IBRUARY 2, 1912
The Commoner.
3
POLOGIZING FOR THE "MONEY TRUST"
The Washington correspondent for the Chicago
fiPMbune refers to the efforts to prevent an
investigation of the money trust and says that
Mr. Underwood is opposed to the investigation.
is correspondent adds:
71$M'Mr' Underwood and other house leaders
'' haye counseled deliberation in the consideration
ojaall measures proposing additional inquiries.
;,Tiy declare that unless the present trend is
Snlm1 l n Vimion TtfJIl Vn iUvnrtorl frrm orrm
important legislation. On the other hand,
Bryan has urged that the house democrats
e it to themselves and to the country to prose-
te inquiries into the affairs of the money
itrust and other combines that are alleged to be
operating in violation of law."
IJWhat is more important than an investiga-
iS&tion of the money trust and this is made all the
'rcjSSre important by the determined effort made
.;,l5tthe leaders of that trust and public men who
fNim to be in sympathy with it to prevent any
investigation. ivir. unaerwooa may yet uis
iojoyer that the rank and file of democrats take
Ithe professions of the party on the trust ques
tion seriously.
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THE MONEY TRUST INVESTIGATION
Special dispatch to the New York Herald:
Washington,. D. C, Jan. 20. It became known
-frfPonight that the house may not Investigate the
'ffifMoney Trust." The fate of the resolution in-
"flrLi iiiiui:ru uv xlciii cnciiLaLiro vjuuiil4J .jl oiua
-I'MuJ - .- . . . -
bergli, tne Minnesota insurgent, is nanging in
the balance. A radical democratic member of
the rules committee, before which the resolu
tion fn nnw nan din cr. is authority for the state-
iVP . . - . , ..a . II i
mnt tuat mere win ue uo luveBLijjiiLiuu.
All of which makes a pretty kettle of fish
for the democrats. William J. Bryan, in the
issue of The Commoner which reached Wash
ington today, charged that powerful financial in
terests, centered in Wall street, were behind the
movement to prevent the investigation. For the
last few days democratic and republican mem
bers of the house have been receiving letters
r?tTriTr fliolf honlroi' nnnaf IHnsnf a rirnvlnf thnf fhav
,flA j ' - w x. y o
iuse their influence to call off the proposed inquiry.
Representative Oscar W. Underwood, of Ala
bama, democratic leader of the house and a pros
pective presidential candidate, is opposed to the
inquiry. He declares that the standing com
mittees of the house are well equipped to handle
matters of this sort and that what the country
demands is legislation not prolonged investiga
tion. Many democrats are coming around to his
iview.
The course of the Lindbergh resolution has
been peculiar. It is the only measure intro
duced by a republican at this session which has
come to the fore. At first it gave signs of be
ing the biggest thing before the house. Repre
sentative Robert L. Henry, of Texas, chairman
of the rules committee, did not hesitate to say
privately that he was 'certain it would be favor
ably reported and that it would result in start
ling disclosures. o
True, it was whispered around that the real
credit politically, if there was any, would be
long to Mr. Lindbergh, a republican, but the
democrats hoped that his connection with it
might be in large measure overlooked, after th
inquiry had got fairly started.
Samuel Untermyer, a New York lawyer, was
relied upon to furnish part of the excuse for the
investigation. Letters were exchanged between
him and Mr. Henry. Mr. Untermyer insisted
that there was a money trust and that it ought
to be investigated. It was reliably reported to
night, however, that Mr. Untermyer privately
told the committee that he did not think any
of the banks or persons responsible for the
existence of the "trust" had violated the law.
His idea was that the Sherman law was not all
it should be.
This rather dampened the ardor of the com
mittee. When the suggestion was made that
perhaps after all it would be better to go right
ahead with the question of bolstering up the
Sherman law Instead of wasting time on an
investigation it began to meet with some favor.
Along came the protests from "home," then th
clarion call of Mr. Bryan, and there w'as the rub.
The committee on rules held a secret meeting
today. Mr. Wickersham, attornoy general, and
Mr. Nagel, secretary of commerce and labor, woro
present. When it was over members of the com
mittee said that the proposed investigation of
the Harvester trust would not take place unless
the Stanley steel committee undertakes it in
connection with its other labors, that the pro
posed investigation of the foreign shipping trust
would be postponed for tho present, and that
more hearings on tho "Money Trust" resolution
would be begun next Monday.
It was hoped that those hearings might bo
ended within a week or ten days. No expla
nation of the delay was vouchsafed. Tho reso
lution has been pending before tho committeo
for several weeks and has been constantly under
discussion among tho members. Several days
have already been devoted to hearings upon it.
Mr. Wickersham told tho committee that tho
International Harvester company "was being
dealt with by the department of justice, and
that it was preparing to reorganize its business
to conform to tho department's interpretation
of tho Shorman law. Mr. Nagel joined Mr.
Wickersham in explaining that tho administra
tion had no objection to an investigation of tho
foreign shipping trust, but they intimated that
the senate ought to be represented on the com
mittee, because international questions might
be involved and. the senate was tho treaty mak
ing branch of congress. Tho house democrats
would rather keep their investigations to themselves.
IN THE GRASP OP THE MONEY TRUST
The following is a United Press dispatch:
Washington, Jan. 26. Expert evidence of tho
existence of a money trust "a growing money
oligarchy that threatens dangers as grave as any
nation has ever known" was given today be
fore the house committee on rules by Samnel
Untermeyer, for years a Wall street attorney.
