The Richmond Virginian. (Richmond, Va.) 1910-1920, 1913-05-28

what he meant was given TO the con-
gress committee investigating the
steel corporation. Joyce's testimony
simply was that after Moore 81
Schieys debts, for which Tennessee
stock had been pledged had been
wiped off there remained the
amount named as clear and above
these debts.
Firm Was Well Fixed
In answer to questions by Mr.,
Lindahu~y the witness explained that
the firm had $4,000 shares free of
any strings" He said that 1900
shares had been pledged for loans at
los. and, as he put it. 1.-The firm could
have borrowed against that about 81
b2s, 00o." The witness explained that
the steel corporation gave par of steel
bonds to the amount of 100 for each
share of stock.
After all loans" he said, "for
which the stock appeared to be
pledged. the firm had free $6,T20, 600
in bonds or at the market value of "a
for the steel bonds, s5,644, 500 in
cash"
Asked as to the number of shares
OF stock which Moore 4 Schley de-
lvered to j. =. Morgan & Co. he
could not say. but he testified II
W
ration on December Z, 1907 more
than 100000 shares of Tennessee Coal
and Iron stock, which had been ex-
changed for United States Steel bonds.
On cross examination the witness
said he did not know what became of
the proceeds Of the SO, 900 shares of
the free stock.
Judge Gary on Stand.
Judge Gary followed Joyce on the
witness stand. As there remained
only short time before adjournment
he did not get far along in his testi-
uony before the session ended for
TIE day.
In answer to the questions of
I-lndabury. he explained his connec-
ton with the United States Steel cor
poratfon. as chairman OF the board OF
directors and chairman of the finance
committee. He explained that he he
game actively connected with the
steel business with the organization of
the Federal Steel company. Previous
~ TO that time, however, he had been
general counsel for the consolidated
Steel and Wire company. and also a
director, and also was connected with
the Alton Steel and Wire Company Of
Illinois, He was general counsel for
the Illinois Steel company up to the
Steel company
Il was actively connected with the
organization of the Federal Steel com
pany," he said, land / did most of the
legal work ="
He named among the companies alb
sorbed the Minnesota Iron company,
Illinois Steel company, Eigin. Joliet
and Eastern railroad company and the
Lorraine Steel company. He said that
there had been no competition between
the companies that We're taken into the
Fderai Steel company The authorized
capital was 5000. 100000, but only
: 90. geo. 900 was issued at the time
Explaining the reason for the organi-
zation Of the new company, he said,
the Illinois company had been Ftrug-
Cling along for many years without
any Roadway.
1t lacked facilities, capital and need
ed many features that would make it
a complete plant. 1t had features that
were valuable, but the concern was not
Prior to the summer of
1898 there had been a good deal of
talk among the directors and the Of
ficers of the Illinois Steel company as
to the desirability Of securing addi-
tional properties and other means OF
steel successfully The
officers came to the conclusion that ii
was necessary to make substantial ex-
tensions | remember talking over this
matter with the directors and finally
in June, 1898, the proposition came
up of buying the Elein, Joliet and
Eastern railroad, 1T WAS felt that the
railroad could be utilized. but it was
decided that the purchase would not
be more desirable unless taken in con-
nection with other properties. The
nearing VIII be C9niAnAed -tQuoEEoM.~p~-l