The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1911-08-09
G. W. PERKINS.
MUST ANSWER.
OR GO TO JAIL
Ultimatum Delivered to Reticent
Steel Trust Director by
House Investigators.
WANT TO KNOW ABOUT
POLITICAL DONATIONS
Witness Tells Story of Panic of
1907 and Purchase of
Tennessee Concern.

WASHINGTON. Aug S-George
W. Perkins. n director OF the United
States Steel corporation and one of
the men said TO have aided in avert
ing financial disaster during the
panic or 1907. faces tonight the alter
native OF answering questions TO the
house committee OF inquiry into the
steel corporation, bearing on his per
sonal campaign contributions and
such contributions made by the New
York Life Insurance company, or OF
being cited before the bar of the
house OF representatives.
Should the house sustain the
majority OF the committee and order
Mr.. Perkins to answer and should he
then still refuse he may be adjudged
In contempt OF congress and i'm
prisoned. II is believed, however.
that this crisis will not be reached
Mr.. Perkins having expressed a de
sire to reflect on his position
Mr.. Perkins though personally will.
ing to talk about campaign contrI.
buttons, refused on the advice OF
counsel.
Story Of Panic Of 1907.
Mr.. Perkins aside from this turn
In the committee proceedings, told
the committee a remarkable story Of
the panic OF 1907 and the events
which made necessary the absorption
OF the Tennessee Coal * Iron com
pany, by the United Steel Corpor-
alton. He admitted the steel corpor-
alton had contributed TO his spread
OF protective tariff doctrine and veri.
fed records produced by Chairman
Stanley that the steel corporation in
1906 sought legal advice which di-
rected that, as a corporation, II
should not make contributions 10
campaign funds.
The witness was subjected TO a
rigorous examination by Mr.. Stanley.
relating TO the record OF the minutes
OF the executive committee OF the
steel corporation, at which Mr. Per
kins proposed a plan OF converting
S2Oo.oOO,0U0 worth OF steel preferred
stock into s250.0O0.OO0 Ave percent
second mortgage bonds. thus gain
ing S50OOO.OOO without costing the
corporation anything
In this section. Chairman Stanley
explained that the New York Life
Insurance company bought some OF
these second mortgage bonds. and
stated that this was one oc the rea.
sons why the committee insisted upon
the relevancy of inquiry pertaining
10 the insurance company. OF which
Mr.. Perkins formerly was vice presi-
dent and chairman OF the fnance
committee
High Financing Barred.
After reading the minutes in which
the bond conversion transaction.
Chairman Stanley asked.
Did you ever propose to operate
thi- transaction. so as 20 get SjV.-
O"H."cu for nothing"
SO -Ir. said Mr. Perkins.
You suggested this plan Of con.
version. did You not2
! anticipated you would question
mo on taa' Zinc and { hatc a prepared
statement couccrn.uE just what ] did
DO. said Nr Perkins. which : VIII
ak permission 20 submit later"
Well hy This transaction You
were f0 got &.".uH"uu1 more work
ing Car.tlle"
The rcf result was tD got $50 p0H. ..
o." at {l.5'".unn JOS. cost 20 year"
Said SIR P.rkus
.D.l you think 10 right morally o-
rfh.cti.y. 90 raf gsfUuru.a from y0lI
s'0,kho'dar-. without r0st@"
fhltk 'hc plan a- devised and
operated wr- ah.u.I','t right in
every particular
Squeeze out Water.
SIR Stanley quoted from fhn
minute. .r which Sir T.rku- WAS
quoted a. having Said "If 800 got iU
I"r cent of 'h" preferred stock u
"hfgafi0r. maturing .0 Gny y.lr..
VOC would lr creating sinking mud
Ccontinusd on = gh,h Pag.j