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the twelve expelled spies from the PHI Union, and at the nost did not include
over fifteen to twenty nonbere. On September 2'7, 1937, Elsho announced
that he would reopen line B. lhen the liners reported for work, Oscar
Fclcet-ti, tm !Lne $nperintend_ent, rerneed to g argon; except L!!! Elllim
members, stating that Elnho had signed a closed contract with that Union
on Lngnlt 18, 193?. Le a result it was ispossible to reopen the Iine as
only approximately twelve asn sdnitted being URI nsnbers. thersaiter the
Pill Union picloeted Kine B.
Tbe Rational Labor Relations Board held an election at lin
December 15, 1937, to determine which Union the lnployees desired.
Union won this election by a vote of 401. to 25.
On December 13, 1937, Just two days prior to the IIRB election,
Elehott again unsuocseshzlly atteapted to reopen line B under the sane
circumstances as stated above, that is, on the basis oi hiring only till
.-._..-.l-@_-
On January 1., 1938, just prior to the date the HIRE certified the
Pl! Union as the bargaining agent for lne B, Elehoff again attllpild to re-
open liine B, and as before, Oscar Falcetti refused to hire any except UII
Union neubere, with the result that there were not enough workers to operate
the Nine. The {III contended that the election of December 15, 193?, I8-I
fraudulent, however, and although the Iejority oi the miners had been inter-
viewed during this investigation, no evidence eas uncovered to indicate tint
this was true.
G1 Hovenber 6, 1939. Blshott reopened line B on basin.
Investigation has disclosed tint although nenbera or both Uni ns were hired,
it iirpears that xii iieri Teri hired generally ind a a atter ct m-cc,
while aeny Pill nsnbecrs were turned dolm. Both prior and subsequent to the
opening or the line, the officials of the Pill! Union node frequent contact
with Elshott in an attempt to negotiate s contract. These omferences ao-
co-._g.'»n-ehed ebeolctely not-hing, it does not eppeer that there were arr;
specific differences claimed by either the PHI Union or Elshott eith the ex-
ception of the former-'s demand that the alleged spies be prohibited true sort-
ing at llins B.
Inveeti gation has also developed considerable evidence indicating
that Elnhotf and Oscar Falcetti, the line Superintendent, alloeed HIM Organisers
to opmly solicit union nuebership on the prenieee of line B during working
hours; boeever, they denied the some privilege to Pill Union Orgnieers, having
previously obtained a court injunction during the time the iiins was closed
prohibiting the Pm"! from entering El.shoi£'s property without pemission. Ihis
injunction was secured at the time Elshotf attempted to reopen Nine B in Decen-
ber 193? and the nine was picketed by Pill membere. Ho violence took place I.e_-...:.._ 44.2- -1 ,v--.|.1.... e.._..__... ll-I'.l.lJ§ hi-I-J.I [LUBE le.l-.8-IQ I-ll-FIG VIII;
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is itdioatad above, o'r1d=-na as "c-...- :.-ht.........-*-
tavoritien wee euployed in hiring UII mnbere in preferen
by Oscar Faleetti, Boperintendent of the line, at the tine it reopened on
November 6, 1939. Aleo, it Iee indicated above that Sllhoft and Falcetti
allowed the tell! union to organize on the prnieee during the working hours,
but the eale privilege wee dmied the PII Union. Eider these oircuneteneee
the new Union constantly gained in eeziuerehip, and after the Iiddle oi 1950,
both Elsho and the III Union changed their toner attitude end indicated
they desired tin NLRB to hold another election to deteraine the bargaining
agency for ll-inn B. The NLRB held an election to determine the bargaining
agency on February 21, 1941, with the result that the Ulll won the collective
bargaining rights by a vote or 259 to MB. On larch 9&1, the IILRB oerti--
tied the WW as the bargaining agent at lline B. 1913., just eidat
days later, Blehorf eigned e eloeed contract with ing accoupliehed
ineightdayewiththatlaborunionwhathehedre withthell
Union.
