The commoner. (Lincoln, Neb.) 1901-1923, July 11, 1913, Image 5

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    The Commoner.
JULY 11, 1913
clined to give the committee further informa
tion. In 1897, Lamar said, Itussel Sage authorized
him to compel the Union Pacific to pay the gov
ernment $58,000,000 in bonds owing it. Lamar,
with Senator Foraker, came to Washington and
conferred with President McKinley.
"We were charged with being a pair of con
scienceless blackmailers," said Lamar, "but that
had no effect on us."
When Sage retired from business in 1001, on
Sage's recommendation Lamar became associ
ated with James R. Keeno. Lamar said he
warned Keene, when the latter was buying Union
Pacific stock, that the railroad would ruin him
to got revenge for Lamar's previous activity,
lie detailed how, when Keene and his associates
had $43,000,000 Union Pacific stock, he took
steps to enjoin the voting of certain stocks so
that E. H. Harriman would be compelled to
buy Keene's stock at a high figure.
With Keono's approval, he retained Lauter
bach's law firm and paid $25,000. Lauterbach
and Lamar came to Washington, paid Foraker
. fee and engaged him.
When the injunction was finally decided
against Keeno Union Pacific stock went down
and Keene and Iris friends lost most of their
"As a result of the panic of 1907," said La
mar, "Harriman, Kuhn, Loeb & Co., the New
York City National bank and Morgan & Co. be
came bound together as with an iron band."
"For the purpose of rendering my friend
Lauterbach a service," he said, "and to restore
him to his former friendly relation with Kuhn,
Loeb & Co., Jacob Schiff and tho Union Pacific
officials, I did have conversations over the tele
phone with the Union Pacific officials and others
and in those conversations I did use the names
of other persons. But there was no sugges
tion of a fee to Mr. Lauterbach. On tho
strength, of these telephone messages, Judge
Lovett came here and charged that Edward
Lauterbach had tried to blackmail him."
The Lauterbach incident, he added, paled into
Insignificance compared with a $82,000,000
forgery which he alleged was committed on tho
Union pacific books in 1901.
"I do not know who did It," said Lamar, "the
chairman of the board or tho officers, but I do
know this $82,000,000 was the fulcrum which
enabled Harriman and Kuhn, Loeb & Co., to
gain control of these corporations."
He described a double entry of $82,000,000
representing securities the Union Pacific as
sumed in taking over the Oregon Short Line and
the Oregon Railway & Navigation company.
The items, he said, were carried in tho "con
solidated balance sheet" of the Union Pacific,
June 30, 1900, but between that time and June
50, 1901, he alleged some one had erased the
$82,000,000 item from one side of tho ledger,
leaving it as a credit balance on the other side.
"They took all the securities of the Oregon
Short Line and the Oregon Railway & Naviga
tion company," he said, "and used them as
security for an Issue of bonds. They got that
money and used It to finance the deal for the
Northern Pacific and Great Northern transac
tions and the floation of Oregon ore and other
securities which they sold out at an enormous
(Continued on Page 10.)
The process of extracting political buncombe
out of the Caminetti-McNab episode continues.
Never before were so many gentlemen shocked
at a white slave case. Never before were so
many alleged virtuous persons thundering in
the index. More apostles of virtue are on dress
parade now than at any time in a century. From
the racket raised, one would think there never
was a white slave case before. Gentlemen are
holding up their hands in holy horror, and many
of them are gentlemen who have probably been
helping to perpetuate vice, who have been ex
tracting profits from vice and have helped to
furnish recruits for vice.
Young Caminettl Is vile. No postponement
of his case should have been requested' by the
secretary of- labor. Attorney General McRey
nolds ought not to have postponed the cases at
tho request of the secretary of labor. The
whole incident has been blundering.
But thousands of other cases have been post
poned by order of the attorney general. The
case against the Chicago beef packers was post
poned by order of the attorney general until the
packers finally escaped conviction by pleading
the statute of limitation in court. Not one of
tho gontlemen now yelling their heads oft was
up protesting ngainst tho order of postpone
ment then. Mr. McNab was not then so out
raged by a postponement that freed men who
have indirectly extorted millions from their
countrymen. Congressman Mann, who was
virtuously vociferous on tho floor, attacking the
president, never lifted his voice then.
The Sherman law has been a law more than
twenty years, and its provisions for sending
trust magnates to jail have been postponed by
republican attorey generals so consistently and
so studiously that not one captain of industry
has ever been jailed.
But no McNab has ever resigned before. No
Congressman Kahn of California has evor pro
tested. No Congressman Mann has ever been
But they are all whooping it up now, whoop
ing it up as though Young Caminettl were the
original white slaver and they the cleanest, most
virtuous persons outside of Paradise.
Young Caminettl will be thoroughly prose
cuted, and he ought to bo. But for the itch of
some gentlomen for office and but for their desire
to do something by which to exploit themselves
for office, he could have been tried, convicted
and punished and tho country been spared tho
hideous details of his crime. -.
Tho main feature of the whole hullabaloo is
the willingness of the McNabs and others to
capitalize tho nasty facts and a whito slave case
as a moans of getting official position. Portland
(Ore.) Journal.
