The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1909-02-04
AGRANT
VIOLATION
Of ANTI
TRUST ACT
Special 20 Dailv Leader.

special 20 DAllV Lealef.
Washington, Feb 1.-THE mask OF
patriotism which those geailemen put
on when they set out 70 get control
81 ihe Tennessee Coal and iron com
paDy was pretty effectually torn from
the faces Of Messrs. Gary and Frlck
ly Grant s. scaley while testifyinl
before the subcommittee 0f the son
ate commitge on judiciary Mr. Sch.
les was a member Of the iirm on
Moore & schles he. himself In com
pany with a Humher Of others had
wo years previously got d malorlts
Of the stock of the Tennessee Coal
ma lrca company. Their purpose was
develop Il as an independent con.
.egn. believing that because The
advantage OF having ron had coal
,nl Time III close proximity II could be
made not only the rival but the mas.
81 81 the United States Hteel corpora
Ion. anl TO this cad they assesse.
themselves three tlmes to make nee
'ssary improvements m lha neehln
ry
I'm e o4ut9zeu
THESE improvements we're nearing
ompletion when the panic came. say
ral Of The members OF The firm had
lypOthecated their stock. The firm o.
inore & sehey hal haroNed be,weer
ss.O00.0a and s6000,O00. Then thes
iegan to be Squeezed" aud the pres
iure was diminished only when the,
iad agreed to throw their stock Int
rool which was to regutlate for 10
sale % the steel trust The deal wa
nb1e. not with cash. but by The sub
fliullan Fl the lending banks Of tho
ionds OF the United States Steel anr
iulallun for stock Of the Tennessee,
oal and Iron company
so money was turned loose tp cas-,
be financial situation Noi only tht
manner ln which ne deal Was brought
shout bui the value Of It TO fho Unit
"a states Steel corporation Is q rein
ati0h pl Che plea fast the steel lrus
was reluctant 10 take over the Ten
aessae Coal and Iron compeny and dg.
/ only through motives or altrulsm
I atN@Nft't 4fNH tN3fIfHNH
Mr., SchIey testified under question
ING by Senator Culberson that III,
Fanaessee Coal ani Iron company
lwned between 5oo.000,00O ana 700
100000 tons Of iron ore. aud IN sucl
lose proximity as 10 enhance th'
value OF the plant about 2.000 .000.O0l
ons 81 coal Is located. The iron ore
| tself rs estimated as worth 81
0n AN this. with an mmens,
mount Of other property, the unltel
States Steel corporation got fo- s90
300 coo Of lls bonds
Called Financial Piracy
IN View OF these facts To quote
member Of the committee. tals tras
acti1a instead o. having tl;e patriotic
| quality which the President was mad
70 believe Il has. was as rank a cns
af financial tracy as has been con
mitlea III Wall street Ia many years
Il Is The general opinlpn ihat ta
testimony given makes II clear tha
| lhe transaction which the Preslaen
tacltly sanctioned @as fragrant yiC
lsilou OF the antitrust acf. For iha
reasen the Democrats Of the commit
tee will demand As The elimination
| gf ihls proceeding, that the Unite
States Steel corporation be prosecntel
under the sherman act Az least twl
| 9l the Republican members show
disposition 70 1oln with them. hu
among the majority bf the Republic
ans thera is stlll some evidence O
palhy. while their disgust iast the.
eyer permitted this resolution % pas
grows apace