New-York tribune., 1920-11-08
Seizure Threat
Alarms MANY
Coal alOperators
Representative Of West
Virginia Producers Says
Spectators in 7 hat
Region Are Eliminated
In City for Conference
Declares Fair Price Com
mittees and Restrictions
on Brokers Successful

cosl operators in West Virginia, cvi-
5sntlv alarlre st the prospect of gov
srnnent control of the industry, as
, threatened by Senator's Calder and
rdce. hsve succeeded in breaking spec
= ustive priccs, according to their rep
~esentstive. Everett Drenneu, who was
, "a New York yesterday.
Mr.. Dreunen SAYS that similar or
csnj-ed effort to eliminate speculation
& being made in the anthracite fields,
sbsre a far price committee has been
organized with S. D. Warriner, presi-
oen. Of the Iehigh Coal and Nsviga-
ion Company. as chairman. He pre-
j 6icted that coal operators sll over the
4 country would soon be bringing about
l5wer prices by esta blishing fair price
committees and eliminating the specu-
lator. who. he says, has been responsi-
Me for high prices and has brought
The coal industry into bad repute.
Mr.. Drennen is chairman oi the
tsir price committee Of the Northern
Wes, Virginia Coal Operators and
oresident Of the Vest Virginia Coal
and Coke Company. OF Elkins, ". Va.
Ne said that The results Of the fair
price committees work IN West Nir-
einis have been conclusive enough to
prove JLdN Lt1t+C - AZ AtNtSSAS- -QA
7uhlic interference in the Industry.
Opposes Naturalization
Our fair price committee has been
90 successful in eliminating spocula-
tion." said Mr.. Drenren yesterday,
'.has IN some cases prices have been
cut in two. The nationaIization OF
mines, or Federal control, woulj no,
solve The problems N this basic in
me naturel law Of supply and demand.
Unfair practices in the past have IN
auenced the price OF the commodity
% some extent, but these have been
eliminated by the coal men thems elves.
THE operators, by voluntary CO.
operaton. have shown that they can
control the worst feature in the dis
,-jbution problem. The illegltmate
broker. BY their cooperation with
the fair price committee enough coal
has been made available st extremely
reasonable prices to indicate general
relief
Spectators, lured by the prospecta
Of big profit, were drawn into the
game when prices began 70 rise owing
= the railroad congestion. according
U NJ. Drcnnea. These lnen. ne says,
nl- the anal puHs N the price bal
! p =
small part of the total productions,
it cealt with d large part OF the cur
,trt faoi supply o. tac private con-
sumer.
lions. which had led to com plants to
the Department 6 Justice, Mr.. Dren.
nen saws INC far price committee was
ggs"j jzed. I meets once d week and
has representative in each operating
district. Unnect ss~ry brokers or spec
g. ua-or- v-no hand on coHl from one TO
aao,aer have been eliminated, Nj
bremen ssvs, by : rubber stamp sys.
ZEN on orders, invoices and card man
tests, covering al shipments Of coal
',o7 the miNes.
The result can best be shown oy
via. happened in Nartiashure, Mr.
bremen continued MIR. Walker, INC
United states District Attorney. ha.
sad publicly that there was something
radica'v wrong when . c.y within
seyeutv-fNe miles Of the aree pro
iucinr l'.ds OF West Virginia was
forced 20 pay sl4 for coal which cost
= to 81 20 produces. He said that
fsir price for coal would he around 80
delivered When tho committee plan
went into effect We found that so much
coal was Offered Us by operators Who
thai Ne could offer coal At Sc st thr
mine. W. advertised that fact and the
resu't was Immediate Coal went TO
Martins burg and sold there, plus
freight al from s. to $3.50. tnc figure
that the iedersl Attorney said would be
reasonable. NC lopDed IS off the in
lated prlce a. one blow,
Operators ia the northern West Viz
rinla 'ield sill not sell 10 broker un
less the broker guarantees thAt no
more tlan one other broker viii handle
ne coal Il the coal is for export a a
guarantee las to be given that it viii
.ot be put bacs on the local markets.
ms vas TO prevent the practice Of
brokers' who bought more coal than
'ney needed for vessel, later selling
the surplus in the local markets at top
Prices. The result is that you can
20 down TO tidewater and buy West
Virginia coal at Sc plus the freight
ana brokers' commission limited to
lV per cent. The operators individual
have f'xed a maximum domestic
p'.cs OF IS for their product"
Where operators have shown an In
disposition to work with the committee,
according 70 Mr. Drennen, threat to
ieport tnem r. the Department Of JUS
nee has quickly brought them 70
Mr.. Drennen is IN New York to con
Ter - Carries ). Allen, secretary of
tne Wholesale Coal Trade Association,
which organization. he says, is adopt
,Ing the plan followed by the West
Virginia operators and refuses TO buy
coal without an understanding that
eniy tao brokers figure in the trans
action
Cit,'s Bin at Lowest
So far as the local coal supply is
concerned, New York dealers agree
mat there should be relief from the
Snrortage as soon as shipments to the
"est ny way Of the Great Lakes have
stopped Such shipments TO the West
f'ni7 end l9te thus month. when navi
cation on the lakes vii be closed.
meantime New York's coal bin is at its
lowest
:. SIX tors of coal arc wanted in New
iork for every five tons on hand TO-
cay, said Charles = Davies, president
o, Davies prothers. Inc. coal dealers.
ms refey TO the domestic sizes of
0oal. ]. should be remembered. how
ever. that New York is close TO the
MINES, and the situation here can be
.s""Nlec IN few days If actually nee
Unless there arc heavy storms be-
.ofe the first Of the year, greatly i'm
peolng railroad traffic, IL is felt that
cohd tiors viii be remedied by the
as the mines are producing and the
fsNroad situation is improved so far
az cars are concerned
Their will not be much coal 70
.ooS at IS the way one proninen.