New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-06-02
WORLDWIDE STEEL POOL
DENIED BY JUDGE GARY
Such Reports. Stanley Says, Led
to Investigation of Al
legged Trust.
GARY A FRANK WITNESS
Says United States Steel Corpo-
ration Controls Policy OF All
Subsidiaries-May Contra
dict Gates's Testimony.
frrnm The TRIBUNE Rureau.l

From The Tribune Bureau.l
Washington. June throwing rather
"chummy" with the House steel lnVesu'-
eating committee. ex-Judge +. II. Gary
chairman of the board Of directors OF '"e
United States Steel Corporation. to-da!
denied reports that he contemplated
worldwide pool Of steel interests ana
Chairman stanley of the committee IN
turn acknowledged to Mr. Gary that
such reports had led him TO introduce
his resolution demanding an investiga-
ton OF the alleged trust.
Aftey developing that the various sub
sidiary companies Of the steel Corpora
ton were more or less independent be-
fore the merger. Mr.. Stanley, by round
about questions. led up TO the American
Iron and Steel Institute, Of which MI
Gary is president. Gently MIR. Stanley
limited at the Cary dinners OF the IN
etitute.
'Is the press admitted?" he asked
Judge Gary said the editors Of the TRACE
papers attended the dinners.
Chairman Stanley then sprang his idea
that the American Iron and steel lnsu-
tute was a partially social. partially IN
dustrial institution. having for its ulu-
mate object the "steadying of the steer
markets Of the entire world. II seemed
10 he news TO Judge Gary. who declared
that the main object Of the institute is
10 collect and disseminate information
that NAV be Of use TO steel makers
Chairman Stanley then confessed that
he had asked an investigation OF the
Steel Trust because he understood that
Judge Gary was attempting TO perfect
world wide control of prices.
Judge Gary, who will resume his testi-
rnonv tomorrow, was not so spectacular
a witness as was John w. Gates, who
appeared last Saturday. The executive
head of the United States Steel Corpora
ton. however. told the committee that
his corporation had no information in its
possesson that it would not cheerfully
Law before the investigators. He invited
the committee TO send for data, records,
Capitalization statements and anything
else incidental to the conduct Of the steel
business in general, and the United
States Steel Corporation in particular.
Probed by Bureau Of Corporations.
The Bureau Of Corporations. explained
Judge Gary, had been examining the
books and records Of the organization
for five or six years
What" chorused Chairman Stanley
and Representative Bartlett, of Georgia,
do you mean 10 say that the Bureau
of Corporations has been at work on
this thing for five years and has not
made a report to the President"
You ought not 10 ask me to say what
rerort the bureau has made to the
President" answered Judge Gary Il
do not know personally as to that. l
understand. however. that the report is
ready. or will soon be. 1t is a big un-
dertakine. and the United states Steel
Corporation has spent several hundred
thousand dollars, no doubt, in getting
up the information wanted by the Blu
reau Of Corporations"
in its limited time the committee as
oertained that Judge Gary is a director
ir practically all the subsidiary com
nanies controlled by the United States
Steel Corporation: that these companies
and their policies are controlled by the
parent company. which reserves the
right n dictate the management Of the
subsidiary organizations and to dis
tribute their dividends.
one remark ~ Judge Gary indicated
that he may contradict John W. Gates's
statement that the Tennessee Coal and
Iron Companv was Squeezed" into the
nrfrrer. He was asked if the Tennessee
Coal and Iron Company was indepen-
dent.
Yes. I should say II was he an
yvered. 1T seemed independent when
# came 10 asking a price for the bust
ness"
He surprised the committee with the
statement that the Tennessee company
before its absorption. while nominally
.independont Of all other companies.
was very dependent, so far as get
ting a livelihood was concerned re-
mark which he quickly asked to have
eApunged from the record, and which he
said he had mo business to make He
told the committee that the coal and iron
COMPANY still owes the Steel Corporation
S1O167. 700 for money advanced.
L want 10 say to the committee
Judge Gary continued, that we are
willing now or at any future time 10
furnish any information YOU desire. All
you have 10 do is u ask for II.
chairman Stanley bowed low and
thanked Judge Gary, remarkins tat
e,t.r readjng newspaper accounts OF the
Gear dinners" he wished he were steel