A aijority or the nine-rt lo:-'od it "-ino B on Ha, ll, 1937, .'=-::
been interviewed and a eubetential njoxity oi those interviewed indicated
a present preference tar the PM Union and eteted that they voted.£or the URI
Union at the lest NIRB election on February 21, 1941, becauee they believed, in
light ofpeet experience, thetinordertobe abletowork theyhadtobelong
to the UH Union, it being clear tint Elehoti would not eign a contract or any
eort with the Pill! Union. This would indicate that e. goat any uployeee at
lino B in 1937 were aware that they had enitered a deprivation oi their righte,
which it aill undoubtedly be necessary to shoe in the trial of tme caee»
F. line L Transaction
Cm September 2, 1941, eubject Elehoi! purchased line A for $60,000.
~ - - -- -1 ~ 1- shed UNI to Elehort, _:_: _e--1»! . .e'; .1: I . 'ee;a' ': I I:
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' t ' ne : .|.e . T92' . 5.1. .m oen wee omed by Iillien * orarih ehut doen
at the tine of the eale. Prior to the opening of line L, rumors were prevalent
that E-st-er? =o-old never 1'-topaz .2: Him "-.-.-.-"*=a the r-.pL:5'ccs ti.-. '-g~ed from %
Pill! Union to the UNI Union. The qployeea did a1':I!i1iate Iith the URI and
Klshoti immediately opened line L.
1 majority oi the ewloyeee oi lane A in 1941 have been interviewed
in connection Iith this inveetigation, and a enbstential Ijority indicated
that they voted to change Union affiliation to the URI believing that it eee
the onlgreayto hold their Jobe and kaeeplinelinoperation, in vieeoltln
tact that Eleho had purchased the lne with Ulll money-
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ititid 11-poi intii that owl? in 193'? i"u - Rea -e-nu.-"-""'""-m, 1 -oi the UNI local at Springfield, approached bin uith s propoeition
the Pith Union out of line L, but that he turned the propoeition doln
it t-3-e P1151202! ;@_H_=L=eeec.l Line A he ymmmoed hie int-eni:-ion to
operate the line through e eubterreneen pessege oomected with line B, which
would snsble hinto nee esployees ethane Btooperete theine. kayninere
till be able to teetity that this In e substantial teeter in convincing the
emlomeee oi Iine L that they should etfilte with the mar of he:-ice.
G. Panther Q-eek Coal Iinee transaction V
In the eerily pert oi 1942 Zlsm ettelpted to purchase the Panther
Creek Goal llinee, Springeld, Iliinoie, Ihinh were operating under FW eon-
trsct, tor $400,000 cash. Ir. Robert C. Solomon, President of the Penthou-
Creek Coll lines, stated that although the negotiations were unsuooeestul, it
ns seemed that inessmch es Elshoti hed no money oi his om, the eesh would
H. Iisoellnneoos Inoidente
lhmerous Iitneeeee have been developed in this e able
to teetiiy to ;_ngrou_e other bearing on the alleged unfair labor
precti in by Elshoff egeinst the Pl!!! Union during the time he re-uive John L. Dollie. For exeqale, it has been estebliehed
that Le number at o1£ioie'.Le or the WI Union ere personally very
friend]; with Blishotf end net with hie am numerous ocoeeions. ee, during
the tine ne B Ins elnt down Klshott bought brokerage ooel tron the Peabody
lines, Springeld, Illinois, et e wry advantageous price arrangement.
George I. Reed, Vice President or the Peabody lines, has ednitted that B;
Edmnndeon, President of the URI Local et Springfield, suggested that the
?eabocw Coupazw, which wee organized under the Fail? iixion, tsica steps to eeii
brokerage coal to Elshoti in 1937; however, he denies that there was enything
out of the ray in the treneecticn. In selling brokerage coal, nuns: bed en
outside eource of income at the time line B In-e not in operation.Ir
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1. Favorablo 1,3p¢Ci'-I of the Como -
| @w who can testify to tho tact:
regarding E1LshoI£'| attempted negotiation: Iith tho PIN Union from II-1,
1937 until 1941- It appear; that the utobliolnont oi the hot: regarding tho
nogotiations Ind the attqata by llaho to reopen lino B, as not torth nborn,
will of thunselvoa shun that 81-ahoff acted o.ro1trur11;' in favor of tho III!
