Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-03-03
VARDAMANRAPS
"COALRING" RULE
Senator Asserts High Prices
Are Due to Monopoly
of Eight
"LAW BROKEN" HE SAYS
Wants L. S. to Eliminate
Mining and Carrying by
Anthracite Combine
LAW BROKEN" HE SAYS

wsshIngton March 3.-Senator VAR
daman, OF isslssippi, chairman of the
Senate Manufactures Committee, today
inserted in the Congressional Record
statement on the committees investiga-
tion of the anthracite coal situation,
charging that production of anthracite
coal in the United states is controlled
by eight large transportation companies,
which, through an almost complete
monopoly, were able TO fix prices and
determine the rate of production.
Chairman Nardaman explained that
the committee was unable to present its
report now, as not all OF the testimony
taken in hearings in Washington and
in the Pennsylvania coal fields had been
printed. lie added, however that he
had gathered together certain facts
which he trusted would be of help to the
next Congress in dealing with the anth-
racite coal question.
Testimony before the committee. he
asserted. had disclosed. in his opinion
that there Is no commodity in common
use that is so absolutely monoplized as
the anthracite coal production" Short
age of anthracite during the war and
the existing high prices for the COM
modify he said. were due almost en-
trely TO this monopolistic control
Names "Coal Rulers"
Transportation corporations controll-
ing production in the Pennsylvania field
the only source OF marketable anthra-
cite in North America-were named in
Senator Nardaman's statement as fol-
lows:
"The Reading (the holding company
of the Philadelphia and Reading Coal
and Iron Company and the Jersey Cen
tral. which in turn owns all the stock
of the Lehigh and Wtkes-Barre Com
pany; the Lehigh Valley, the Delaware.
Lackawanna and Western. the Delaware
and Hudson, the Lehgh Coal and Navi-
gatlon Company (Which owns and con-
trolls the Lehigh and New England)
the Erie. and the New York, ontario
and Western"
Although controlling only 70 per cent
of the actual production of anthracite,
the statement asserted, the eight com
panies had made it impossible for indie
pendent operators 10 compete with them
on any fair basis"
Notwithstanding the fact" said the
statement, "that the constitution of
Pennsylvania prohibits a transportation
company from engaging in mining, these
TRANSPORTATION companies are in this
COAL but of mining it,"
Federal Intervention Asked
Expressing hope that Congress might
see the necessity Of legislation 10 pro-
tect the people of the United States from,
what he described as "the greed. GU
pidity and avarice Of these soulless cor
porations," the Mississippi Senator rec.
commended that 'if the constitution OF
Pennsylvania, which forbids the trans
portation companies to mine coal, is q
dead letterbin that state" the fedora
government, under the Interstate pro
visions, compel the enforcement ot
transportation companies from mininl
corporations.
The statement made the additiona
recommendation that the price of Goa
he fixed by the government at a rat,
which would guarantee fair returnlnp
to the mining companies and "vouch-
safe to the people OF America an ample
supply of anthracite coal at reasonable
price"
While payment of excessive royal
ties-said to amount in the case o.
the Locust Mountain Goa! Company
to the great Girard estate TO Sl.04 {
ton in 1918, constituted the first caus'
of the high price of coal the statemen
said that was mot the full story" TIL,
other causes given were the means al
legged to have been used by the eigh
large companies TO eliminate the compe
tition of the independent operator. Th'
statement said the companies were ab
to do this by using the following means
High demurrage charges on cars "a
tldewater awaiting accumulation of
cargo lot.
Inability of the independent operate
to accumulate temporary surpluses il
bins and storage yards. the railroad-pre
ducing companies having denied to tn
independent operators the use of thei
facilities, and
The "dog-in- the e-manger" attitude O
the eight corporations which, it wa
charged. continually reach out and oh
tain all available unmined coal an
prevent the Independent operator fror
securing new land. Much of this land
the statement sad. is retained in a
undeveloped condition by the corpora
tions.
The statement also said millions c
tons of coal could have been obtained I
relieve the recent shortage had the fue
administration compelled transportatio
companies No develop culm banks or tur
over this accumulation of small-size
coal to many independent concerns will
ing TO reclaim II.
The large corporations also wer
charged by Senator Nardaman wit
maintaining the sale price of cos
through publicati ton OF circular prices
The prices, the statement said, WEI
put out by the Reading Company an
were 1.-THE law of the business.