary
Baker, as president OF the council, was
urged to make instant reputation Of the
agreement made by Secretary Lane There
may have been contributing causes. The
Senatorial succession in Ohio was 2 not
distant question, and d Democratic Gov.
ernor Of Ohio was dcnouncing the pro
posed arrangement as outrageous, and a
Democratic Senator from Ohio, dcsirous
Of succeeding himself, was demanding an
investigation. Whatever be the fact. the
reputation was prompt and decisive
But Secretary Baker took full RESPONSE
bility for his act. Ile further pretended
to set himself up as q Judge and Jury. Ho
said
"The information | have, think, iusti.
Nes me IN believing that the price Of S.
suggested or agreed upon as Il ma.einl,1,r,
i is al eXorbitant, unjust and oppressive
price,
We know the result. Secretary Bakers
Reputation was followed two months later
by tho Presidents edict iiNng a base
price of s. per ton. followed some sixty
days later with an increase for most sec
tlons TO $40 per ton. or only about II per
cent less than the rate which Secretary
Baker Was free to dcMouncc as IAN cx.
orbtant, unjust and oppressive price.
J Tie defence OF his action, set up by his