The sun., 1907-08-22

BY HIGH OFFICIALS MAKES
PANIC, SAYS MORGAN y. OBREBN.


mssskasie Pesfsrmanecs IN the seufh
Have Hesvsd Snake Coincidence.
Ex-Justice Morgan J. O'Brien, who re-
turned last week from Europe. views the
country's future somewhat peeamisticHlly.
He sscrtbes the present panic largely to
attacks on business made by mon In high
public once. In an interview yesterday he
said:
"On returning homo from q "trip abroad
I have been impressed with the nervous
unrest and disturbed condition Of our
people az compared with the orderly and
peaceful manner In which Europeans are
facing the present money scringency and
the probable business depression which
usually follows.
Tho fact that the city OF New York is
unable TO sell It's per cent. bonds st par
seems almost Incredible We are told that
IL 10 not unreasonable that abnormal money
conditions exist here IN view Of the de-
preston prevailing In OTHER countries. but
with fairly good crops high prices for our
exports and favorable business conditions
generally It is obvious that some other
cause must be found for our investors
panic than the worldwide scarcity OF money.
This panic 10 due to a growing lack OF
confidence in values. caused by persistent
attacks upon important business interests
and threats made by men holding high pub
lie office that other attacks Of a similar or
even more destructive nature are in con-
temptation. The entire business interests
Of the country are being arraigned without
limitation or distinction and the attacks
are falling. like the rain. equally on the good
and the bad.
That the great majority Of our business
men are honest and law abiding We know,
and because Of the bad conduct of some il
is manifestly wrong to arraign all. There
Is no doubt a strong and just resentment
against many corporations that have grown
rich on secret rebates and other dishonest
business practices. The people have also
nothing but condemnation for those de-
velopments Of haute finance which have
so frequently during recent years succeeded
in robbing stockholders for the benefit
Of officers of corporations or bankers and
syndicates capable OF controlling corporate
action. We are told that the time has
arrived when either the Government must
control the corporations or the corpora
tions will control the Government. and the
masses are prepared to accept as necessary
almost any remedy for existing evils. how
ever drastic
That higher standard of business
morality in the management Of corporate
and other important enterprises is desira-
bic cannot be denied. nor can ii be denied
that the rights OF the people should be
better protected in the future than they
have been in the past, But current criti-
cism of corporate management is too in
discriminating. Our business men are gen.
orally honest and conduct their business
with due regard to the rights of others.
General denunciation and threats cannot
fail TO aggravate the existing deplorabe
business conditions. The problem before
US requires for its successful solution sober
thinking and the highest kind Of statesman
ship. Mere rhetoric. threats and appeals
to passion and prejudice for political effect
are entirely ont of place. What is needed
is to find = remedy which will not be worse
than the disease, 80 that in roofing out
the tares the good wheat will not he rooted
ont also,
governments can best serve the people
by suspending the holy war which has
now come TO be regarded. whether rightly
or wrongly, as involving the general
stability Of business interests until the
courts have had an opportunity to pass
upon the legal questions involved in legisla
tion already enacted and in prosecutions
now pending. Surely appropriate remedies
can be found for existing evils without
we will be in much better position to deter
mine what new legislation. IL any. is neces-
ssry after the courts have rendered judg-
!, ment in the pending litigation. In a word,
the Legislatures have acted. the executives
have acted and we are now awaiting the
judgments Of the courts. Let us have
industrial peace until these Judgments are
rendered.
1T seems TO me. however. proper at this
time 20 point to an obvious distinction
sa fvox bDd
petition may be crushed by perfectly
lawful as we'll as unlawful methods. Tho
success Of all business organizations not
favored by special privileges derived from
toes rests upon capital and ability. Our
State laws generally permit the formation
of corporations with any desired capital.
Many States are now competing with
one another to obtain the revenue resulting
from the creation OF corporations with
large capital Does not large capital, to-
kether with exceptional business ability.
which IL is certainly not a crime 20 possess
or obtain, almost necessarily result in the
driving OF weaker rivals from the fieldr II
the law permits the organization OF billion
dollar corporation IL necessarily approves
in advance of what measure Of success in
competition with individuals and weaker
companies which the possession OF 30 large
ability, generally involves IL seems to me,
therefore. that II corporations are attacked
by the Government simply because they
are big and prosperous these attacks must
necessarily fail
There is q series of recent events which
have greatly tended to disturb confidence
in American securities both here and
abroad refer TO the remarkable per-
formances of Governors and other public
officials in the Southern States IL the time
ever comes In this country when the exer-
cise by Federal Judges Of their jurisdiction
is to depend upon the good pleasure OF
State officials. however high. government
which we have been taught to believe was
the best government in the world, and under
which material and moral progress has
been made during the last century OF a
most astonishing character. will be demon
strated to be fiat failure
Il fear that we are entering upon period
Of commercial depression in the United
States which will result IN great suffering.
especially to the working people. and IL is
the duty Of all public men TO do everything
in their power at the present time to restore
confidence" '''.