Evening star., 1911-08-10
INDUSTRY CANNOT GO ON
UNDER SUCH CONDITIONS
Even Price Regulations, He Declares,
Would Be Better.
BUSINESS WORLD IN FEAR
Denies That Bankers Brought or
Panic of 1907, or That Morgan
& Co. Rule in the Finan-
cial World.

c1al world.
George ". Perkins, the financier. told
the Stanley steel committee Of inquiry to-
day that the dissolution by the govern
ment of the Standard Oil Company. should
serve as "a red flag and danger signal
to every corporation in the United States
He declared corporations could not con-
tinue successfully under the present con-
ditions of the laws.
Though he did not agree with Judge
Gary that there should be government
regulation of prices. Mr.. Perkins urged
that something should be done to revise
the laws regulating corporations.
Danger in Present Conditions.
The government execution of present
laws was the fear of all corporations. and
the Standard Oil dissolution served as a
warning to every corporation in the coun-
try The existing conditions he described
as dangerous to the successful coItin-
uance of corporation business.
Though he did not wish to go to the
limit of submitting to government con-
trol of prices. he would welcome that
remedy rather than continue under pres
ent conditions.
Mr. Perkins also grew vehement when
asked by Representative Bartlett if the
panic of 1907 was not precipitated for the
purpose of running certain bankers. He
denounced that statement as absolutely
false.
Mr. Perkins denied that J. p. Morgan
Co. and associate bankers Of New York
absolutely dominated the financial at
eairs of the United States.
That Is not so," he said. when the
\ matter was put to him in the form or
J. question.
4 Plan to Prevent Panics.
Mr. Perkins was asked by Mr.. Gardner
II he believed the currency system OF the
country could be revised SO as to prevent
Q situation such as existed In the panic
Of 1907, when a group of bankers in the
Morgan library and the Secretary of the
Treasury alone saved the situation.
"One thing you could do Mr.. Perkins
declared, to stop speculation in New
York and prevent conditions which bring
On panics. is to prevent the banks of Chi
cago. Kansas City and st. Louis from
sending their money in the summer to
New York. loaning ii on call at cheap
rates, and then suddenly calling II all out
in the fall to move the crops. That creates
temptation to those who want cheap
money to speculate, and It gives US high
money in the fall. and trouble. / GER
tainly believe the situation can be reme-
died.
Books of Steel Companies.
Before Mir. Perkins took the witness
stand q conference was held between At
orney Lindabury, counsel for the steel
corporation. and Representative Stanley
If Kentucky. chairman of the committee.
elatirg to the production of the books
and records of the subsidiary companies
II the steel corporation demanded yes
eI day by resolution of the committee.
Mr.. Lindabury did not receive any Of
iciai copy of the resolution until today.
No announcement has yet been made as
70 the intention of the steel corporation
n the matter.
oakeigh Thorne president of the Trust
Company of America. arrived at the com
nittee room early. prepared to take the
stand.
L. G. Temple former secretary OF the
United States Steel Plate Association
vas also subpoenaed today. Chairman
Stanley stated that Richard Trimble. see
etary of the steel corporation, probably
would not appear before tomorrow.
Senate Committees Inquiry.
Representative Bartlett OF Georgis
opened the examination OF MIR. Perkins
on matters relating to the purchase o
the Tennessee Coal and Iron Company
You stated the other day, Mr.. Per
kins," said Mr.. Bartlett, that the thre
concerns In New York principally involved
at the time of the transfer of Tennessee
Coal and Iron were the Trust Compan.
NJ tha I'M ~
and the firm OF Moore & Schley?'
Yes, sir.
Did you not. in your testimony befor
the judiciary committee of the Senat
two years ago. refer only to one par
ticular firm being in trouble?
Ny examination there was very briel
II was not complete enough 10 bring ou
all the details.
Were you not given an opportunity I
maze full statement
Il tried TO make a full statement, bu
the examination was confined chiefly I
the actual details of the taking over G
the Tennessee Coal and Iron Company b
the steel corporation.
Did YOU not contine your testimony be
fore that committee 10 the individual q
firm and not refer 10 trust companie
banks?
THAT Senate inquiry was almost a tech
nical one about the Tennessee Coal an
Iron Company. They didn't go outsld
o. It."
Reluctant to Give Name.
Mr. Bartlett referred 10 a questio
asked AT the Judiciary hearing by Ser
ator Culberson of Texas about the ma
Jority of the Tennessee Coal and Iro
stock being held by one firm in Ne
York-Moore a. Schley. He also read a
answer of Mr.. Perkins in which he sal
that the situation was serious and chief
directed TO a certain institution" in Ne
York Mr. Culberson asked at that tin
IL the concern was corporation. bus
ness institution or firm.
Answering Senator Culberson. MIR. Pc
kins said that IL was IAN association
individuals that were in an embarrassir
situation" Mr.. Bartlett read how Sel
a.ors Culberson and Owen had press,
the witness again TO reveal the identi
OF the concern in question, and how NJ
Perkins finally said lit was a partne
- ship
Now" said Mr.. Bartlett, 1T is a IA
= Continued on Ninth Pase.)