Martinsburg herald. [volume] (Martinsburg, W. Va.) 1881-1920, 1903-03-28


Arrest the Great Banker In Case
pnsted states Steel Corporation
STOCKS F~elI-Business of
american Trusts. He Says, would
Not BE Allowed In England.
In On interview with James Creel-
a the New York Worlds represent
ative, Whitaker Wright promoter of
the collapsed London and Globe Fl
lance corporation. declared in the re-
ceiying room of the Ludlow street Jail,
in New York, that there was no more
justification in his arrest than there
would be for the arrest of j. Pierpont
Morgan In case there should be an
shrinkage in United States
Steel stocks.
"What happened to me might happen
any day to the men who stand at the
head of any of the great American In
dustrial combinations" said Mr.. Whit
aker Wright. Take the United States
Steel corporation. with its hundreds of
millions of stock. Suppose that that
greatest enterprise in the world should
fail and its stock shrink $4,000 900 in
value. Would the people who lost their
money then nave Mr.. Morgan arrested?
Would he be to blame because they
bought watered stock at more than 1t
was WORTH
There is something ineSpressibly
z-o a..5 oaI,, oho,f AR WRIGHT He
is q large man-large in body and in
banner. The big, full head, wide face,
jowled jaws, deep, serious hazel eyes,
short nose, strong, fiat teeth, projecting
under lip, double chin, iron gray. coarse
mustaehe, large ears and powerful
neck go well with the deep chest n
short. massive figure. The hands are
broad, but nne-the hands of a practi-
cal man.
There was nc sign of the criminal in
this matter of fact personality. Even
in the place of his captivity he smoked
his cigar and talked with the air of a
business man accepting the hardships
of an unjust arrest.
Mr.. Wright has a deep, lazy and
pleasing voice. He speaks frankly and
has a sincere manner. He makes few
gestures. When listening to another,
he draws i'll ON his cigar slowly, II
then. when about to make an answer.
he lets the smoke issue from his lips,
throws back his big head and looks
earnestly through his gold trimmed
spectacles. 1t is hard to imagine a
more substantial type.
at is fortunate for the directors of
the American trusts that they are not
under the companies laws of Eng
land he said. ':They could not carry
on business there as they do here.
Your great industrial companies can
sell their stock at a discount. In Eng
land purchasers of stock must buy 1t
at par. You could not float your indus
trials in London. 1t would be impossi-
BILE to organize companies there on the
lines followed in America. The laws
would prevent it.
Now the trouble with the London
and Globe, British America and Stand
ard corporations. for whose failure |
have been blamed, was simply that in
q time of speculative enthusiasm he
public bought their stock for more than
it proved 10 be worth. AS the profits
and the prospects of profits grew lar
ger people lost their heads and paid
any sort of price for stock. 1t is al
ways so in periods of inflated values.
You have q situation like that in Amer
tea now. When the crash comes, some
people take their losses cheerfully.
knowing that they have only their own
judgment to blame; but some want a
scapegoat and a little blood.
THE warrant upon which l was ar
rested was sworn out in London by n
firm Of brokers which lost 100000 in
the failure, a sum which they had pre-
viously made in commissions. The firm
failed in the London Stock Exchange.
Mr.. Flower, the head of this firm, has
been trying for a long time to get sig
natures for a petition asking for Grim
iual proceedings against me. He seems
TO represent the revengeful loser In
open. legitimate speculation.
There was nothing fraudulent about
my companies. They We're created for
the purpose of buying n owning the
mining properties of other companies.
The three companies which failed had
Il capital stock of only 25,000,00O. The
other companies are all right. They are
still paying dividends, and the compa-
MES which failed are not without as
sets.
Take the Lake View mine, In West
crn Australia. 1t had a capital stock
OF $250,000. In three years it actually
paid $4,000, 600 in dividends-within
three years. 1t paid in dividends in
one quarter more than its whole CAPT
tai stock. The Ivanhoe mine, also Of
Western Australia. also paid more in
dividends thar its whole capital stock.
We actually owned the nickel supply
of the world. which was afterward
bought from us by Americans.
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