The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-07-01
BRYAN ON BUSINESS REFORM.
SUGGESTS CHANGE IN SYSTEM
or CHOOSING DIRECTORS.

No Man Should Act for Two Companies Deal
ing With Eacis Other. He Declares--WiIl
Announce His Latest Views Of M
metalliSm When He Returns Home.
Special Cable Dsspateh 10 THE SUN.
TRoNDHJRM, June 30.-Before leaving
~Trondhjem for North Cape this weekWilliam
Jennings Bryan gave the correspondent OF
The SUN the following statement Of his
views regarding the scandals in business
circles In the United States which have arisen
since his departure last summer:
The only way TO restore confidence In
American business integrity at homo and
abroad Is to remove the causes which de-
stroyed II. II Is unfair to blame the dis
closures for the resulting loss OF confidence.
The disclosures have simply brought to
Light conditions which ought not to DO per-
mitted TO exist, and II We are going to pre-
vent the periodical repetition Of such revela-
tions our business must be put ON q different
basis. The remedies that have been pro-
posed DO far an I have seen are not sum-
oiently comprehensive. They treat with the
symptoms rather than the disease.
One OF the chief causes OF business
c~rookedness in America 10 the custom OF
making the same man q director In several
different corporations which deal with each
other. No man can serve two masters In
business any more than in religion, n q
man who is q director in two companies
doing business with each other is very apt
to sacrifice the interests OF one to the inter-
eets OF the other, A stookholder has q right
to complain II a director who is supposed to
look after his interests Is also employed to
6irnNf tho aHn ira If anNfhar OpnCarn having
interests directly antagonistio.
w found In the insurance investigation
that the directors were connected will all
sorts Of corporations which had business
dealings with the companies, and 1t was
largely to these associated corporations
that funds were diverted, Why not pro-
vide by law that no one shall be competent
to serve in the directorate of two oorpora-
tons dealing with each otherf Such q
remedy would be simple, but yet far reach
ing. Good business men are not so scarce
in the United States that it Is necessary TO
make n group Of %inanciers directors In
all large corporations.
The recent scandals are not the fault
of the American people at large, for COM
paratively few business men ave been
found guilty Of orookedness. The trouble
IS these few are prominent and they have
secured this prominence largely by figuring
on the direotorates Of so many big oorpora-
tions. The great majority Of American
business men are honest. but they have been
made to suffer in reputation by the law
~lessness OF the few. The quicker remedial
legislation Is adopted the sooner confidence
will be restored at home and abroad.
The regulation that ! have suggested
will also put an end to the custom Of using
the names Of big men in the directorate Of
corporations in which they have little or no
interest and who give no adequate attention
to their duties.'
Mr.. Bryan say 1t is his intention to make
a full statement Of his latest views on bic
metallism soon after his arrival in America.
at the end Of August.