The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1912-05-25

is complete. In this respect the Re-
publican national convention will diffel
from the Democratic, for at Baltimore
there are four candidates who are
prominent-Clark, Wilson, Harmon ans
UJnderwood-and two whose names VII
be brought to the attention of the con-
Sention by the instructed delegates
from their states. That means that
upon the first ballot at the Democratic
convention complimentary voting will
take place. The real struggle at the
convention will begin when Alabama
is called upon the second ballot.
The Coffee Prosecutions.
The proceedings brought by United
States District Attorney Wise, appar-
emily to compel the marketing or dis
tribution of many thousand bags Of
coffee now held in bond in this city,
are IikelySto give rise to some serious
international complications. Herman
SieIcken, who certainly is the agent
and really may be the diplomatic
representative of Brazil. so far as her
coffee exports are concerned, is one
of the master business minds of New
York-in fact, of the world. He is
the worlds greatest authority upon
all phases of the coffee business, ag-
ricultural. financial, manufacturing
and marketing. His knowledge is
encyclopedia. He ranks among the
very great financiers and has some
times had influential association with
some of the American railway promo
tons or financing. Mr.. Sielcken is so
thoroughly annoyed, even angered, by
these legal proceedings that his
friends say that he finds it almost i'm
possible to conceal his temper when
talking about the matter. He can not
be persuaded, nor can any OF those
who are interested in the coffee prop
osition, that these proceedings have
not been taken with a view to their
political effect. So far as the Ameri-
can bankers are concerned, they in
sist that their relation to this bonded
coffee is simply a normal banking re-
lation. The coffee is the security for
advances made by the banks. just as
cotton or wheat or any other agricul-
tural product is held as security for
the discounts of notes behind which
stand bills of lading.
These men, however, are confident
that if this coffee were owned by
Great Britain or by Germany the
United States would be very reluc-
tant about beginning suit, since legal
proceedings of that kind would in
volve us in very serious diplomatic
and International controversies. But
our government apparently has no
fear of Brazil, whose governmental
ownership of this coffee is unqueS-
toned. Apparently, somewhat COM
plicated question, involving the inter
probation of our antitrust law, Will
be raised by this prosecution.
The Defiant Banks.
1t was reported in this column at
the time Chairman Pujo of the COM
mittee of the lower house of con-
gress which has been instructed to in
vestigate the so-called money trust
be sent to all of the banks of the
United States, not only national but
state chartered institutions, that
bankers in this city believed that
committee of congress could not be
even by federal legisIa-
ton, to make inquisition into the af-
fairs of state chartered banks.
Some of these state chartered in
in New York and in Con-
necticut, and presumably in other
parts of the country, did, as a matter
of courtesy, answer the questions, and |
it is probably true that some bank
officers were fearful lest the refusing
to answer the questions cause them to
be committed for contempt The
president of a state. chartered bank
give the information, but has assert |
ed that he does that because the con- |
gressional committee has no power to !
reach into state bank. 1t is the
among lawyers here that !
the congress committee will not at
tempt to imprison for contempt the |
officers of any state bank who refuse |
to give this information, the commit |
tee being apprehensive that the courts |
would sustain the bankers. 1t is very
doubtful, too, whether the national
banks of New York or of Boston, and |
in fact many of the larger cities, will |
heed Chairman Pujo's request. So far
as is known, not one bank which is /
a member of the Clearing House asso-
citation has done any other thing with
these questions than to pigeOnhole |
them.
These banks have been informed by !
counsel. the banks at Boston were |
by Richard Olney, that in all prob |
a bility the courts would decide that |
the exclusive right to make inquisi- |
ton into the affairs of national banks |
is vested in the comptroller of the
HOLLAND. |