He urged a favorable consideration of the Lind
bergh resolution for investigation of tho money
trust.
"It is because I am satisfied that we shall
never be able to legislate intelligently with
respect to the trusts or a monetary system until
we thoroughly understand this question that
underlies the others, that I am an earnest advo
cate of this investigation," said Untermyer.
"Behind the money oligarchy, will be found
a system, vicious and dangerous beyond concep
tion, but one that is still within the law.
"Whether a calm, judicial, painstaking, non
partisan investigation can be conducted on the
eve of a presidential election is for' you to de
termine. "As a result of recent solidifications of our
industrial and railroad corporations, tho control
of the finances of these corporations has drifted
into the hands of a few groups of men in Now
York city.
"These, by virtue of the control of the funds
of the corporations, have been able to build up
and dominate most of the great banks and trust
companies in New York and to tho influence of
the vast deposits for the enterprises in which
they are interested or which they approve.
"Within the past five yeai-s there has been a
concentration of this money power greater than
that known in the preceding fifty years. This
has been cemented through interlocking direc
torates in financial Institutions that were natur
ally competitive. These men are thus enabled
to assist their friends and punish their enemies
In the financial world 'and have their power to
crush competition and dominate the smaller
financiers and financial institutions.
"Under existing conditions Independent rail
road construction is at an end in this country
except to the extent that it may be sanctioned by
these Interests. Competition against any trust
or Industrial corporation for which they are
sponsors Is also impossible. Their ramifications
are so endless that the sources of credit are not
to be found for any new enterprise that conflicts
with their plans. Therein lies the greatest dan
ger of the trust.
"This same power dominates the New York
stock exchange and New York clearing associa
tion, both of which are beyond judicial and
executive control. TheBe banks and trust com
panies have been for yearB engaged in promot
ing and conducting on a vast scale speculative
enterprises In partnership with these groups of
financiers by whom they are dominated which
are foreign to their legitimate business and may
at some timo, If they miscarry, bring disaster
to the institutions and to tho business com
munity. "Wo shall never escapo from our present
plight until wo havo a national Incorporation
law. With tho states engaged In an indecent
strugglo for tho patronage of these corporations
and bidding against one another in laxity of
administration, it is hopeless to expect tho re
straints that aro necessary for tho just protec
tion of security holders or of tho public."
Untermeyer declined to clto specific cases, de
claring that "ho was not willing to discuss in
dividual cases, but desired to expose a vicious
system."
Ho did assert, howover, that tho money power
in New York was dividod Into four groups.
Answering Lonroot (rep., Wis.), ho said that
tho Aldrlch scheme of currency reform would
not remedy financial conditions.
MR. LITTLETON OBJECTS
Following Ib an Associated Press dispatch:
Washington, Jan. 27. Inquiry into tho money
trust has become one of tho most important
problems before the democrats of the house of
representatives, and with tho difference of
opinion existing among them as to tho wisdom
of such an investigation, as provided in tho
resolution of Representative Lindbergh of Min
nesota, Representative Henry of Texas, chair
man of tho rules committee, took tho positive
stand that tho inquiry was Imperative. In a
statement urging his colleagues to vote with
him to "turn on the light," Chairman Henry
assumed leadership of what may develop Into
a serious party fight before tho question is
settled. It Is known that Representative Under
wood, -the majority leader, and others, are op
posed to saddling any more investigating com
mittees upon congress at this time, but whether
pressure in this instance will bo strong enough
to convince them that it is tho duty of tho
party to delve Into the secrets of Wall street
finance remains to bo seen. It Is probable tho
matter will not bo settled until tho house demo
crats havo fought out tho issue in conference.
Speaker Clark, Mr. Underwood and others
today declined to discuss the statement issued
by Representative Henry in which ho positively
declared that tho party could not decllno to
prosecute tho proposed Investigation.
Representative Martin W. Littleton, though
not a member of the rules committee, which Is
considering the resolution, expressed opposition
to tho inquiry after a conference with some of
his democratic colleagues.
"I am opposed to the inquiry such as is pro
posed by Mr. Henry," Mr. Littleton said. "If
this plan followed a panic might ensue. Why
would it not bo better to admit that there is
a money trust, if such exists, and then set about
legislation to remedy the evil? What good is
to bo accomplished by an investigation based
on tho mere claim of some man that there Is
such a trust? An Inquiry such as Is proposed
certainly will create unrest among the people."
"There must be no scandal and muckraking
inquiry, but a wise, deliberate and effective
probe into the conditions of the trustB," said
Mr. Henry. He intimated he was prepared for
opposition from some of the democratic leaders
in the house.
"There should be no pussy-footing or gum
shooing by the trustees of the people now hold
ing seats in this congress," said Mr. Henry.
"Let the agentB of tho people stand up boldly
for their constituencies."
SAMPLES
The following editorial, taken from the Chi
cago Tribune, is a sample of tho fun "that is
being poked at the democratic party for the
efforts of certain leaders to prevent an investi
gation of tho money trust:
"If some of our most conspicuous Jefferson
ians fear the effect of a congressional investiga
tion aimed at tho money bags in Wall street
they only prove that the patriotic may yot be
human. There are times when even a Jeffer
sonian should wink as 'he roars, and certainly
such a time has come when the brothers in tho
cause aro endeavoring to form a pyramid for
plum picking puposes and are endeavoring so to
form it that it will be all apex and no base.
"This Is no time to poko an inquisitorial finger
into the money bags and make them grunt In
dismay and apprehension."