THE COAL VEND CASE

Otago Witness, Issue 3015, 27 December 1911, Page 26

THE COAL VEND CASE

DEFENDANTS CONVICTED. 9 HIGHEST FINE IMPOSED. ] INJUNCTION GEANTED. SYDNEY, December 20. Judge Isaacs, sitting in the High Court, has commenced the delivery of the judgment in the Coal Vend case. The task is expected to occupy him for two days. Shortly stated, the case amounted to allegations against the associated northern colliery proprietors and certain steamshipowners of entering into a contract to restrain interstate trade in Maitland and Newcastle coal in contravention of the Industries . Preservation Act and to the detriment of' the public. The defence was a general denial of the charges. In the course of his remarks Judge Isaacs said the whole course of conduct of both sets of defendants indubitably established that from the latter part of 1906 they were working together under some agreement. The evidence disclosed the existence of a combination, and its continuance down to the commencement of the action. Other important issues have still to be dealt with. , December 21. In the vend judgment, Mr Justice Isaacs described the combination entered, into by the colliery owners as obviously detrimental to the public. An increase in the price of coal was coincident with the operation of the combine's agreement. The whole drift of the judgment, as far as it has gone, is against the defendants. The reading of the judgment was continued throughout to-day, and it is still unfinished. Mr Justice Isaacs declared that the conduct of the defendants would indicate the intention to form a combine for the purpose of raising the prices of coal to a height limited only by the possi-r bility of obtaining them. Dealing with the shipping companies, he said they carr ried on the excess imposed by the vend, and were just as much responsible as the colliery proprietors. Before the combined agreement shippers played off one colliery against another. * The shipping defendants must be held'responsible, even if the detriment to the public travelled no further than the declaration of the excessive prices pronounced by the vend and executed by the shipping companies. But the detriment proceeded further than this, the companies using their powers of combination for additional advantage to themselves. December 22. Mr Isaacs has concluded the delivery of the Coal Vend judgment. •He convicted all the *o9 defendants of the several offences charged against them, and ordered each to pay a fine of £SOO, with the exception of the Associated Northern Colliery, because its individual members were amongst those fined. He also granted an injunction restraining tha defendants from a repetition or continuance of the several offences whereof they were convicted, and ordered the defendants to pay the plaintiff's costs. On the application of the colliery proprietors, he granted a stay of proceedings in connection with the penalties pending an appeal. In the course of his summing up Mr Justice Isaacs referred to the combination as a gigantic conspiracy. It was difficult to say how much the public were being overcharged for coal, but the figures indicated that the total had been improperly ,gathered. In their united efforts the colliery and shipping companies had reached a very high figure. Besides the detriment of the public in regard to price, there was a restriction in the choice of ooal. The vend and the shipping companies looked to no one's advantage but their own, and this they followed up wherever they could and to the greatest possible distance. The defendants gathered to themselves a giant's strength and used it as a giant, not only against the public but on all who stood or endeavoured to stand between them- and the public. The fines imposed were the statutory limit, and the total is £19,500.