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36 THE COAL TRADE BULLETIN.
recent cases which are in process of adjudication.
As for the demand that each employer should make
a contract with the United Mine Workers covering
the questions of wages, conditions of work and
means of arbitration, the commission has already
denied the justice of this and instead suggested
modifications in the organization of the union for
the purpose of making it more responsible as well
as more attractive for non-union men. Mr. Willcox
quotes the commission's report as follows:
"It should be remembered that the trade union
is a voluntary social organization and like any
other organization is subordinate to the laws of
the land and cannot make rules or regulations in
contravention thereof. Yet it at times seeks to
get itself up as a separate and distinct governing
agency, and to control those who have refused to
consent to its government and to deny to them the
personal liberties which are guaranteed to every
citizen by the constitution."
None of the changes suggested by the commission
as regards the conduct of the union have
been made, Mr. Willcox says, and the whole report
has been dismissed by Mr. Mitchell as "based
upon premises which cannot be maintained."
In concluding his statement President Willcox
says:
"The existing conditions have, therefore, all
been the result of arbitration in which both parties
were represented. They have secured to the employes
a rate of wages which the commission held
to be proper when the prepared or domesticsizes
of coal sell at $4 a ton, with an advance as
the price increases, and have also provided machinery
by which all grievances have been adjusted
and which will be equally available for the future.
"The employers have shown no desire to disturb
these results, which have been so painfully and expensively
reached by arbitration and are willing
to continue the present arrangement indiflnitely.
"The present state of the industry is, therefore.
exceptional. All existing conditions have been
settled by arbitration, to which the employes were
parties, and the machinery has been successfully
provided through the conciliation board for adjusting
any future questions. The methods of
transacting business have been fully investigated
and have not been found objectionable in any respect.
What possible ground can exist for disturbing
this situation and subjecting the country
to the hazard of another anthracite strike."
The development of the Clearfield coal district
entails the building of a connecting link between
the Oil City road of the Lake Shore and the soft
coal road of the New York Central. The cost of
this improvement is figured at $5,000,000, for which
the money has been appropriated, it is announced.
SHAWMUT IN RECIVER'S HANDS.
The Pittsburgh, Shawmut & Northern Railroad
Co. was put into the hands of a receiver on August
1, by order of Justice Daniel J. Kenefick, of the
supreme court of New York. The order was made
on the application of Arthur H. VanBrunt, of New
York, representing the Central Trust Co., which
is trustee for the bondholders, and Frank Sullivan
Smith, of Angelica, N. Y., who has been acting
president and general counsel for the company.
was appointed receiver. His bond was fixed at
$100,000.
The following statement regarding the receivership
has been issued uy the company:
"The default in interest and the receivership
of the Pittsburgh, Shawmut & Northern railroad
company has become necessary in order to effect
a reorganization of the financial plans, for the purpose
providing for the extension of the road to
Pittsburgh, Buffalo and Lake Ontario, involving
the construction of 300 additional miles of road,
and the acquisition of additional coal lands.
"The present mortgage of $15,000,000, it has been
found, is entirely inadequate for the purpose of
extension and improvement, and the underlying
mortgages are to be supplanted by a larger single
mortgage. It was first thought that a general
mortgage upon the property providing for the
underlying mortgages might be practicable, but
financiers object to what is termed a sub-ordinate
lien, and therefore it has become necessary to revamp
the financial structure, and to save time and
exhibit the pians, the conipany has consented to
the receivership upon the appeal of the large
majority of the bonds."
The Pittsburgh. Shawmut & Northern railroad
was organized in 1899, forming the consolidation
of the Buffalo, St. Mary's & Southwestern and the
Central New York & Southwestern railroads.
Originally it was intended to extend from the great
bituminous coal fields of Jefferson, Clearfield, Armstrong
and Elk counties to the East, connecting
with the New York Central railroad at Macedon.
The same interests that originated the railroad
plans owned the Shawmut Coal Mining Co., with
13,814 acres of coal, and the Kersey Coal Co.. with
15,000 acres of coal holdings, all located in Jefferson,
Clearfield and Elk counties, Pa., and some
in Armstrong county. These properties were turned
over as assets ot the railroad and are now a
part of the holdings. In addition the company
secured valuable timber and mineral rights
through these counties, and upon all of these was
placed the bond mortgage covering the last bond
issue.
M. E. Hicks has sold his coal business at Byron,
Minn., to J. E. Troth.