The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1913-01-25
COREY TELLS WHY
HE GOT OUT OF
STEEL TRUST
Was Loser in Clash of Authority
with Gary
MORE EW ENCE OF POOLS
Former President Says Finance
Committee Chairman Knew OF
Agreements.

New York. Jan 25.-The paruclpa-
zion of subsidiaries of the uhlteu
states steel corporation in pools
organized for the purpose OF hNlus
prices was known to Judge Ebert H.
Gary. chairman of the corporation
long before he gave orders that the
nooIs should be abolished, according
70 William L. Corey, former presl'
dent of the corpiration. MT core!
so testified yesterday on cross-eXalll-
nation in the hearings OF govern
ment suit TO dissolve the comDlha-
ton under the Sherman antitrust
law
The testimony preceded an achho"
ledgment by MIR. Corey that his resls'
nation as president OF the corpora
ton in 1910 was the sequel OF us
mute between himself and Judge Gary
&C IN who was chief in authority ana
that the finance committee of the cor
noration had upheld Judge Gary, II
gave direct contradiction 10 ,Aa' "a
CHAIRMAN Gary before the Stanley
steel investigating committee whlch
was TO the effect that, with the eXcep
tion of the rail combination WREN
ne said. did not fix prices he had hau
no knowledge of the existence oi
nools and had ordered them aOolsh-
I'd as soon as they had been brought
10 his attention This was in the
latter mart of 1904. Mr.. core!
swore yesterday that Judge HaIy
knew about all the pools all the
time because he attended some ol
the meetings" While a meeting Oh
the Mate and structural pool in l9OZ
ar 1908" was the only one at when
no could distinctly remember that
Tndge Gary was present, Mr.. Corey
said he was sure that he was present
at other meetings.
Are YOU sure that Judge Gary
was present at the structural meet
ing?" asked c. A. Severance, at'or-
ney for the corporation.
"Absoutely." answered Mr.. corey.
Unable to shake the testimony OF
the witness. Mr.. Severance held
hrief conference with his associate
counsel you left the steel cor.
noartion with some i'll feeling toward
Judge Gary, didn't you? askeu MI
Severance. ,
1--WE we're not always in accord,
but | don't think it was illieeling'
replied the witness. Mr.. corey lhen
acknowledged that there had been a
question as to who was the chiei eA-
ecutive" and the finance committee
had upheld Judge Gary.
Mr.. Corey could not be induced yes
rerdav to alter his previous testl-
monv that the Tennessee coal ana
iron company was a steel rail com
Detitor of the steel corporation ne
fore IL was taken over by the corpor-
alton during the panic OF 1917 Win
the sanction of President Roosevelt
He said that he had opposed its ac-
ouistion on the ground that the price
Maid was too high. John w. Gates
and others who controlled 1t hau p'ac
ed nuisance value on the proper
lies. he said. and it would have con
tinued competitor of the corpora
lion If it had not been taken over
Mr.. Corey also persisted yesterday
in his opinion that the price PAID Dy
the steel corporation for the lease OF
the Great Northern ore lands was TOO
high although counsel for the Great
Northern ore trustees. defendants IN
the suit. made every effort to conlule
his testimony.
Rumors became current IN wan
street yesterday that the Uhlteu
states stee, corporation intended vol
unfairly to dissolve. These were
denied by Judge Gary. The chair
man would not comment on Mr.. Co
rey's testimony
Mr. Corey was asked concerning
The steel rail pool among American
manufacturers. including the corpora
ton. He said that the pool was a
hang over" from pool that existed
before the corporation was organic
I'd. II was broken up, he said, IN
1904 or 1905.
'sThere was never any agreement
made from that time on TO advance,
reduce or maintain the price, was
there2'
That's right"
Thereafter. Mr.. Corey testified. some
of the other manufacturers wanted
20 raise the price. On several occas-
sons. he said, these manufacturers
had made suggestions 30 this enecI
saving that they thought the price
Vas too low. but the steel corpora
ton declined to raise the price
Since 1904 the prices Of steel rails
Mr.. Corey said, had not varied from
SOS a ton. For several years" he
added. prices have been higher In
France. Germany. Austria, Italy and