The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-03
COAL 'SCALPER' Big
INJURY TO TRADE
Bcsiege Operators for Offers
on Tonnage Which They
Do Not Possess.
MAKE PRICES UNSTABLE
The BLACK Diamond Discloses
Work Here Of These
'Fly-by-Nights.'
MAKE PRICES UNSTABLE

One OF the conclusions in which coal
experts seem to agree is that the abuses
from which the industry ia suffering are
due in large measure to the manipula-
tions Of that particular breed of greedy
mddlemen whom the reputable members
OF the trade designate as "gyps" and
"fy-by-nights.'
In it's ninth annual export number. re-
Gently issued, the Black Diamond, organ
OF the coal trade. has much to say of
this class of gentry. and most Of it is
far from flatterlng
There are at work in New York city
alone at this moment says the Block
Diamond, easily one hundred persons
who are not coal men and who have no
legitimate connection with either pro-
ducers or consumers of coal who are
besiegng operators daily in every pos
sible way to give them an offer on their
tonnage. Now these interlopers do not
have legitimate offers for the coal upon
which they try to secure prices or con-
tracts from operators. They are trying
to secure firm offers of coal solely for
the purpose of having something to offer
legitimate buyer If they can find one.
IF every operator. as n duty to him
self and to the coal industry to which
he is a factor, would make these pests
prove themselves, he would soon find
that the real buying of coal continues
to come, as of old. directly through rec
'ognized and regular channels. But be-
cause to-day they get an offer from
some person formerly 4 cigarmaker or a
plumber or an ex-silk merchant, or any
one of the hundreds who are now pro-
Tossing to do coal business. and to-
morrow they get like proposition from
some other source, they arrive at the
conclusion that the need for coal is so
urgent that prices must stay up. Mt or
around present levels for months
Plague of Shysters."
In its review of the tidewater market.
the same periodical says under the cap
ton. THE Plague of Shysters" {:
zone of the unfortunate experiences or
the year has been the invasion of the
coal business by hundreds OF people who
have never had experience with coal
or shipping. and who have engaged in
the business largely as scalpers. trying
TO get an option on coal and line on
buyer, or vice versa. These irrespon-
sibles have contributed in no small
extent toward making prices unstable.
They have caused in many cases heavy
losses to ensue to foreign buyers who
entrusted them with orders. which they
never filed, or never intended to I'll!
unless they found condition where the
prices at which they could obtain coal
showed a safe profit under the prices
they quoted.
throughout the year frequent at
tempts have been made. on account OF
the shortage OF coal for domestic pur-
poses, to place an embargo on exports
Cities, communities and States have used
their influence in Washington to this
end without accomplishing their pur-
pose. 1t is understood that the Govern
ment has taken the attitude that certain
nations are dependent upon America for
a sufficient quantity of coal to keep
them in existence, and that there exists
in this country ample coal, and ample
means for getting it out, to take care OF
home requirements. II Is. therefore, not
necessary TO shut off our overseas eX'
ports. which until recently meant only
about three per cent. of the total pro-
tuction.