The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-08-03

den prlvilege-an absolute rnono,,oi, e.,
valuable and necessary article of
commerce.
Dcmornlizcd ana DiShcnrtened.
from Julian Kennedy. an engineer
the committee traced me deyolo,n,o,,,
~ nhe National Tube Company -
subsidiary of United states Stoal r,.
j picrrcnt Morgan lie tola tho co,,
mittee that he investigated tho -o,,di-
% or the tube t-ai. ana found thar
''s actual value W these plants ala
ny exceed $leoyoo1o and that tho
owners We're demNal!zed aud ais
.'.'. .sleu Inc committee comments
on this situation as follows:
"Undlsmayed by this disma, ,.
T. Morgan & Co. with an amazi,.,
tudacity. launched this new $40 ooo mo
monopoly on its COURSE win 80,
equalization OF $4,000. 0on 80
,.ed as computation securities Of
ms concern aggTegating s20.Oooooo.
The Gary Dinners.
representative BeaN OF Texas no.a
STUDY OF the Gary dinners Influences
me stee! trade. lie wrote that nor.
49," u t"c report which deals with
IN us comment ca them follows.
accepting the dlnner OF January
IA, a. ia!rly typical OF the res, ana
lNe things said and done there "a 80
~ representative ~ the tbirps 81,
ma done al tho others. We tbfn,r
eohe4usion Us Irresistible thar
H"EE dinners We're instituted
means OF converting to the entire
'1el ana IRON Industry Information a
"""t me attitude cf tho UuIted
states steel Corporation was ,,on ~,
questions OF output and prices ana ~,
undressing upon all engaged In tho -,
'Nstly tN1t II was the part OF ,-is5r.,,
ana prudence TO govern themselves &C.
cordinsly.
We further believe tina, ny mis-
'"'a"s prices were maintained OUTPUT
.estf'eted. territory divided. CONNIE
'iiion stuffed. and trade restr.Ir..,,
avs. as certainly. jus; as effectively ana
!ust US un!awiully had been done
uHdeT the discarded pooling aereer,a-,fs
OF former years"
Representative McGmicuddv ,r,,
sluu'ed the labor condition in the steel
mills. found that the corporatio, H..
OPPOSED % organized labor ana ure-
ierred foreign labor.
Inc result" he says. is that about
80 per cent OF the unskllled labo-ers
n the steel and iron business az,
foreigners Of these classes with tnc
cement OF skilled American forer,7ar
such crew can work out results IN
unSkiiled labor production. Tho nro-
nus 81 this system or labor cmniovnent
80 to the steel Corporation while Tho
displaced American workman shirter
as best he could
roads and steamship lines by ths stecI
Nerporat!on the report says:
mere Is no question that public
interest requires "A segregation Of rail-
roads and the steel Corporation. The
control OF such public agencies by an
industrial corporation carries with il.
IN addition to the advantages which
ms record discioses. possibilities or
even greater abuses"
rnnic WAS Artificial
Tho part that United states s.ee,
the alb orption OF the Tennessee COL
and Iron Railroad Company. President
Roosevelt and WALL Stree, nnanciers
played in the panic OF 1907 arc cover
"a IN the report. and the !nsinuatton ,s
made that the panic was an artificial
enc designed for the beneht OF the
steel Corporation.
In It's comment The committee SAYS
How a panic which had pers,s,onfiv
resisted the combined efforts of rho
Federal government and John D.
Rockefeller and ]. p Morgan 6 Co
and remained in undated furv after
Morgan and Rockefeller had turned
loose Ssoe00ooO and the Federal
'tdSuF? S-otuuuvO more should SUD
Henly he stilled BY this manipulation
OF Grant B. Schlcy's loans. has not been
explained either by Mr. Roosevelt or BY
any other witness. Yet IT i urgently
maintained thar the panic continued
prior to this magical scoop of securi-
ties. and that the instant the steel
Corporation acquired the Tennessee
Coal < Iron Conpany's stock. il sub
sided instantly and permanently"
The committee reports that on Gctob-
CT PC. 1907. President Roosevelt issued
statement concentrating Secretary
/ Cortelyou and the business men who
headed or the panic. The committee
says of this:
up until the time of this interview
the Steel Corporation owed its success
and Its permanency to the power and
the skill Of the hnancicrs who had
Created ana the iron masters who had
directed its operations Since that
time its dominance has been due in no
small measure to the sudden. m-con-
sidered and arbitrary Nat of the chief
executive.
Tine Presidents refusal to interfear
was an absolute warrant to proceed 4
suggestion from him to tho Attorney
General was equivalent to a command.
and upon n refusal of the Attorney
General to act. the corporation was
.NHhl"H"' lHlS - admitted by Colonel
Roosevelt and he unhesitatingly as
sumes fun responsibility In the mat
ter"
Tho report occupies more than 200
pages and much OF 1t is criticism OF tho
methods OF tho trusts. Andrew Car
negies steel making methods ana his
desire TO extend his business are held
out as the motives which compelled i.
Pierpont Morgan and his associates to
! organize the steel trust.
StcTiing's Report
Representative Sterling. OF Illinois
Republican member OF the House
Committee OF inquiry int othe initial
States Steel Corporation disagreed
with his colleagues on the committee
and submii'sD the following % the
House.
"T hearty favor governmental resl.
lation II corporatlons engaged In IN
I terstate- commerce. The nrst step in
, this direction Is legislation providing