New-York tribune., 1920-12-23
Coal Dealers
Admit Paying
Federal Clerks
CONTINUED from pago one)


figures was not made for the year July
I, 1919, to June so, 1920. MIR. Morrow
said he took the matter up with Di-
rector Smith of the survey-asked him
if there would be any objection to the
association paying the employees on
this statistical work, that DR.. Smith
said he saw no improperly in it, and
1t was arranged. Mr.. Morrow said it
was not the purpose CT the associa-
ton to interfere with the figures in
any way.
Sees No Impropriety
Mr.. Morrow told the committee that
he had apprised the Frclnghuysen
committee over year ago that the
association was paying for the Geo
logical Survey figures.
propriety about it," said Morrow.
at was perfectly open and above
board"
"Do you think it is perfectly proper
for an association of this kind to pay
the government for statistics in which
it is especially interested ?" asked Sen
ator Kenyon.
mo, not as a general proposition, -"
replied Morrow.
In this case. he insisted. it was
proper. as it was vital to the industry
that the figures should not lapse. lie
insisted the association did not inter
fcre with the figures.
Senator Kenyon, who recalled the
action of Congress in prohibiting use
of Rockefeller money or other outs de
money in payment Of Agricultural De
partment employees, reminded the wit
ness that the figures went out to the
public as government figures. He then
offered in evidence a letter from G. A.
Fenelon, of Galesburg, H., secretary
Of the Coal Trade Bureau. to the Geo
logical Survey, in which Fenelon insist
ed that unless the figures as to the
figure and not by districts the data
asked for would not be furnished. Mr..
Morrow admitted that the survey made
the change desired in Illinois.
Secretary Reed substantiatcd Mr..
Morrow's testimony.
Colonel Vent. the last witness, gave
facts about the purchases of coal by
the War Department.
Denies Selling to United States
Colonel Wcntz WAS questioned by
Senator Calder and others of the com
mittee as to whether he had sold coal
to the government, through the Wcntz
Coal Company, of Philadelphia, at Sl1
ton. Colonel Wentz is head of this
company and also mead of the Stonega
Coke and Coal Company and interested
in other companies. He denied any OF
his companies had sold coal to the
government at $ll ton, but said the
Wentz company was purchasing agent
for the War Department under an ar
raDgemcnt by which it was to get 80
cents a ton commission. 1T bought
about 900 tons. lie said purchases
we're made at different prices.
AS to the Stonega Coke and Coal
Company, Colonel Vent told the com
mittee that this company sold coal at
$3.50 the first six months of the year
and $3.87 the last six months. 1t ap~
peared that for the coal which Colone |
Wentz bought for the government the
War Department paid $500 to Sill a
ton. Colonel Vent said none Of his
companies furnished this coal. The
War Department coal was bought at
spot market prices. The members of
the COMMITTEES were mystifed over the
fact that the War Department paid
prices SO much higher than Colonel
Wentz's companies were selling coal
for. Senator Calder thought it seemed
"uueer,' but did not criticize Colonel
I Won't
"It doesn't look right" said Senator
/ Calder, that you mine and sell coal
for a profit at $3.50 a ton and as
agent for the government pay Sl1 IL
! ton. And am not criticizing your
integrity, either"
Senator Calder declared that AL
over America there is IN outcry over
the very conditions which arc brought
out here-that coal can be sold for
$3.50 at the mine, and yet the people
pay Sll per tom 1t was this situa-
tion, he added, that caused tho wide
:, Il Cos- It,x.
take over the mines
Colonel Wentzs men brought out the
fact that Secretary Baker ordered
heavy purchases to be made for tho
War Department. This. as Senator
Calder figured it, cost the government
about million dollars in commission,
and the government paid 81 to IS a
ton more than it cost at the mine
Much of the day wss occupied with
the testimony OF Vicc-Presidcnt Nor
row. Senator Kenyon, taking up docu-
menus and records from the offices of
the National Coal Association. o,les
toned him at great length to find ont
Just what the objects and activities
OF the association were.
Fought Government Ownershin
1t was clearly brought out that the
association was engaged in fpht;n,,
proposed legislation which il regardri 7
as hostile and supporting that which it
regarded as favorable It was work
ing. 100, against government ownership
or the mines. When it was proposc a
TO restore the fuel administration il Ia;
pored against this, In three wears. ac
! cordlng TO admissions of both Mr.. Nor
70" and Secretary Reed, it raised a
1und of about Sl,250,0O0 by assessment
on It's members. and has about $3.50 600
of this left
In the course of the day Mr.. Morrow
met wlths the committee behind closed
doors to ask that documents be not
used which were found in the Office,
OF the National Coal Association.
winch contained evidence Of impor-
tance in the cases against coal men in
lndlana who are directors or members
or the association. The committee ac-
ceded to his request
senator Kenyon, taking I'D with Mr.
MORROW several matters referred to in
me books and papers of the National
Coal Association, brought out from the
record of proceedings of the directors
and confirmed them by Mr.. Morrow. thar
the association wanted the Sherman
antitrust law changed so that coal on
orators could combine or cooperatc in
,he Standardization Of grades Of coal.
Morrow said the coal men wanted a
modification like the one obtained hv
exporters in the Webb -Pomcrene law
Government ownership and onoro-
! tion OF national resources was onnosod
oy the association in one of the resoIu-