Manchester Democrat. [volume] (Manchester, Iowa) 1875-1930, 1908-02-19

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SOME Secret History Of the Panic.
All the secret history Of the panic
and how the frenzied financiers and
trust magnates were at their wits ends
to stem the torrent Of bank failures
that threatened to engulf the financial
pyramid will probably never be known.
But some Interesting details keep com.
Ing to light showing the close cohnec-
tibn between politics and finance and
how impossible 1t ls for Republican
administration to escape aiding Wall
Street when called on. when the
financial panic WASH ut the height Of
Its fury" says that good Republican
authority, the New York Press, for
mer Judge Gary, the real executive
head Of the steel trust as the chairman
Of the most important committee Of the
great corporation, astohlshed the secre-
tary to the President by bursting into
his private office and demanding to see
the Chief Magistrate Immediately, but
commanding Loeb, first Of all, to get
up j. Plerpont Morgan on the lohg-dls-
lance telephone. The fdithfuL-1Loeb
was 80 dumfounded that for while
he was speechless. He. stirred at the
steel man, gasping for breath and flush
Ing with excitement. Then lie recov.
cred his dignity and frigidity, becom-
Ing again the stern guardian OF the
inner sanctuary, the unreliable cir
cult between the people and their
President
My dear sir he protested, but
you have no engagement with the Pres
ident. l shall be pleased to make one
for some future date Gary exploded
with a deafening roar. The tottering
business and financial world he
shouted, has made the appointment
for me. and 1t has made it for now,
this mlnute!' Loeb tried to soothe
him. If you will be seated,' he said,
4 will inquire Of the President wheth-
er he will be sufficiently disengaged to
See you today Judge Gary took a
grip on his voice and his passion.
Never you mind about his being dis
engaged he said. First Of ail you
connect his private telephone with j.
Pierpont Morgan's In New York. Then
hold the wire when you get It. Then
you go in and tell the President what
l say-that there is just one why to
save every bank in the country and the
Republican party from extinction. I'm
here to show 1t to him, and there is no
time to lose
Loeb took another glance at the
flashing eye and distended neck MUS
cles of the steel monarch, gave hur-
ried instructions for the long-distaiice
telephone connection, and darted into
the withdrawing office of the Chief
Magistrate of tile nation. In d mo-
ment he returned and led Judge Ghry
along the path to Mr.. Roosevelt. With
precipitation they passed through the
outer Cabinet chamber, thronged with
patient walters, and slipped behind the
folding doors between that and the In
ner room, which had been. cleared of
others for the advent Of Gary. Loeb
retired, leaving tile head Of the great
est country in the world and the head
of the greatest corporation In the
United States to take up the business
of stopping the widespread crash of
financial institutions.
What conversation took place be-
tween the two, what words were ex-
changed over the telephone between
the White House and the banking
structure at Wall and Broad streets
this writer cannot attest. The whole
affair consumed only few minutes.
Judge Gary emerged from the inter
view and hurried away on his return
to New York. Almost before he cross
Ell the doorstep of the executive offices
1t was known in Wall Street that the
steel trust would take over the Ten
nessee Coal and Iron Company; that
this would save n great banking insti-
tuition which was loaded up with that
stock; that thereupon the tobogganing
market would cease Its slide to the bot
tom of nowhere. When some one ask
ed whether this merger would not
bring the United States government
down on the hastily conceived and ex-
ecuted monopoly, the ticker tape show
ed 1t would nnt-telling the story with
rallylng prices and the restoration of
confidence. Nobody wanted any other
explanation; nobody cared"
Even our reforming President seems
unable to withstand the requests of
The Steel Trust magnatcs and this per-
haps explains why Mr.. Roosevelt does
not recommend to Congress the reyi-
sion of the tariff. The steel schedule
gives to the trust the highest protec-
ton and no Republican politician, be
he President or Congressman, dares to
disobey its commands. 3