Evening star., 1921-03-03
Z D. c. COAL MEN
INDICTED UNDER
ANTITRUST LAW
Charged With Adopting
Methods to Halt Small
Dealers Encroachment.
SAID TO HAVE CONTROL
OF SUPPLIES FROM MINES
PERSUADED Competitor Not to Cut
Prices or to Intrude
on Leaders.

Alleging conspiracy in restraint
OF the coal trade in Washington un-
der the Sherman antitrust law. The
District grand jury today returned an
indictment against w Hamilton
smith. general manager of the J.
Maury Dove Company: Ward W. Grif-
nth, trading as W. W. Griffith; Morris
r.. NARROW, president of the NARROW
Coal Company; Samuel NJ Frazier.
trading as S. NJ. Frazier: L. Evans
White. president of the l.. j.. White
Coal Company: otto q. Raymond. sec
retary-treasurer and manager of j.
l.. ASnew ~ Co: J. Edward Chapman.
president OF the J. Edward Chapman
Coal Company: Leonard T. Steuart
ana Guy t. Steuart. trading as l.. Il.
Steuart Il Bro: Maynard e. Burrell
president and manager of the Allie
gheny Coal Company. and William r.
Hummer, trading as w. F. Hummer a.
Co, coal dealers.
Joined as alleged co-conspirator is
Johnston II. Zimmerman. secretary of
the Coal Merchants Board Of Trade
and secretary of the board of di-
rectors of the Standard Coal Com
pany. The Indictment charges that
Mr.. Zimmerman "unla wfully has aided
and abetted the comr ,ission by said
other defendants of the acts" alleged.
The alleged conspiracy under the
law is made a misden eanor only. the
punishment being limi. ed to imprson-
ment not to exceed one year and a
fine not exceeding $1,000.
What Indictment Charges.
The indictment charges that from
March. 1918, to date. the accused be-
ing the largeE dealers in coal in the
District and having the advantages
of being able to purchase coal cheaper
from the mines than small dealers.
and of getting the use of dump
trestles Rom railroads under lease
and other advantages. adopted a
method for preventing the small
dealer from encroaching on their
business.
1t is alleged that the defendants
obtained control of the supplies from
the mines and of the single wholesale
concern-the STANDARD Coal Company
to which the local small dealers
look for their supplies when they
could not get them from the large
They are also charged with per-
suading small dealers to join the
Coal Merchants Board of Trade Of
which, it s alleged. the accused domi-
mated the various directorships for
the purpose of impressing upon the
small dealers the necessity of friend
ly. fraternal and ethical intercourse
in carrying on their business.
Small Dealers Persuaded.
The small dealers were persuaded
il is alleged. not to cut prevailing
prices or to take customers away from
each other. especially from the big
dealers. The CONCERN of the big deal
ers. it is charged. was to do every
thing in their power to drive out OF
business all small dealers who should
have the temerity to resist said CO.
ercion and compulsion or refuse to be
bound by the rules prescribed by the
accused" by preventing them from
procuring supplies of coal
The indictment concludes with the
general statement that all this has
resulted in great Inconvenience and
delay to consumers in procuring coal
money in excess of what coal would
have cost them if business had been
allowed to run in normal channels
free from the alleged. unlawful re-
straint charged in the indictment against
the defendants.
Criticises Road eMthOds.
The grand jury in a special report
to Justice Bailey in Criminal Divi-
sion No. .. criticised methods of the
railroads in dealing with the coal
trade of Washington. The report, sign
ed by Chris. j. Gockeler, foreman If
the jury. reads:
The grand jurors of the United
States of America. in and for the
District of Columbia, empaneled at
the January term. 1921, set forth they
beg leave TO call attention to the fact
that in the course of investigation
into coal trade conditions in the Dis
trict of Columbia, il has developed
that the railroad companies serving
the District do not maintain any
trestle- dump, terminal facilities for
the delivery of carload lots of coal
to consumers and small dealers dcSir-
ing to purchase coal directly from
the mines, but do lease all such faciii-
ties, owned by them. exclusively 20
the large coal dealers.
I'VE believe that such conduct of
the railroads is exceedingly detri-
mental to the consuming public, in
that 1T of necessity increases the
price of coal to consumers and small
dealers desiring to purchase coal d.
rectly from the mines