The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-15
'COAL COMBINE CAN'T
BAR EVEN A CROOK
Tidewater Exchange Has No
Power to Rid Itself of PrOfi-
teers or Undesirables.
STATEMENT is GIVEN OUT
Anthracite Experts Predict
$40 and $25 a Ton for New
York in Winter.


included among those organizations of
, bituminous coal dealers and operators
of whom THE NEW YORK HERALD said
yesterday that they ''have embarked
drastic than common"
From 2ao to 6 o'clock P. NJ. the
executive committee OF the exchange
! was in session in it's headquarters in
owen, president of the exchange. pre-
sided and sitting with the dozen MEM
| bers of the executive committee were
their counsel, Gibbs C. Baker, and also
two local agents of the Interstate Com
merce Commission.
No action was taken by the COM
mittee looking to a modification of con-
dtions governing admission to member
/ ship in the exchange. At the close of
the meeting Mr.. Owen sponsored the
| following statement, prepared with the
cooperation of Mr.. Baker and members
of the committee:
1.-THE statements appearing in the
| press concerning the Tidewater Coal
Exchange, Inc, are somewhat mislead-
q. Il
designed promptly to release railroad
equipment at the tidewater ports OF New
York, Philadelphia and Baltimore. and
| for that purpose has adopted the strict
est rules to govern its membership In
the shipment and transshipment Of Goa!
to tidewater.
Membership in the exchange must
by law be open to all shippers and trans
! shippers of coal at these ports as long
as the membership abides by the rules
| and regulations relating to the handling
of the shipments and matters relating
thereto. In other words, the exchange,
while II deplores, cannot correct abuses
| in the sale or resale of coal under I'M
| fair conditions or by unfair practices.
! 1t can prevent its members from abusing
railroad facilities and equipment and
! has done everything possible to aid In
| that respect.
Nothing can be done by the ex-
change. as such. to establish any trade
practice deemed desirable. except in so
far as it can regulate the prompt han
ding of coal at tidewater. This the
exchange is doing with every resource
at its command and Is willing and
anxious to aid, so far as possible, the
establishment OF best business practices
among its members and the coal trade
generally"
Any One May Join Exchange.
The legal aspect of the case which the
executive committee appeared TO accept
was stated by one of its members thus:
This is no private club. Any one can
join the exchange who wants to dump
cCal at tidewater for whatever purpose
consumption, sale, resale or trans
shipment. There must be as wide a
membership as there are coal shippers.
whether they be thieves or honest men.
We have no authority TO restrict mem
hership, however desirable such author
lty might be. Even II a man were known
to be a crook we should have no more
right to refuse shipment of his coal and
the pooling of II at tidewater than a
telegraph company which also Is a
common carrier, would be justified In
refusing to send prepaid message for
man who has done time" When
the question was raised whether any OF
the corporations or individuals recently
irdicted by the Federal Grand Jury for
alleged violation of the Lever law were
Jrembers OF the Tidewater Coal Ex-
Change ii was stated that the Il. J.
lynch Company has made application
tor membership. but that IL has not yet
ceen admitted. Under the executive
committees Interpretation OF the Inter
state Commerce law and that of its
counsel Mr.. Baker. the Lynch corpora
ton will have to be admitted to member
snip even though upon trial il should
be convicted as indicted.
Some members admitted the new rules
adopted last month by the exchange
regulating more drastically the business
customs Of its membership, were cor
rectly quoted by THE New York
HERALD yesterday. II was pointed out,
however. that the adoption Of those new
rules was measure directed at the
facilitation of transport and not at any
moral obliquities on the part Of coal
shippers and operators" though one or
two of the newly adopted rules named
as the penalty for violation thereof sus-
pension or expulsion from the exchange
Hard Coal Outlook Is Poor.
In the anthracite coal trade. which is
that more directly concerning the aver
age householder, the outlook is not fat
tering. Dealers and coal experts seemed
to agree that New York this winter will
have to face the stern reality OF coal at
from $40 TO s25 ton. No relief IL ex-
pected in present conditions Of shortage
before December 1 at the earliest I'm
der the special service order issued by
the Interstate Commerce Commission
there must be 1000 cars daily sent into
the Northwest until that date Unless
the order be modified as a result OF many
protests there will continue TO be a car
shortage In the East.
zone reason for the high price 81
COAL" said r w. Saward. publisher OF
the Sdpdrd Coal Trade Journal. rs that
the production of coal has not increased
in this country since 1917, although the
demand for all grades has increased inn
measurably Because OF this shortage
the dealer is compelled TO go into the
competitive field to obtain sufficient fuel
for his customers. As a result OF this
competitive bidding the Independent
operator Is obtaining excessive prices"