Las Vegas optic. (East Las Vegas, N.M.) 1908-1921, 1913-01-09
DESCRIBES A SHADY" DEAL
THEN EXPRESSES UNWILLING
NESS TO TELL WHO TOOK
PART IN THE OPERATION.
THE ORIGINAL EASY MONEY
FlNANcIERs PRoFITED BY DEAL
INTO WHICH THEY DID NOT
PUT A SINGLE CENT.

Washington, Jan. 9-Because ne re-
fused to give to the house money
trust committee the names OF "a ma
tional bank officers who profited in
syndicate formed to market stock OF
tba california Petroleum company,
George G. Henry of Solomon and
Company New York bankers, was
certified to the speaker OF the house
TO-DAY for contempt. The full banking
and currency committee voted unani-
mously for that action.
Henry testified that the national
hanks and national bank officers par
tieipated in a syndicate to the extent
Of 81 .OS5, 900, and, without putting up
any money or taking over any stock,
took profits of about $4,000. He
maintained that his confidential reia-
tions with his customers would mol
allow him TO furnish the names OF
ahe participants and presented
statement framed by former Senator
John G. spooner as counsel, justify
inc his refusal to answer.
George j.. Baker, chairman Of the
board Of the First National bank Of
New York. was a witness today be-
fore the house money trust commit
tee. Mr.. Baker, who with j. P. Nor
gan and James Stillman, makes up,
according to Samuel Untermyer,
counsel for the committee, the most
powerful group Of financiers in New
York, was called to testify as to the
financial relations of these three
men. the institutions in which they
are factors and the funds they con
troll.
Baker testified that in 1874, the
capital of the First National bank
was $500 900, increased in 1901 to
to s1OOOO,OO By a dividend of So
100000. Surplus of $11,641,0OO was
left after that dividend. He went
over the yearly dividends since then,
showing they ranged from 20 to l26
per cent. In the last four years diyi-
dends Of 226 per cent have been paid.
In 1908, besides a regular dividend OF
80 per cent, an extra dividend Of 100
per cent was declared for organizing
the First Security company to do
business not authorized by the ma
tional bank act. He said the company
did little business in stocks.
Mr.. Baker tesuncd that in 1902
he owned individually more than one
half Of the stock of the Chase Ma
tional bank. None. he said was held
by the First National. He could not
saw when that control was acquired
but thought about five years ago. lie
said no assets OF the First Nationa
had been used for the purchase Of
the Chase stock.
Mr.. Baker testified that when the
securities company was organized
the Chase Bank stock and Other
bank stock held BY individuals III
the interest Of the First National
we're turned over to the company.
Mr.. Untermyer wanted a list 9
the stocks.
4 had rather not make those pub
lie" said Mr.. Baker ~They are oul
private business. I am perfectly will
ing. however, TO let the COMMITTEES
go over the list and place in the rec
ord such stocks as it believes pert
nent to the inquiry"
Mr. Untermyer. with Mr. Bake
and his counsel. went over the lis
AMI finally placed IN the record th
following LIST Of stocks held by th
First Securities company MinneaI
oils First National bank 800 shares
Minneapolis Trust company 200
Banban fnst eompany 26eos Brooi
iyn Trust eoHpaag 1f0i actor Ypf
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