One Mr. McNab of San Francisco, who hap
pened to have held over as United States dis
trict attorney for California, worked up a violent
wrath a few days ago, and forthwith telegraphed
his resignation to tho president for immediate
action. The McNab grievance was that a couple
of criminal cases which ho had a palpitating am
bition to try at once were postponed for a few
months, and immediately ho concluded that
there was a dark and deep-laid conspiracy hatch
ing somewhere in tho department of justice at
Washington. Whereupon tho president, hark
ing to tho McNab anxiety, investigated, found
that the California lawyer was wrong, and let
Mr. McNab out of a job precisely as tho lawyer
had requested in various kinds of language fol
lowing rather voluminous Intimation and sug
gestion. Now it appears to the satisfaction of every
one, save McNab and a few of his cronies close
to the singing waves of tho Golden Gate, that
there never was any intention of deferring the
trial of the cases indefinitely, and that every
thing was done in legal fashion just as Is agreed
every day in law courts to meet fair and reason
able conveniences. The accused will be tried in
the near future, but the prosecutor will not be
McNab. This will likely displease the gentle
man with the distended and vociferous vocabu
lary, but It will hardly hurt the administration
of justice much.
The McNab idea was to besmirch the character
of United States Attorney General McReynolds
and incidentally to play a little game of small
politics which might inure to tho standing of
the standpat wing of the republican party, of
which he Is a stern and inflexible pillar. But
between the president and the attorney general
they have effectually punctured the scheme.
McNab says the incident is now closed. So is
McNab, glory bo! Denver News.
Speaking to a representative of the New York
American, Senator Owen, chairman of the senate
finance committee, explained the terms of tho
administration currency bill, which he believes
will be enacted into law before the end of
"Some of the larger interests of the country,"
he said, "having set their heart upon the passage
of the Aldrich bill and having expended large
effort in educating the country In favor of the
Aldrich plan, have been discontented in two
very important particulars. First, the Aldrich
bill gave control of the proposed system to the
banks of the country, and, secondly, authorized
the banks to issue the currency to the country
under this system as bank currency.
"We have been unable to .approve these prin
ciples of the Aldrich bill, believing that the
federal reserve banks, having been established
purely for the purpose of stabilizing the com
mercial and financial operations of the people
of the United States, should be governed exclu-
flivoly by tha pooplo of the United States, and in?
establishing tho federal reserve board to exor
clso thoir governing function wo do not think
it proper to permit private persons to havo rep
rosontatlon upon such governing hoard.
"We think it no more roasonablo to grant this
authorize tho railroads to havo representation
and exercise a part of the governing power of
the interstate commorco commission. It would,
perhaps, bo but littlo different if the beef pack
ers should demand representation in administer
ing tho pure food act.
"It had been suggested that some of tho
largost national banks might go out of thin
systom and bi.como state banks. Wo feel Justi
fied In saying that there Is no reason to appre
hend that any national bank will go out Of tho
system because of the provision of this bill, but
that they will gonerally rejoice at tho oppor
tunity afforded them of having n moro stable
condition in the financial and commercial
Captain. Jack Crawford, tho famous pool scout,
delivered this prayer and benediction at Gettys
burg: Almighty, exalted Commander-in-Chief,
Dear Father, all wise, of tho blue and tho
Tho old guard is hero 'tis tho last grand relief
Of comrados and brothers who muster toda ;
And if from the hoavenly ramparts abovo
Old Abo and bravo Stonewall can look down
they'll see
This groat transformation of hato Into lovo;
TIs what they all prayod for Grant, Logan
and Leo.
And while our groat nation Is thankful today
For our glorious salvation, while counting th6
' COHt,
There's a tie that is binding the blue and the
In tho heroic army of braves that we lost.
Though loBt, wo in rovoroncc cherish each name,
And are eager to toll of the deeds they havo
While In northland and southland their glory
and fame
Are pictured and told In the battles they won.
Half a century has passed, and we muster today
But a thin lino of boys that we mustered of
And millions rejoice that tho blue and tho
Are united beneath tho old banner onco more;
And wo who survived, who returned from tho
Would ask Thee, Commander above, onco
To watch here, our actions, that wo In Thy '
May show that our comrades did not die in
Dear comrades and brothers, the widow is hore,
Tho mother, tho sister, in prayerful mood;
They come with a wreath and a memory dear
For tho grave of the loved ones who hero shed
thoir blood.
The sons and tho daughters of gray and of blue
Aro hero with our bright eyed grandchildren
They mot since the conflict to meet was to woo
And to win; Cupid captured tho blue and tho
God pity the hand that would strive to suppress
Tho growing affection that comes with tha
May it live in its glory and never grow less
As our thin rank the shore of eternity noars.
Raise your thoughts toward heaven, my
brothers in gray,
And in hallowed fancy a picture you'll see
Looking down upon us from tho bright reaimi
Are Lincoln and Jackson, Grant, Sherman
and Lee.
And now, as beneath dear Old Glory we gather,
Inspired by tho eyes of those heroes above,
Let this bo our slogan, our motto, dear
Fraternity, charity, loyalty, love.
Inspire by Thy blessing our lovo for each other,
Keep us ever beneath Thy most merciful ken
And strengthen tho love ties as brother meets
Through our few years remaining on eartk
soil. Amen!