Union and that the result of than truncation: nnountod to the freezing out
of tho PIN Union at line B, Springfield, Illinoia. It it tho Ibpartanth
intention, of course, to contend tint the activities of 81.82101! 1':-on 1937
to 1941, constituted unfair labor practical inthnt they worn o. violation of
the NIHA, which requires employer neutrality in union elections.
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' the not that EILehoI1' eceepted eubetential payments tram the Ill!
Union, granting whet does not appear to he the cue - that these peyaente were
legitimate lame, 1111 lead to the natural inference tilt ehott would not he
unhiued in e labor dispute between the III and the HUI, which 1e required of
hi: under the HIRA.
The fact that Eleho purchased line 1 in 1941 with $60,000 £urn:Leha <1
by the UK! end attempted to purcheee the Panther Greek Goel linen in 19/3 with
{MI money, I111 lend credence to the Department: contention that Ehhott noted
ea e front for the U1!!! in en attempt by thnt mica to u control of by nines
organized under the I'll Union in order to £1-eeze out that organisation.
B. Lepecte Possibly Ihfevorable to the Cue
The peqment 1n this case took place between 1937 end I17
18, 194.1. Unleee it e e the oom_i_3_1k9Z.1l-L1L1§..lB_?-J-93;_ext;e;1da throughthe Kine A g 'HFes fanaectione the Statute of Iltionl1 It in also notodj that ierel'nireTeerTfe Z 1:111 run in mine . M i" " 1 5;"
thiftii prosecuted under the Civil R1 s Statutes. e n , coupled Iiththe eg éee', 1I1mMum be need by the derenee
to their benet. ,
rm defense "I111 L100 undoubtedly ltreee the rm. um mu 1932 to
and the 1937, nunhere of the Pill Union enpged in violence nth the Hill Union
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?§_'**.-Fir:requests for investigation he will be informed that ixistructiojrxm-;£
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Irhcral Bureau of lnuutigatinn
initch at:-I Hcpartmntt of Dustin:
Springfield, Illinois
Director, FBI _
Re: Jon: 1..%921s, 21' AL.
cxm moms mo nonasrxc vxoxsscs.
192.,._ 2!: ._ 0I-Z11 DlI'I . -
Transmit ' the Bureauls copies of the report
of Special Agent dated at Spwirsgfield, Illimis
Dot-ob-er 15, 1943;
recent occasions Special Agent
an have conferred with United States rney .
. DOYI...-. a s request. These conferences were in the nature of informalI conversations concerning general aspects of the case. to one occasim
ET. 11311.8 advised that while he was in Washington, D. C. about two weeks
ago the Attorney General ir~.formed him specically, in the presence oi
various attorneys of the Department, that this was DOTi'LE's ca;g andthat he was entirely responsible for the ca
hevertheless it appears that any action BOYLE me. intend to
take will he corltirgent upon instructions he receives from the Departmen
Cn Gctober ll, 19-£3 WTYZLE advised that he had received a letter over the
signature of FRANK COLEISLH, Special Assistant Attorney General, advis-
ing that GOI.EI-deli would be in Springeld on October 12th or 13th to
assist DOYLE in proceeding with prosecution. However the letter indicated
that C-t.Jl.I.~.l=§i92£92. see to have s final confereme with T9}-I QARK, Assistant
Attorney General, before leaving Washington and DOXLE telephonicslly
contacted CLARK on October llth to ascertain the results of this conference.
