The Montgomery advertiser., 1909-01-07
GIVES SENATE CAUSTIC WORDS Roosevelt Sends in a
 Message. B0NAPARTE NOT TO REPLY President Alone Responsible for
 Non-Aetion. Be Approved Steel Corporation Deal, and that Settles It-TeIis Law
 makers They Exceeded
 Their Authority.

Roosevelt today informed the Senate in no uncertain terms that he had given his approval to the absorption of the Tennessee Coal and Iron Company by the United States Steel Corporation, and that he had instructed Attorney General Bonaparte not to respond to the Senate inquiry as to the reason for his failure to prosecute the steel company.
 The President concludes his message with the statement that he does not conceive 1t "to be within the author ity of the Senate to give directions of this character to the head of an execu' tive department"
 The message to the Senate was in response to a resolution introduced by Senator Culberson,4 calling on the Attorney General to state whether he had brought an action against the steel company because of its acquisi- tion of the Tennessee concern. and fl not. the reason for non-action.
 While the resolution was not direct ed to President Roosevelt, his attention was called to 1t by Attorney-General Bonaparte.
 "T Ann Responsible."
 The President says:
 As to the transaction in question l was personally cognizant of and re- sponsible for its every detail.
 For the information of the Senate transmit copy of letter sent by me to the Attorney-General Of Nov. 4 1907, as follows:
 r'The White House,
 Washington. Nov. (, 1907. My Dear Attorney-General:
 Judge E. H. Gary and Mir. H. C. Prick, on behalf of the Steel Corpora tIon. have just called upon me. They svRte that there is a certain business been told. but which is of real import ance in New York business circles) which will undoubtedly fail this week if help is not given, Among its ak- sets are majority of the securities of the Tennessee Coal Company. Ap- plication has been urgently made tc the Steel Corporation to purchase this stock. as the only means of avoiding q failure.
 Judge Gary and MT. Prick inform ed me that as mere business trans action they do not care to purchase the stock; that under ordinary circum- stances. they would not consider pur- chasing the stock. because but little benefit will come to the Steel Corpora ton from the purchase; that they are aware that the purchase will be used
  the ground that they are striving to secure a monopoly of the business and prevent competition-not that this would represent what could honestly be said, but what might recklessly and untrutheully be said.
 They inform me that as a matter of fact. the policy of the company has been to decline to acquire more than 60 per cent of the steel properties, and ho Pa5 in for several years past, with the ob. ject of preventing these accusations and as a matter of fact, their propor- tion of steel properties has slightly decreased So that it is below this 50 per cent, and the acquisition of the property in question will not raise it above so per cent.
 To Save a Panic
 But they feel that it is immense ly to their interests, as to the inter. est of every responsible business man to try to prevent a panic and general industrial smashup at this time, and thal they are willing to go into this transaction, which they would not oth- erwise go into, because 1t seems the opinion of those best fitted to express judgment in New York, that 1t will be an important factor in preventing a break that might be ruinous; and that this has been urged upon them by the combination of the most responsible bankers in New York, who are now thus engaged fin endeavoring to save the situation But they asserted they did not wish to do this if stated thai 1t ought not to be done
 "I answered that while, of course I could not advise them to take the action proposed. felt 1t no public duty of mine to interpose any objection.
 "'Sincerely yours.
 "'Theodore Roosevelt. "Hon. Chas. J. Bonaparte. Attorney
 General
 After sending this letter. I was ad- that, in his opinion, no sufficient ground existed for legal proceedings against the steel corporation, and that the situation had been in no way changed by its acquisition of the Tennessee Coal and Iron Company.
 T have thus given to the Senate al, the information in the possession oi the executive departments, which ap- pears to me to be material or relevant on the subject.
 'I feel bound, however, to add that have instructed the Attorney Gen. eral not to respond to that portion ot the resolution which calls for state nent of shis reasons for non-action. have done so because I do not con oeiye it to be within the authority of the Senate to give directions of this character to the head of an executive dapartment. or to demand from him reasons for his action.
 "Heads of executive departments are snhiect to the legislation and the laws nassed by Congress in pursuance oi iegislation, but to no other direction whatever.
 (Signed.
 "Theodore Roosevelt"
 "The White House. Jan. 6. 1909"
 The reading of the message elicited the closest attention of the small mum her of Senators present. His state ment that Congress had not the au- thority to call for the reasons of the Attorney General in rendering an opinion elicited smiles from Senators