The Oskaloosa herald., 1912-07-18
MORGAN RAPED BY
STANLEY REPORT
Roosevelt and Perkins Also Sc
verely Criticized.
ASK LAWS TO CURB TRUSTS
Members Of investigating
Committee Find That U. s, Steel
Corporation Has No Monopoly
In This Country.

Washington, July 16.-The Stanley
committee steel report, with recon-
mendations for legislation to curb the
United States Steel corporation and
other giant monopolies Of the country
will be made public the latter part OF
next week. Daily conferences on the
report and accompanying proposed leg
islation are being held by Chairman
Stanley and his colleagues.
Representative Young, ranking Re-
publican member of the committee.
has prepared minority report which
he has submitted to the other Repub-
lican members. 1t il large measure,
a defense of the steel trusst. 1t holds
hat the steel trust has no monopoly
If the steel business of the country or
If the iron ore.
Recommend New Laws.
Legislation recommended in the
Stanley report will cover the follow.
ing:
The prohibition of ownership by one
corporation in another corporation.
Prohibition of holding corporations
or industrial concerns.
Requiring industrial concerns to re-
inquish control of common carriers
10Th railroad and steamship lines, and
'estricting them strictly to the opera
ion of plant facility roads.
Prohibiting monopolistic control
through leases or ownership Of ore
'odies or other raw material.
Declaring illegal all friendly rate
nd price agreements and meetings
UGH as the Gary dinners.
Colonel Roosevelt, ]. Pierpont Nor
an and George w. Perkins are criti-
lied severely In the report for their
onnection with the purchase Of the
roperties Of the Tennessee Coal and
ron company by the steel trust, which
urChase is condemned as illegal I'M
err the Sherman antitrust law.
Morgan Severely Criticized.
A separate chapter is devoted to the
ctivities of Mr. Morgan in the steel
usiness before the steel trust was
)rmed, and with reference to the or
aniZation of the steel trust. 1t tells
ow Mr.. Morgan first got together a
lumber of steel tube mills which an
xpert valued at s17.000,000. Some OF
hem were in bad financial shape, and
few showed large net earnings. Later
When threatened with competition by
ohm d. Rockefeller, these plants were
brown into the steel trust at a valua-
ion OF about $S0,O00,000. Following
his criticism of the gathering in by
Mr.. Morgan of extensive profits there
a discussion in the report Of the
onormous sum paid Mr.. Morgan for
lis services in the organization Of the
teel trust and for his work as fiscal
gent in the conversion of early bonds
the organization. 1t Is held that
hese excessive profits and charges
we're carried into the Steel corpora
ion and were responsible in part for
It's excessive OvercapitaliZation.
There Is caustic comment in the re.
port on the fact that Mr.. Morgan fed
he country to escape the subpoena
when he learned that the committee
desired his testimony in connection
With its Investigations into the steel
business and the part taken by Nor
gan in the absorption of the T. c. &
property. Mr.. Morgan has not re
turned.
Roosevelt ls Arralgned.
Colonel Roosevelt is arraigned fol
alleged violation Of the law when he
Is president, sanctioned the Stee
Trust-Tennessee company transaction
20 oblige Morgan and Judge e. II
Gary.
Mr.. Perkins activities in politica
campaigns and his connections with
political contributions is discussed. Re
greet is expressed that a majority Of
he committee decided not to compe
Mr.. Perkins to disclose all he knew
Of contributions by the steel trust fol
political purposes, to whom they were
given and for what purpose they wer.