The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-12-15
FAVOR GOVERNMENT
TAKING COAL MINES
Senators Kenyon and Edge Say
Private Ownership Cannot
Restore Order.
CHAOS NOW PREVAILS
Shortage Of Houses. Grating
and Profiteering Condemned
in Report.

WASHINGTON. Dec. 14.-Sharp criti-
cism OF the national coal industry. with
implied threat of drastic legislation by
Congress to meet alleged evils of profit
eering and speculation accompanied the
partial report of the Senate Committee
on Production and Reconstruction sub
mitted to the Senate to-day. In general
the report. which asked power to allow
the committee TO continue its investiga-
ton. suggested Government activities to
bring about cooperation under regula
ton in building construction. but its
three Republican members-Senators
Calder IN. W, Edge On. j. and Ken
yon Gowa) supplemented their find
ings with additional statements. all OF
which agreed in asking special legsla-
tive attention to present methods Of
producing and distributing coal.
These. Chairman Calder said. must
be corrected" while Senator Kenyon de-
clared that If the matter is to go on
]. for one. harsh az the remedy may be.
shall favor taking over the mines" Sem
ator Edge expressed as his conclusion
that 1.-THE coal industry cannot bring or
der out of the prevailing chaos, and give
even reasonable relief 10 the suffering
people, so I am ready to modify some
Government intrusion into private BUSH
ness. and to advocate legitimate scru-
tiny"
Coal profiteering especially as It has
followed the priority orders of the In
terstate Commerce Commission, has con-
tinued unchecked by the Department Of
Justice and is a national disgrace" the
committee said in its joint report.
Our investigation into the coal stu
alton has convinced us that the private
interests now in control of the produc-
ton and distribution OF coal, in spite of
the efforts of some, are actually unable
to prevent continuance or repetition
of the present deplorable situation, and
that It Is the duty of the Government
to take such reasonable and practical
steps as it may to remedy the evil"
Government administration of the
production and distribution of coal, the
committee said, SHOULD be last re-
sort" but for the present 1t was recon-
mended that operators. wholesalers.
jobbers and retailers in the industry be
required to file full and frequent reports
with Federal agency.
In other fields. the committee said,
there exists serious shortage of
housing, not only In the great cities, but
in the smaller cities as well, even in the
far West and South" which is held to
have deleterious effect upon public
health, morals and industrial growth.
Labor conditions also were discussed by
the committee.
Financing building investment, the
committee said should be aided in sew
eral ways. suggesting lowering Of excess
profits and surtaxes, and tax exemption
for real estate mortgages. A modifica-
ton Of the Federal Reserve act 70 per-
nit member banks to invest in long time
mortgages was further recomme nded
and the committee said II endorsed the
principle of "the home loan bank bill.
which is designed to facilitate a wider
distribution of real estate mortgages
through standard bond issues"
Popular saving and thrift. II was con-
cluded, would be aided by consolidating
under the Post Office Department all
Federal thrift activities and by amend
ingI the postal savings law Ito provide
ADEQUATE interest for depostors."