The Birmingham age-herald., 1913-01-16
UNTERMEYER GIVES
/. CONCEPTION OF THE
MONEY TRUST EVIL
Conception Embodied in
Hypothetical Question to
George w. Perkins
TO TAKE TESTIMONY
OF w. ROCKEFELLER
DR.. Richardson Testifies That Oil
Magnate Is Able to Submit to a
Brief Examination Without
Serious Results

kins, Samuel Untermeyer. counsel for
the money trust committee, today out
lined from the records of the committee
a concentration of money and credit
and asked whether Mr.. Perkins consid-
cred it "a menace and peril to the pros
perity of the country" The question was
of the elusive so-called money
trust, of which the committee is in
search.
Mr.. Perkins. after declaring that the
query reminded him of the conundrum.
why is mouse when 1t spins?" as
serted that he could not say whether
at the point outlined in the question,
was a peril. In lengthy
discussion on economics, Mr.. Perkins took
the position That after concentration had
progressed to a certain point it should be
subject to government regulation But
he would not answer the hypothetical
question categorically
Heated Executive Session
After today's hearing the committee,
in rather heated executive session, de-
termined to have Chairman Puio and
Counsel Untermeyer visit William Rock
efeller and take his testimony. Chair
man Pujo opposed the scheme without
avail resolution instructing Mr.. Pujo
and Mr.. Untermeyer to make arrange
ments for the examination was passed
with but a single vote in opposition, that
OF Chairman Pujo.
The determination of the committee fol-
II. - ~ 1a.t
ardson. who, after examining Mr.. Rock
efeller, told the committee today that,
despite his Illness. the oil magnate could
submit to a brief examination without
immediate serious results" No plans were
made today for the manner or place of
examining Mr.. Rockefeller.
Thomas W, Lamont and II. p. Dawson
of the firn OF J. r. Morgan & Co: F
l.. Hine, president of the First National
bank of New York. and George r. Baker
Jr.. who We're on hand to testify to-
day. were excused until Thursday. The
committee tomorrow will examine Jacob
II. schiff of Kuhn. Loeb & Co., of New
York.
Hypothetical Money Trust
Mr. Untermeyer's hypothetical money
trust question came after Mr.. Perkins
had recommended publicity as cure
for financial evils, the incorporation of
the New York Stock Exchange under
a federal charter, n closer responsibility
among bank directors, and the accord
ing of representation on the directorate
to minority stockholders in corporations
The hypothetical question, which en-
braces conclusions drawn from much of
the testimony already before the COM
mittee. was as follows:
II will call your attention to exhibits
before the committee from which you
will note the following seven institu-
tions have total resources of 81 ,39s, 900 600:
j. p Morgan e. Co. (and Drexels& & Coz,
deposits $l63. 10000; Guaranty Trust COM
pany, s2g2. .co0.0o0; Bankers Trust COM
pany, sos, 100000; First National bank
s14s 900. National City bank, s274, 900 900; !;
Chase National bank, l25.ooO0o0 National
Bank of Commerce, s190O00,000.
That the Mutual Life and Equitable
Life have combined resources of 81, ,O91, ,000.-
600; making a total In these New York
institutions alone and without regard to
other affiliations of $24s9,0O0,ooo.
Five Control Corporations
Assuming now the situation to be as
described In these exhibits and assuming
further that the business of making large
issues of securities of the great interstate
corporations has during the past five years
been conducted mainly on joint account
between Messrs. ]. r. Morgan a. Co.. the
First National bank and the National
City bank of New York; Lee Higginson &
Co and Kidder. Peabody Il Co. of Boston,
and the Illinois Trust and Savings bank
and the First National bank of Chicago,
and knowing what you do as to the meth
DDS of business and as to the financial
mower and affiliations of these banks and
barking houses and their control of imam
cial railroad and industrial corporations.
please state whether, and II so to what
extent this concentration and control of
morey and credit constitute peril to the
progress and prosperity of the country,
and state also IL you Will the reasons for
your concern
In reply, Mr.. Perkins delivered a long
tall, on economics, the gist of which was:
every one will agree that at certain
point concentration would be a peril, but
whether at the point you said 1t has
res ched 1t would be peril l cannot say
| have been out of touch with these af-
fairs for two years, and | would want TO
study these questions very carefully.
a n, opposed to the concentration of money
nos er. brain power or energy where that
concentration is likely to result in harm"
Other Witnesses Called
A speedy examination of the remaining
witnesses and an early termination OF the
money trust inquiry, as today planned by
the House committee investigating the sit
nation in finances. Chairman IsujO of tine
ccmmittee declared he desired to close
the hearings by the end of the week. DR.
q, W. Richardson of Washington was
called to submit to the committee his re-
morn on the physical condition Of VIII
liam Rockefeller, whom he examined at
Miami, Fla.
Richardson testified in his opinion Mr.
Rockefeller would be able to testify for
one hour The doctor added that were
he Mr., Rockefeller's physician he would
erdeayor to protect him against such a
s,,ain as would result in a permanent COL
1anse. richardson said that he examined
Mr. Rockefeller at Miami, Fla, on jan
nary 12 He said no one else was pres
emf The physician said he spent one
hour with him. The affidavit presented
by Or. Chappell. Mr.. Rockefeller's pnysi-
CHM. did not$fuly diag gnose the case. The
doctor said the condition Of Mr. Rookie
foller was more serious than described by
the affidavit. Dr. Richardson said that
~ fornd that the right vocal chord OF f3le