New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-10
JONES REJECTED;
WARBURG FIGHT ON
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trust law. Until he is formally abb
solved of responsibility in connection
with the alleged misdeeds Of that cor
porYtion by decision of the courts, the
committee held, he should not be an
pointed to so important a place as
member of the Federal Reserve Board.
The fact. also. that he was a direc-
tor of the corporation, and shared, 10
some extent, at least, the responsible
ity for it's operations which led to an
custer by the State of Missouri, also
had weight. Inasmuch as the custer
decision of the state court was upheid
by the United States Supreme Court;
members of the committee regarded
Mr.. Jones as partly culpable.
The attitude taken by the committee
with respect TO the Jones nomination
was that the members of the Reserve
Board should be above all suspicion;
Several of the Senator'S who voted
against his confirmation to-day
asserted in speeches on the currency
bill that to inspire faith in the new
currency system it was essential that
the members of the Reserve Board
should be men of unimpeachable IN
tegrity and above reproach. Senators
expressed the view to-day that the
President, because they had consented
TO confirm, at his request, John Skel-
ton Williams. as Controller OF the
Currency, assumed that the Senate
would confirm any one he chose TO
nominate.
The conviction Of the members of the
committee on the Warburg case was
even stronger. No compromise plan
which might ooviate the deadlock be-
tween the President and the Senate
was offered. With the exception or the
three adm jnistration members men
toned, the committee was outspoKeh
in saving that it was acting entirely
within it's constitutional rights IN ask
ing Mr.. Warburg to appear
Is is doubtful that the Senate Will
reverse the action of the committee.
The ramifications of the Harvester
Trust are so extensive that Senator's
from the agricultural states might be
expected TO hesitate TO approve the
selection of one of its directors. On
the Warburg case feeling is even more
pronounced. The controversy tur1S
almost entirely on the question whcth-
err the Senate has the right TO demand
information of nominees for public
office. With the prerogative of tho
Senate as an issue it Is doubtful II the
President will be able to command sufii
cient support in the ranks of his own
party to carry his point. The rebel
lous mood of the Senate was further
reflected in the speeches Of Senator'S
Townsend and Clapp.
News from Washington yesterday
that Paul NJ. Warburg would permit his
name to go before the Senate for the
Federal Reserve Board was received
with delight by New York bankers.
Though it was known that Mr.. Warburg
would stand firm in his resolve not 10
go before the Senate Banking ard Cur
rency Committee to be heckled regard
ing his Wall Street connections, hope
was expressed that some way would be
found to overcome the apparent pur-
pose Of the Senate committee u oppose
MIR. Warburg's confirmation so long as
he refused to appear before that body.
The following telegram was sent to
Mr.. Warburg by David Cromwell. presi-
dent of the First National Bank of
White Plains and president OF the
Westchester County Bankers Associa-
ton:
THE banks OF Westchester are all
anxious to have you on the reserve
board and earnestly hope that you will
consent 10 serve