The Bemidji daily pioneer. [volume] (Bemidji, Minn.) 1904-1971, 1913-12-10
But Deep Study Makes It More And
More Evident That It Must Be
Done Away With
MUST LET CAPITAL COMPETE
Tavenner Says It Is Despot, And It's
Slaves Are The Industrial Trusts
= And Railroads

Washington, December 10-The
hold of the Money Trust on the COM
merce and life of the nation is so in
tricate, so tenacious and complete,
that it seems an almost impossible
task to dislodge it. But as the
study of this power continues, it be-
comes more and more evident that
until credit is dispersed from the grip
TO a few men of Wall Street, and I'M
til capital is again allowed to COM
pete with itself, there can be no per-
menent solution of the trust problem.
Let us take a typical transaction
in high finance to show how the
House of Morgan and its allies can
any time it pleases reach out for the
millions of deposits of the people,
manipulate these huge funds as it
pleases, and, without risk to itself, or
without the use Of dollar of its own
money, at the proper place extract
its heavy profit and pass along in the
form of watered stock and other per-
manent liabilities mortgage on the
backs of future generations. Ma.
Let us say an industrial trust
wants to borrod great sum. In the
first place, the trust has been formed
by the Money Trust Why? For two
reasons. First, for the huge profits
Of underwriting. Second, that the
industrial unit may be so large that
when it needs money it can find but
one place to get it-from the Money
Trust, lesser bankers being unable
to finance such loans as trust de-
mands.
.-.las yyr ETrssssz. determines when the Indus
trial trust needs to borrow?-The
Money Trust, which controls the in
dustrial trust. How is the money
orrowed?-Through a bond issue.
Who determines the amount Of the
issue, the commission to be to the
agent for underwriting (selling) the
bonds, and who designates that
agent?-The Money Trust. Whom
does the Money Trust designate as
agent, after having first fixed the
profit?-Itself.
Only one other party is needed to
make the transaction complete-the
bond buyer, or creditor. And who is
picked out for this important func-
tion?-The people. Are they con-
sulted?-No, the Money Trust con-
trolls the peoples savings and COM
mercial deposits in insurance COM
panies and banks and trust compan-
les. What other function do the peo-
pie have?-They pay interest on the
bonds bought with their own money,
and they pay it on every commodity
they use in the increased cost of liv-
ing.
Yet the Money Trust, telling the
borrower when and how much to Dor
row, and controlling the reservoirs
of capital to finance the loan, charges
a huge profit for it's "risk." The
Morgans got 100000 commission
for marketing the 100000 bond
issue of the Interborough Railway. 1t
charged $1,6SO,OOO to underwrite the
New Haven Railroad bond issue of
SGT 100000, and in the U. S. flota-
t;or tho Moroan profit woe oho,,t
100000. -. ..... .... @.Ar
The Money Trust is despot, and it's
slaves are industrial trusts, railroads
and all great corporations. It possess
ses the power of life and death over
its subjects. This it has accomplish
ed monopolizing credit which the cor
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