He stated CLARK informed him that the case was still under discussion in
the Department and they were trying to arrive at a conclusion as to
whether the evidence warranted proceeding with prosecution. DOYLE saidthat CLAELK suggested to him that he discuss with ents of this officethe statements which had been made under oath .3' Qf
llr. DOILE has not thus far requested this office to ..._-Q
investigative steps in this matter but in the event he should makl*anyI3 IA d.1BCl1SS1OI'1 was wit D0it -Z Y1CEII1 fig 858 S 8111913 S Q45 J/&ECOR1-_-F5
, 92
nished this office require that requests for investigation be
through the Bureau headquarters in Washington, D. G It is
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Director, FBIV nt it is the intention of the Department that lir. DOYLE this office should be
that in the eve t should have authority to request investigation,advised immediately to that effect.Very truly yoursig
IRIJD HALLFGRIJ C.
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v-,1In-nes Tapped, 'Strikers ClaiSPRINGF1EI.-D, ILL. Oct. 1P!.--Illinois official: of thnited line Worker: mid to-day they lave an "underground"ilem nf mrnmunication be-Quse the Govgmmet ha,our phone wires.RA! Edmundson, IllinoiiUIW prcsident, aid tb'Wuhinzlon Icltlpo has com-lled the mine workgrl to OIck to ch: pony upresl sys-
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Ir. I.All.________ _
MI. Ni:L¢ll______ _
Hr. Bqll __________
Mr. h-;¢g____________
Mr. Lyn-1 ___'_________
Ill. Cl" ________
Hr. Hcnglun _______ __
Hr. ll;-gmfq-l _______
Ill. Btaxil _________ __
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Olivia Eehzral Bureau of Investigation '
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RE: JUHN L. IE.-'15, ET LL llr. Quinn Tamm___
_,_ BQQHTS ._l_LIjI_LPQ1,E$TIC Tole. Boom
Ir. Nun
lies Bnhm_______
llin GandyDIRECTOR. Ir .0 . ' '
7_._........_.
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1.-ee;
There, are attached for your iniormation_ articles which
appeared in thé'92_RI as2':ing;ton Times Herald and the-fH_e_s,Iork Daily
1.-Iirror on October 19, 1943- These articles beer the date lineSp d, Illinois, October IWJLB, and set forth the legtiby Edmundson, President oi t United line Workers Union, Springeld,
Illinois, that somebody in iashington is tapping ow office telephones and
my home phone. Ednmndson continued by stating, according to these articles,
that as a result of this practice, the LEW will establish an "underground pony
express" system oi communication among WW officials. The article in the
Times Herald nesspswr also contained the st-atment attributed to Edmundson
that "Washington Gestapo force has compelled the mine mrkers to go back to
the pony express." ,
The allegations oi Edmmdson, as set forth in the attached newspaper
articles, are, oi course, absolutely false, as there have not been any technical
survsillances or any kind employed in the investigation oi this case and none
are contemplated. In view of the nature oi the allegations made by Edmundson,
I thought the attorney General should be appropriately informed of the falsity
of .%:rm.ndson's charges.
Le you know, the Bureau has conducted an extensive investigation in
the captioned matter at the express request oi the attorney General to deter-
mine if John L. Lewis and officials oi the U5!!! Jr-ion, together sith Carl Ho
/I~.lshofi, owner of Liine B, Springeld, conspired in violation of the civil
rights statutes to injure and oppress Elsho.ff'e employees in the free exercise
of the rights secured to them under the Nat onal Labor Relations Act. Ls youknow, it was alleged that Doris paid t to Elshoff during theyears 1937 to 191.1, with the intent t impose unfair labor /przoyées upon his employees who were at that time meme-ers of the rival m-1ion,_/Lth ,_ regressive Mine Workers of L11-6I"i%%$OORDEU a ' <. 4/ w /
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92to the y neral,%' him that
this cs... iL
ACTION RBJOLDEINIIEIJ -r FD3 " 35n92DEX
There is attached for your approva. a
ing him copies oi the attached newspaper
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' '.92 »E _ . ;92_ niteh Dtatss Bepartmrnt nf Justice II-
Ur.CIe¢Q___________
Glsvls___,_,_____
Laid
Nichols
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Ben6en____,___,____
Ir. Kumu-_______
Ir. IeGuire_________
Barbe
Re: John L. Lenin et all In Quin Tm-m_
A _ civil Rights and -rq-. n»=m_______.
