Gloucester County Democrat. (Woodbury, N.J.) 1878-1932, 1905-06-29
WASHINGTON LETTER.
WASHINGTON, b. e., June, 81, 1905.


fusal to permit his Secretary Of the Navy,
Paul Morton, to be prosecuted for his share
in the responsibility for the granting OF re-
bates by the Sante Fe road, (of which
Morton was vice President in charge Of
freight trafc) in violation not only OF the
law, but also Of an express Injunction Of
the court AS result Of the Presidents
refusal, Judson Harmon, iwho sat in Mr..
CIeyeland's cabinet at the same table as
Paul Morton father, and Frederick Jud-
son, who together were retained as special
counsel to prosecute the case Of the govern
ment against the Sante Fe, have resigned,
and the President has been compelled to
make public the correspondence connected
with the case, which be does with great
gusto and with the apparent conviction
that be is entirely in the right, but with
what competent judges declare to be an
aggregation Of the most spacious arguments
which were ever presented by high Of
fetal Of the government.
In the estimation Of prominent Demo
Gratis, and, too,of many leading Republicans,
the Presidents has seriously weakened. if
not destroyed his power for good. He has
established the dangerous precedent that
where corporations are caught in fagarant
violations of the law the officers response
BILE for such violations are not to be prose-
cuted, but merely the corporations them
selves. OF course this is absolutely farci-
cal as it means merely the infection of
fine on the corporations, when they are
found out, and fine of such small proper
tions as to act in no way as a deterrent
from a repetition OF the crime. With no
disgrace following the Preparation of such
illegal pract ses, the officials will naturally
regard it as their duty to their stockholders
to disregard the law whenever they believe
they are safe from detection.
Although Mr.. Morton virtually confesses
that he knew that his road was guilty Of
Illegal practices and declared that his sub
who granted the rebates, did
perfectly right, and that in no other way
could the road continue in business, Mr.
Roosevelt grants him entire dissolution and
assures him he need pay no further atten-
ton to the accusations which have been
made against him The President also
assures Mr.. Morton that he will make
splendid head of the Equitable, and then
proceeds to give him some inexpert advise
rs to how to conduct the affairs of that
Institution,
Speaking Of the Equitable, the President
expresses the view that all insurance ought
to be conducted under federal supervision,
despite the fact that the Supreme Court of
The United States has repeatedly ruled that
the federal government cannot, under the
constitution, exercise such supervision.
The President is also bound to be severely
sensured for the extent which be has
attempted to shield his friend Assistant
LOOMS, of the State Department,
whose conduct in Venezuela, as exposed by
Minister Bowen, while not proven to be
dishonest, is shown to i.ave been permeated
With that cardinal sin Of diplomatic indis-
,retion. 1t is also noteworthy that while
Bowen erred in attempting to rid the
government Of an official whom he regarded
IS dishonest and a disgrace to the United
States, Bowen is ANONYMOUSLY dismissed.
Loomis, on the other hand, whose sins were
Ill those Of seeking for personal gain. is let
off with mild reprimand.
Insurance Superintendent Hendricks re-
port on the affairs Of the Equitable Insur-
ince Company, just made public, reveals
5he fact that Senator Depew, Of New York,
nas been drawing retaining fee of
500, 900 year as special counsel for the
and has been accepting this
amount of the policy holders money for
twelve years, making a total of $3.50, geo.
as a director and member of the
Executive Committee, Mr.. Depew has also
been accepting additional fees of 81, 600 a
that in so far as can be ascertained, the
only service which Mr.. Depew returned, in
consideration of his $4,000 year fees,
was to see that the high officers were not
and 10 substantiation of this
it is pointed out that Mr.. Alex
ander drew salary of SO, 900 a year, and
that Mr. Hyde, four years graduated from
college, drew a salary Of equal amount
AS no one has suggested that the Depew
salary was meant to insure no undue inter
ference with the affairs of the Equitable by
the State Insurance Commissioners, it would
be highly improper for your correspondent
to do so, but there seems to be good reason
for believing that the honorable junior
Senator from New York will be subjected
to certain amount Of innocent chatting
when he returns to Congress next Winter.
The Navy Department is looking for pay