New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-06-14
CLASH At STEEL HEARING
lindabury CritiCiseS Dickinson
for Leading the Witness"
J. B. w. REYNDERS TESTIFIES
Necessity for Holding Company
Point Involved-Luncheon
Restores Peace.

Jacob NJ. Dickinson. counsel for the gov
eminent. and Richard V. Lindabury. rep
resentinG the Steel Corporation. clashed
Yesterday at the hearing in the govern.
ments suit for the dissolution OF the AL
legged steel trust over the questions put to
witness by Mr. Dickinson
For moment the situation was rather
tense but recess for luncheon restored
eiuanimity, and the afternoon session
passed amid a general display of cordially.
J. Il. W. Reynders, vice-presdent of the
Pennsylvania Steel Company. was exam
ned by Mr.. Lindabury the process of
Indignation, and when Mr.. Dickinson took
the witness for redirect examination his
first effort was to shake the assertion OF
Mr. Reynders that a holding company was
necessary for the development of an in.
dustry Here the objections of Mr. Linda
bury set i'm. and the storm came to rapid
break.
Asked as to what the circumstances were
in recent years of the rivalry between ms
company and the American Bridge com
pany. a subsidiary of the Steel Corpora
ton. Mr.. Reynders said that It had been
conducted at runOusly low prices.
"Why?" asked Mr.. Dickinson; but be-
fore the witness could answer Mr.. Linda
bury shouted:
Il object. Judge. you arc leading the
witness"
Counsel for the government persisted anu
Mr.. Reynders said 1t was important AT
times TO take orders even at loss, so as
to keep plants running.
Mr.. Dickinson wanted to know whether
the bids OF the American Bridge Company
were particularly low during the last few
years, and Mr. Lindabury protested. say
ing:
II must object 10 your putting words INTO
the mouth Of the witness"
Il know OF no one who has done thSt
more than YOU" was Mr.. Dlcknsons re-
tort
Il object to your taking advantage Of
the fact that there Is no judge here to rule
what should go into tho record cried MT
Llndabury. you have practlsed law long
enough 20 know that what you are doing
Is not right"
II don't propose To submit n any per
sonal criticism" shouted back Mr. Dckin-
SON II am perfectly willing that you make
your objections on the record. but no
more"
The lawyers Glarcd at each other. and
Mr. Dickinson then proposed 10 take re-
cess for luncheon. thus breaking the ten
sion.
Mr. IIndabury asked Mr.. Reynders
whether steel manufacturers had acquired
coal lands I'm the natural development OF
their business. Tho witness said yes and
added that they started TO do that about
fyyenfy-nve years ago the Carnegie Steel
Company setting the example.
when you name the Carnegie company.
suppose YOU mean that Mr.. Carnegie
frequently started things In the steel husl-
ness?" asked Mr.. Lndabury.
II would rather say I didn't know who
started tho policy was the answer
A. +. Moxham, one OF tho associates OF
the late Tom J.. Johnson. told OF the sale
~ the Ioraln Steel Company TO the Steel
Corporation. through j. Il. Morgan co.
Tho terms Of the deal he said. were ar
ranged al a conference between him and
Messrs Morgan. Bacon and Gary, Ia the
Office OF Mr.. Morgan. The property OF the
company was appraised and the price paid
was around 10000 he said.
Everett H. Arnold, now with the stand
ard OH Company. told OF the sale ~ ~"
steel Corporation 81 the Troy Steel Com
uapv. which manufactured pipes for me
Standard OH Company. When the open
hearth process was discovered, MIR. Arnold
said, II enabled the Steel Corporation To
manufacture pipe much cheaper than the
Troy company could. with It's basic Bes-
semer process. As a result, the Troy com
many began TO lose money.