Dclnestic Violence Ir. Nuee___________
Iiss Belhm_______,_
it this time SAC Hall.92.'c|rd srhil talking to the BureauOn other utters also talked to gm? aw office
de- relative to this case and asked whether re we my her
velopnents inasmuch as the Springfield Office had completed
thing except a few very minor and inconsequential leadee SLO
ford said he had been keeping two men special on the case» October 21, 19L; Ir.
Ir.
Ir.
llE92l0RAN'DU92l FOR IR. D. I. LLDD
In response to his question, I indicated to him that we could
see no reason for disagreeing with him, that if he felt he could take
the Agents oft the case and utilize them to better advantage cm other
cases he should do so. they are assigned to the Springfield Qtfioes
He indicated he would p'r0ab]J do this-
In addition, he indicated that USA Doyle has not received myspecific instructions £1-an the Department, alth h has been toldthat he is in complete charge or the case» 1ge1 mMmtd tollr. Hallford that no advice had been received from e epartment rele-
tive to what action would be tel-can by it and the case as tar as the
Bureau is concerned at present is in statue quo-
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Officials of the United l e faorbrl of America; GIYIL RIGE-IS JED IDBESTIC ' -:/.H GAFL EQLSHUFF, or r oine B , Bgringfield, VIOEHG _ ~I I KEN L. 1.87.18 was president of the United {abut
""°" °"*= nk and Trust Company; Indianapolis, Indiana» -
, Th s bank -nss incorporated under the laws ofI 1 lndisne and voluntarily liquidated in November 192 of 1932. Articles of dissolution tiled sitii I* the secretary of state '1/15/£8. ' - -
v RUG PI . ' ' 92
1
92
=EF? 'ECl: Letter from the Springfield Field Division
A dated 10/25/4:5. , _ I ;
DETAILS: The Indianapolis Field Division was advised byI reference letten that JOE}? L. IJTIS appeared in _ 1 Indianapolis, Indiana between August 9, and August 15,I 1943 in connection with the voluntary liquidation 1
affairs of the United Labor Bank and Trust '-'-or:-gang, J
of which he 1-as resident. It was requested that -
this office deter;-ine if instant trust company was
doing business between 1931 and 1941. -5 _ B 'F "r92Dr92r _ 4-xr 1mm... nus, INIIAFA " """"*" *"*""~*----. 1
A ;
Ethe Uhlted
Labor Bank and Trust Company of which JGSI L. IEWIS »I was president was sold to the Indianagolis Clearing 1I House Bank on October 51, 1932 and vent into
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3 9 N0 2-Indianapolis LP ~' _ 92; észspringrieid 92.92'92A92929292;_p" _____,__________k 1
EGPIES nnsmowm . I
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- >»iIndpls. File 344-1?
liouidstlon on Hoverber 23, 1932.
Clerk's Office of the Secretary of 5tsto,
ini 39% i
used records regarding the baited Labor Bank and Trust Company, corpora-prod
ted uier the laws of the State of Indiana.
1 l.@The reoords_ref1ect that on ovember 25, 1952, on rooelpt us
a petition filed by more than Bq of the stock holders of the United Labor
Bank and Trust Company the ihreotors vere ordered to liquidate their affairs.
One Hundred Thousand Dollars was loaned by the Indiensgolis Qlearing House
association for this purpose. Ev Povember 39, l9;2, ell the liabilities of
the bark except liabilities to stockholders and all depositors had been paid
in full.
On Jctobor 7, 1925, the Union Trust Company, as trustee ibr
the Clearing House notified the United Labor Bank and Trust Corpany that the
i100,000.00 loan hsd been paid in full, ind returned certain uliouified
assets to the United Labor Lenk and Trust Company.
On October 7, 19;5, FLGYD 6. BELL, 151% Qerohsnts Esk Evil
Indieropolis, Indiana, was appointed as agent to receive unliouified assets
and to distribute them sruelly to stockholders. Articles of dissolution
were filed vith the secretary of state April 15, 1945.
_IF