Daily press. [volume] (Newport News, Va.) 1896-current, 1909-01-07
SAYS SENATE IS TOO |NQu|s|T|VE
Admits He Approved Steel Merger
to Save Business Firm in New York
Name not Given-Hurls Defiance
at senate-iustructs sonaoarte Not
to Respond.
(By ASS ciat. PreSSl.


in no uncertain terms that he had
given his approval to the absorption
of the Tennessee Goa! L Iron Com
Iany by the United States St,t! Cor
poration, and that he had instructed
Attorney General Bonaparte ct to
the reason for his failure to prose
cute the steel company
The President concludes rs mes
sage with the st"teIrent that he does
not conceive it ITO be within III" au-
thC-ity Of the Senate TO give d:rec-
ticns Of this kind 10 the head Of de-
paTtment.'
The message to the Senate is in re-
spo:se to a resolution introduced by
Senatac- Culberson calling on the At
tcrney General to state whether he
had brought an action against the
steel company. because Of its acqui-
sition of the Tennessee concern, and
IL not. the reason for noc-action
Attorney General consu.ts Chief
While the resolution was no. dl-
rected to the President his attention
was called TO it by Attorney General
Bonaparte.
The President says: LAS to the
in question, I was person.
ally cognizant of, and responsible for
it's every detail. For the informal on
OF the Senate, transmit :: copy OF a
letter sen: By me TO the Attorney
General on November 4. 1907. as fol-
lows:
The White House, Washin-
ton, d. c.. Nov. 4. 1907.
MY dead Attorney General:
Judge E. H. Gary and Mr.. II. c.
Frick. on behalf of the steel corpora
ton, have just called upon me. They
state that there is certain business
firm (the name OF which l have not
been told. but which is OF real i'm
por;ance in New York business cir
cles) which will undoubtedly fail
this week If help is not given. Among
its assets are a majority Of the Sc
crrities OF the Tennessee Coal Com
pany. Application has been urgently
made 20 the STEEL corporation to pIT-
chase this stock as the only means
Of avoiding failure.
Motives Unseifish.
Judge Gary and Mr.. Prick informed
me as business tranc"ction the 10
not care to purchase the stock: that
under ordinary circumstances they
would no. consider purchasing the
sock. because but little benefit will
come to the steel COro,,retion from
he purchase: that ,h"v are aware
hat the purchase will he used as
handle for attack iron them. ~ the
ground that they are striving to Sc
cure a MONOPOLY Of the tusinesss and
prevent competition. not that tfis
would represent what could honestly
be said. BIZ: what might reck!cssly
and unt-u,hfully be said.
compsny's Policy Moderate.
They inform mc th.t IS : matter
CT fact. the r>licy OF the company
has been to decline 10 acquire more
than sixty per cen. Of the STEEL prop
city aud that this purnosc has been
prcecTyed in for several yeas past.
with .re object OF preventing thcs.'
accusations. and as ? matter ~ fact
crop, rtion Of steel properties has
slightly decreased SO tina; II is be
low sixty per cent. ard tho acGHisi-
ton Of the property in question all
nv, raige I; above sixty per cent
"'Brt they feel that II IL immcns" =
" TO their interest. as 10 tho Interest
Of every reasonable business man
10 try to ureveD. a panic md genera
ir iustrial smashuv A. this time. and
tina, they are willing 10 20 into this
transaction. which they woald not
Otherwise 20 into because II seems
the opinion Of those best fitted TO cx'
press Judgment in New York that 10
will he an impor'an; factor in pre-
venting a break tina; might 30 run
ous: and tina. has been urged upon
them by the committee OF the most
responsible bankers IN New York. Who
are thus engaged In endeavc7.rs TO
n