Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-10-29
ANSWER TO MORGAN
Wall Street So Regards Suit
Against Steel Trust.
FORCED TO ACCEPT Def
No Other Course Left Open to the
Attorney General.
PUZZLE TO FINANCE KINGS
More Trouble Understanding Why
Country Is So Indifferent to
Their Woes.
Special Correspondence Of The Star.

4 Means have been canvassed In the d.
rectory and among heavy stockholders
looking to an orderly retreat from the
false position. A plan was tentatively
agreed upon by the ruling spirits for sub
mission to the full directory at its quar-
terly meeting next Tuesday. and at the
same time the proposition was to be ap-
proved ordering a cancellation of the
Great Northern iron ore lease. and also
carrying railroads. There was to be a
surrender all along the line. Advance
information reached insiders Thursday
morning. however. that the Department
of Justice would file its dissolution suit
before shutdown. At a hastilys called spe-
cial. meeting the ore lease and rate-cut-
ting parts of the program were adopted,
thereby beating the Attorney General to
it in one phase of his litigation. The
rest of the program was not ready, or
that. too. would have been put through
and a great tactical victory scored The
plan that is to be submitted to cure the
/ Objectionable features of the organtza-
| ton Is to segregate the corporations iron
ore holdings. its coal properties, its rail-
roads and it's cement interests, and turn
| them over to four separate and distinct
companies. the stock in which will be
distributed pro rata among the share
| holders of the parent corporation. The
trust insiders believe the plan will be
acceptable to the Department of Justice,
thereby bringing the litigation to a peace
full and satisfactory conclusion.
| Should this program go through as
| framed the market effect might be more
sensationally bullish than the dissolution
suit was bearish. and that would be going
some, for the price OF Steel common broke
8 points the day following the commence
ment of the suit, and the whole market
was demoralized. There were indications
of inside support on the slump. and the
old bull party was taking offerings on a
large scale and very quietly. 1t looked
like accumulation.
Market Is Uncertain.
The stock market is in pronounced
state Of uncertainty. The biggest and
wisest men in the street are just as
much perplexed as the little fellow. The
chief element of speculation is found
in national politics. It has been dis
covered. to the disappointment Of the
so-called big interests" that there is
an overwhelming popular sentiment be-
| hind the political movement for the
readjustment Of business. a closer gov
ornamental supervision of corporation af
fairs and a wholesale Endorsement
(outside of the banking and managerial
interests in the large cities) of the
judicial findings and decisions with re-
gard to the Sherman antitrust law.
| The idea which was held by many
| of the financial and Industrial leaders
that Congress and the people would be
| impressed and frightened by a stock
market object lesson" has been rudely
upset The great public which politicians
| try to represent doesn't seem to care
| a continental about stock market breaks
or even stock market panics. The argu-
ment that the big losses fall on widows
and orphans and other innocent stock
holders falls on deaf ears. 1t was the
same old talk that has been INDUCED
| in by stock market schemers and job
bers from time immemorial. Even back
| in the days of Commodore Vanderbilt.
Jaw Gould, Jim Fisk and Daniel Drew.
the great distress Of the market jug
| glers was on account of the poor widows
and orphans. There has been no change
| in the tune. and hardly a modernized
version of the words Of the song. The
public has become hardened to that
sort Of chatter.
Is No Longer Deluded.
| Wall street no longer deludes itself
with any false ideas that the campaign
for the further control Of corporation af-
| fairs Is going to be changed to the ad-
vantage Of INSIDERS There is a wide
spread sentiment that the readjustment
| of methods now in progress will result
eventually to the great benefit of the out
side public. which will have a run for
| its money. for the first time In history.
Chances for inside graft are in process
| of being cut down. and If matters should
| progress as they are now doing 1t may
not be long before the real investors and
stockholders will come into their own
| that is. they will get what they are en-
| titled to from the earnings of the bust
nesses owned by their associated capital
| Speculative banking syndicates and
schemers who prostitute the positions of
| officers and directors of railroads and in
dustrial companies to play the stock
market are in a fair way to be stripped
| of the advantages which they have hith-
| erto enjoyed. The game of exploiting the
property Of the hundreds of thousands of
| associated owners for the benefit of the
| few who are in control Of the financial
| management and operation has been
about played out, and the INSCRIPTIONS
| men who have built up great fortunes
| by devious Wall street methods and at
| the expense Of trusted interests are
| squealing in open distress. 1t Is unfor-
tunate that many Of these very rich men
order Of things pass away before they
| can be brought to face open punishment
Big Men in Fear.
Deep-seated fear and anxiety has
seized upon the big men Of Wall street
They are in no mood to run stock market
deals or to give heart and backing to
| others who might want to take hold
The sentiment that Is generated in Wall
the spectators look for leadership and
counsel are worried and troubled. They
| confess to bewilderment and doubt as to
| what the future may hold In store for
them, and they have not yet arrived at
that stage of education which permits
them to. see that the country can get
| along very well without their leadership
and without their continued direction OF
large affairs. Because their hands are
being tied. in q way. and their opera
lions. restricted they are obsessed with
| the notion that the world Is In danger of
going to pieces.
The wealthy men who have been all
powerful in the financial world are at
this present moment undergoing Gu
rious and painful process Of moral and
business regeneration and readjustment
The experience Is entirely novel and they
do not yet know what to make OF 1t. Men
who have heretofore been arrogant and
domineering. and who have defied law
and pub ic sentiment. have become timid
and hesitatinG They are up against the
real thing and they know IT.. It Is that
sort Of feeling which Is at this moment
overshadowing Wall street and the stock
market and until the skies clear and the
| the new order OF things there can be no
Not Especially Disturbed.
| The great army Of owners of stocks
and bonds of railroad companies do not
seem to be especially disturbed. Public
liquidation has not been nearly as gen.