The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-03-01
FIND MONEY TRUST
Two Bills to Remedy Financial
Conditions Presented.
Two Minority Reports Pre-
scented by Committee.

Washington, March Three diver
gent reports were presented to the
house today by the members of the
committee which conducted the money
trust investiga ton.
The majority report, signed by Chair
man Pujo and the six other Demo-
Gratis on the committee, found that a
money trust exists, according to their
understanding of the term This re-
port names as the most active agents
; in bringing about the concentration of
money and credit" J. P. Morgan az
Co, First National and National City
banks and Kuhn, Loeb & Co, of New
York, Lee Higginson & Kidder, Pea
body & Co, of Boston Two bills ac-
companied the report, one forbidding
. the use of tie mails to stock eXchang-
es which fail to observe prescribed
stringent regulations as to the conduct
of their business and the other pre-
scribing rigid rules for the conduct of
national banks, their officers and clear
ing house associations to which they
belong. This report is substantially in
accord with the conclusions presented
to the committee by Samuel Untermyer,
counsel.
The first minority report, signed by
Representative Hayes (CaL), RepreSen-
tatives Head Oel.) and Guernsey
(Me), Republicans, set forth that the
investigation has not disclosed the
existence of any so-called money
trust but added sit has, however, dis
closed dangerous concentration of
credit in New York city and to some
extent in Boston and Chicago"
While agreeing substantially with
the majority said the report con
many of the abuses to be corrected in
the financial system, the stock ex
changes and the clearing house asso
Citations. the undersigned have doubts
as to the wisdom of some of the reme-
dies proposed by the majority
This report further sets forth the be-
lief that before definitely recommends
ing any remedial legislation testimony
should be taken covering more fully the
effect of the various changes in the
laws that have been suggested
1T is manifestly impossible" the
report concludes, that any of the pro-
posed legislation can be considered by
this congress and it seems thus wise
to leave the matter of recommends
ton of complete remedial legislation
to those who will be charged with the
responsibility CT formulating and re-
porting such legislation to congress-
NIcMorran Disagrees With Report.
An individual minority report filed
by Representative McMorran (Mich.),
Republican, was flat detailed. dis
agreement with the recommendations
and findings of the majority.
while 1 believe that attention has
Deen called " grave QeUcl6nC1eS In our
financial laws, L also believe that a
sinister light has been thrown over
banking practices which was not JUS
titled by the facts; that no effort has
been made to show the reasonable and
commendable explanations of these
practices and that in many cases an
impression has been given to the coun-
try as to the character and motives
of leading bankers W hiCh is altogether
unfair.
"a sentiment has been created
throughout the country agai1>\ Wall
street and many of cur good citizens
do not realize what it means that New
York has become one of the worlds
leading money markets, and that the
banks of New York and their aSsoci-
ates are now able to handle large
transactions that they were unable to
handle only a few years since. I feel
that every American citizen should be
proud that We have a city where there
is sufficient capital to handle these en-
terprises and should take pride also
in the character and integrity of the
men who are at the head of it's finan-
ciaI institutions
Mr. McMorran declared the pro-
posed scheme of regulating the stock
exchanges drastic and unwarranted'
and that there was "no real evif' in
interlocking directorateS."