Evening star., 1915-06-08
IS GERMANY PLANNING
TO BUY STEEL PLANTS?
Wall Street Hears Rumors That
Kaiser Would Cut Off War
Supplies to Allies.
Bethlehem Stock, in Sharp Rise,
Gives Color to the Stories of
Change in Control.

Reports that the German government
had extended it's campaign against the
allies to the United States, through the
purchase of the Bethlehem Steel Com
pany, with view of cutting Off the
chief source of ammunition supply from
this country, were rumored on Wall
street late yesterday and reiterated
with more positiveness this morning.
when an additional rise of s6 share,
on top OF a like advance made yester-
day in the stock of Charles NJ Schwab's
corporation. was noted. Local fnan-
cIal men, as well as government Off
Gals. are Jatching the situation closely.
Wall street. however, holds yet an
other view of the situation, according
to reports received by Washinston
concerns with stock market connec-
tions.
The new theory is that ]. p. Morgan
& Co. have acquired control Of the
Bethlehem Steel Company. When,J, p
Morgan returned from London he is
reported to have brought with him
commission as the sole representative
of the allies in placing contracts for
munitions and supplies.
Sought Commission on Orders.
Approaching C. NJ. Schwab, with
contracts. SO the story goes, the New
York banking house indicated a de-
sire for 2h per cent commission on or
ders placed by them, which request
was refused.
Orders were given to the Bethlehem
Steel Company. without the commits
in fn
it the rumors have any fact back of
them, J. p. Morgan d Co. commenced
to buy Bethlehem Steel common stock
in large amounts, with large profits as
result of the sharp advances that
followed-frequently 20 to 40 points a
day. These profits, it is said, were not
taken by j. P. Morgan & Co, who con-
tinued to buy and who are now be-
ieved to have the control of the cor
poration.
Brokers Questioned the Deal.
Banking houses in the financial CEN
fer with German connections declare
that it would be great card. in shut
ting down on the munitions Of the
allies, in part, if Germany has acquired
the Bethlehem Steel Company, but they
question the fact, and more so because
of the relations between the United
States and Germany existing at this
time 1t is also reported that the REM
ington Arms Company has been taken
over by the German government
Both these corporations are now operat-
ing to their full capacity on orders for the
allies and have been for some time past.
as are all corporations fitted for the pro-
duction of rifles. shells, shrapnel, etc. as
well as those in clothing and personal
equipment lines
Members Of the English ministry have
emphasized in every way possible tho need
Of munitions. declaring. as have other au-
thorities. that 1t was a conflict to be set
tied by such supplies.
Busy on German Contracts.
Before the outbreak of the European
war the Bethlehem Steel Company was
busy on German contracts. Some of
these contracts are untitled. but ship
ment is impossible. This. in the opin-
ion of some we'll informed people,
would show that Mr.. Schwab was in
a posltlon 10 enter in close relations
with Germany.
Bethlehem Steel shares sold yester-
day from 1861 share to 15s, and
closed at 15o; sold today to 49, and
back to 100.
These advances, on top of the bis
gains, might or might not, Indicate
change in control of the corporation.
Wall street Is greatly excited on the
current rumors and the stock of the
has been extremely active
1t was also reported that Cramns'
Company would be sold
to the Bethlehem Steel Company. OF
fcials of the former company refused
to affirm or deny the rumor. Its stock
rose sharply on the Philadelphia mar
ket.