Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-12-20
MORGAN GOES HOME
Financier Ends Testimony Be-
fore Money Trust Probers.
CHARACTER GREAT ASSET
Always Taken Into Consideration in
Making Loans, He Says-Ad-
journ for Holidays.

After having told the money trust in
vestigating committee Of the House of
Representatives that there is positively no
way to control all the money in the coun-
try and that he would pay more attention
to mans character than to his assets
IN making him loan. ]. PierpOnt Nor
gan finished his testimony with regard to
concentration of holdings and left for
New York yesterday afternoon on a spe-
cial train. After The Stars report of yes
terday had closed Mr.. Morgan said that
in England there is considerably more &C
tivity in making mergers and Consolda
tions than in America, and he also said
that his belief is there is no great COM
bination Of American bankers. Mr.. In
termeyer asked him about his control of
the Baldwin locomotive works and the
American locomotive works. Mr.. Nor
gan said, that in spite of this centraliza
ton. he believed new locomotive works
would have good chance.
1.-THE railroads could not buy all their
locomotives from one or two concerns,
he explained.
interest i'm certain railroad lines and coal
fields. The consolidation of the Lake
Shore and Michigan Central roads into
the New York Central lines was brought
Up. MI MOISdI SdlO ne was thoroughly
in favor of buying up the competing lines.
Hoped to Better Situation.
Mr.. Morgan testified that he had Sc
cured a controlling interest in the Equi-
table Life Assurance Society and that he
had done it for the good Of the situation.
He bought the stock from Mr.. Ryan and
Mr.. Hartman. Mr.. Untermyer asked
i'm yyb fbo box
just as good for the situation in the hands
of Mr.. Ryan and Mr. Hartman, and Mr..
Morgan replied that he didn't know. and
that he had no more to say about it.
little more closely on the subject of
Equitable stock, but all Mr.. Morgan
would say was that he believed he had
done the right thing in getting control.
Mr.. Untermyer then offered state
ment of securities held by the Equitable.
Mutual New York and Metropolitan life
companies issued through Morgan & Co.
and now held by the insurance companies
as part Of their assets.
AS to the reason for the formation of
the First Securities Company, an adj
junct Of the First National Bank, and
the National City Company of the Ma
tional City Bank. Mr.. Morgan said he
thought they were organized to deal in
securities the banks themselves could
not handle. In the National City Com
pany. he said. he had small holding,
which he later said was worth at pres
ent value about $6.OO0,OOO.
do You call that a small INTEREST,"
Its not a controlling interest,"" said
Mr.. Morgan. 1T is not an investment
that requires constant watching"
Could Not Control Money.
Mr.. Lntermyer took up again the SUBJ
ject of the control of money. and Mr..
Morgan was emphatic in his statements
that there could be no positive control
of money. Mr.. Untermyer asked the
financier about the control of credit Mr.
Morgan was almost as emphatic that
such thing would be impossible.
suppose man had control of all the
credit?' suggested Mr. Untermyer.
IF he had all the credit and I had all
the money his customers would be badly
off, replied Mr.. Morgan. Credit has
no relation to the control of money. I
know many men with much credit and
little money.
Il know. men who will come into my
million dollars when they have nothing
back of them" he explained.
The committee adjourned shortly after
that explanation until o'clock pm. Janu-
airy g.
Throughout the long grind Of the ex-
animation Mr.. Morgan's daughter, Mrs.
Fl. b. Satterlee, and his son. J p Mr.
gan, jr.. sat Immediately behind tie wit
ness chair. watching their father closely
Within an hour after the hearing ad-
journed the Morgan party, with it's retnue
Of lawyers. was on special train bound
for New York.