The Arena, Volume 4, No. 21, August, 1891 — John Shaqi
The Arena, Volume 4, No. 21, August, 1891Various
History
The Arena, Volume 4, No. 21, August, 1891
Various
American literature -- Periodicals
Controlling rates and the distribution of cars, railway officials have
driven nearly all the mine owners who have not railways or railway
officials for partners, to the wall. For instance, in Eastern Kansas,
on the line of the St. Louis & San Francisco Railway Company, were two
coal companies, whose plants were of about equal capacity, and several
individual shippers. The railway company and its officials became
interested in one of the coal companies, and such company was, by the
rebate and other processes, given rates which averaged but forty per
cent. of the rates charged other shippers, the result being that all
the other shippers were driven out of the business, a part of them
being hopelessly ruined before giving up the struggle. In addition to
gross discriminations in rates this railway company practised worse
discriminations in the distribution of cars; for instance, during one
period of five hundred and sixty-four days, as was proven in court,
they delivered to the Pittsburg Coal Company, 2,371 empty cars to be
loaded with coal, although such company had sale for, and capacity to
produce and load, during the same period, more than 15,000 cars.
During the same time this railway company delivered to the Rogers Coal
Company, in which the railway company and C. W. Rogers, its
vice-president and general manager, were interested, no less than
15,483 coal cars, while four hundred and fifty-six were delivered to
individual shippers. In other words, the coal company owned in large
part by the railway and its officials was given eighty-two per cent.
of all the facilities to get coal to market, although the other
shippers had much greater combined capacity than had the Rogers Coal
Company.
During the last four months of the period named, and when the
Pittsburg Coal Company had the plant, force, and capacity to load
thirty cars per day, they received an average of one and a fourth cars
per day, resulting, as was intended, in the utter ruin of a
prosperous business and the involuntary sale of the property, while
the railway coal company, the railway officials, and the accommodating
friends who operated the Rogers Coal Company, made vast sums of money;
and when all other shippers had thus been driven off the line the
price of coal was advanced to the consumer.
On another railway, traversing the same coal-field, the railway or its
officials became interested in the Keith & Perry Coal Company--the
largest coal company doing business on the line--and here the plan
seems to have been, in addition to the manipulation of rates, to
starve other mine operators out, and force them to sell their coal to
the Keith & Perry Company, by failing to furnish the needed cars to
those who did not sell their coal to the Keith & Perry Company at a
very low price.
Public-domain text, read in full here on John Shaqi.
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