The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1908-03-18

Subject to differences which may
arise between powerful individuals Of
these different groups, resulting in
occasional collision, they are practi'
cally a monopoly and as so far as the
public is concerned, practically one
group, The business partner of the
head OF the Morgan group is found
on the directorate OF the chief inan-
cial institution which heads the Stand.
ard Oil group. And one Of the lead
ing directors Of the National City
Bank standard Oily is a member oi
the board Of directors OF the principal
financial institution OF the Morgan
group. The directors of the leading
organization comprising the two
principal groups are bound together in
mutual interest as shareholders in
the various industrial concerns which
have been financed by one or the
other of these groups in recent years,
Il remember that these 81 men who
are directors OF the two important
banking groups are not additional to
the list of less than 100 to whom !
have referred as controlling the in
dustrial life OF the nation, but part
of ii.
Fourteen OF the directors of the
National City Bank are at the head
OF IA combinations representing SS
per cent Of the capitalization of all
the industrial trusts OF the country.
"The railroad lines represented on
the board OF this one bank cover the
country like a network. Chief among
them are the Lackawanna, the Chi.
cago, Burlington and Quincy, the
Union Pacific, the Alton, the Missouri
Pacific, the Chicago, Milwaukee &
St. Paul, the Chicago & Northwest
ner, the Rock Island, the Denver &
Rio Grande, the Mexican National,
the Baltimore & Ohio, the Northern
Pacific, the New York Central, the
Texas & Pacific, the Erie, the New
York, New Haven & Hartford, the
Delaware & Hudson, the Illinois
Central, the Manhattan Elevated Of
New York City and the Rapid Tran
sit lines of Brooklyn. These same 23
through their various con-
nections, represent more than 350|
other banks, trust companies, rail-
roads and industrial corporations,
with an aggregate capitalization OF
more than twelve hundred million
dollars"
Speaking of the great stories of
money in New York in connection
with various industrial institutions,
Mr.. La Toilette continued:
with this enormous concentra-
tion OF business it is possible to Gre
ate artifciaIly periods of prosperity
and periods of panic. Prices can be
lowered or advanced at the will of the |
System. When the farmer must
move his crops scarcity OF money
may be created and the prices lower
ed. When the crop passed into the
control OF the speculator an artificial
stringency may be relieved and prices
and the illegitimate profit
raked off the agricultural industry
may be pocketed in Wall street.
IF an effort is made to make any,
one of these great interests obey the
law, it is easy for them to enter into
a conspiracy to destroy whoever may
be responsible for the undertaking."
He severely criticized the provision
Of the Aldrich bill by which railroad
bonds are to be made security for
circulation, and charged
that it was a scheme to defeat legis-
ation which might lower railroad
rates.
"As common carrier, said Mr.
La Toilette, "the railroad company is
entitled to charge sufficiently high |
rates to pay operating expenses and
l reasonable fair return upon the fair
value Of the property which it uses
,or the convenience OF the public.
This is the Standard and the only
standard by which to measure reason
lble rates. To secure the application
If this standard to the railway rates
1f the country has been the object
of a struggle extending over many
years. The courts have sanctioned
t. The Interstate Commerce Com
mission has urged it upon the atten-
ion Of congress and common justice
% the public interest demands it.
Tried by this standard, if railway
has grossly over-capitalized
is property it cannot rightfully i'm
bose upon the public transporta-
ion charge to pay any return or divi-