Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1908-03-17
LA TOILETTE HAS
CENTER OF STAGE
In Severe Arrangement of AldriCh
Bill He Speaks on Sem
ate Floor.
PLACES BLAME FOR PANIC
lie Holds Up Morgan and Standard Oil
As the Moving Forces in An Arti-
fetal Period OF Distress.

Washington, March 17.-Declaring
that the recent financial stringency in
the country Was brought about by the
influence of STANDARD Oil" and ].
Pierpont Morgan. Senator La Toilette
Of Wisconsin, today in a speech prac
tically closing the debate on the AID
rich currency bill, entered upon a de-
nuncation of men high i'm the financial
world
There We're no commercial reasons
for panic said Mi La Toilette.
There We're speculative legislative and
political reasons why a panic might
serve special interests There were bust
ness scores to settle. There was legls-
latlon TO be blocked and q currency
measure suited to the system TO be Sc
cured. There was a third term to be
disposed Of and policies TO be dsicred
tied.
PLAIN PUBLIC DUTY.
"A panic came believe that it needs
only to be followed step by step to show
that ii was planned and executed in SO
Iar as such proceeding is subject TO
control after once in motion Such a
warranting it would deserve condem-
nation To withhold such statement
TO shrink from plain speech setting
forth the facts in SO far as they can
be uncovered is in the discussion OF
this legislation a plain public duty"
lie recounted in vivid language his
view of the events OF oct "a, when
Wall street was in the throes of the
currency stringency.
For the first time since the panic
began, 1880 Il. m. o'clock arrived and
everybody on the floor of the stock ex-
change was wildly seeking money at
any price. Interest rates which had
for several days ranged from 20 TO 80
per cent. began to climb higher Settle
ment must be made before o'clock.
Money must be Forthcoming or the
close of the business day would see
Wall street mass of ruins and banks
and trust companies on the brink of
collapse.
STAGE WELL SET
How perfect the stage setting How
real it all seemed But back Of the
scenes Morgan and Stillman were in
conference. They had made their pre-
sensations at Washington. They knew
| when ihe next instRlhnent of aid would
reach, New York. They knew just how
much 1t would be. They awaited its
| arrival and deposit. Thereupon thew
pooled an equal amount aud held H.
Then they waited Interest rates soar
ed. Wall street was driven to a frenzy.
Two o'clock came and interest rates
ran To 100 per cent. The smashing of
the market became terrific. Still they
waited. Union Pacific declined 1Oh
points. Northern Pacific and other
stocks went down In like proportion
Five minutes passed--10 minutes past
O'Clock. Then at precisely 2:15 the
curtain Went up with Morgan and
Standard oil in the center OF the stage
with money-real money. twenty five
millions OF money giving it away at 10
per cent.
And SO ended the panic
SQUEEZED INVESTORS.
How beautifully It all worked out.
They had the whole country terrtor-
lied. They had the money of the depos-
its of banks of every state In the Union
to the amount of five hundred million.
nearly all of which was in the vaults
of the big bank groups II supplied big
operators with money to squeeze out
investors and spectators at the very
bottom OF the decline. taking in the
stock at an enormous profit In this
connection the operations of Morgan
and standard oil furnish additional
evidence Of the character OF this panic
We have record proof Of their utter
contempt for commercial interests not
only for the country generally, but for
legitimate trade In New York city as
we'll"
The Morgan and STANDARD oil banks
he said, pursued in that critical mo-
meut the course of the specializing
bankers.
They minlstcred." he said. "to the
needs of wall street quite dear to tho
appeals Of commerce Their course
was that of men who were PLAYING
with the credit Of tbs country for
BACK TO 1898.
Mr.. LaFollettc reviewed the growth
OF Industrial reorganization from he
year 1898, which he said saw the be-
ginning OF that movement.
These congratulations We're az the
outset limited 10 those turning out
finished products similar in kind" he
said
within period Of three years fol-
lowing l42 organizations We're effect
ed. IN making those congratulations
the opportunity for a large paper cap-
tBlZation offered too great temp
tatiOn 10 be resisted. This was but
the first stage I'm the creation Of ne
titious wealth. The success Of these
organizations led quickly on to COM
solidauOu Of combined industries un-
N mere handful of men controlled
the Industrial production of the coun-
try The opportunity 10 associate the
reorganization of the industrial insti-
buttons of rhr country with banking
capital presented itself Such conuec-
lions were q powerful aid 10 reorgaul-
2atlOn ana offered an unlimited Held tor
speculation u was tremendous
temptation
lie discussed the economic deyel-
orment Of the country aud Iaid cs-
pcclal stress upon the growth of H.
nanc.ol combinations
EVIDENCE NEEDED
"Tbo bare rames ut Inc drec,urrs
of lwo great lank groups STANDARD
or and Morgan given Ia connection
Win their business associations i- all
IN, evidence that need be- offered ot