New Britain herald., 1917-01-30
Profits Between Dec. 10 and % Amounted
to $476,l68, Broker Informs Committee
Investigating Leak on Presidents Peace
Note claims He Used Own Judgment
SPEECH BY Won BETH MANN-HOLLWEG
HIS SIGNAL TO SELL SHORT ON STEEL

! New York, Jan. 30.-unexpectedly
as Sherman L. Whipple, counsel for
the leak Investigating committee,
! brought the name of Ambassador Won
! Bernstorff into his examination of the
German officials friend, Archibald
suddenly closed his direct interroga-
ton of White today after obtaining
denials from him that he had re-
ceived advance Information from any
German official or any of the recent
peace movements.
Having established the close rela-
ton between White and the afnbas-
sador yesterday and questioned the
witness closely about alleged efforts Of
Thomas w. Lawson to arrange a meet
ing with Won Bernstorff Whipple to-
day drew an expectant audience to
the hearing room. Then with rum ors
of possible sensations for the hear
ings increasing Whipple asked White
less than half g dozen questions and
turned him over to the committee for
further examination.
Reading first from testimony previ-
ously taken by the committee in
Washington, Whipple brought out
that details Of the peace proposals
and President Wilson's peace note
were known in German official quar-
ters and Washington before they
were made public and asked White
If he had received any advance in
formation through such channels.
White answered negatively
Have you ever had any accounts
In which persons in official life were
interested?" Whipple asked
NO" White answered.
No "Tip" From Lawson.
ss Representative Campbell then took
up the examination.
did Lawson suggest to you" asked
Campbell, that the market was top
heavy and that suggestion of peace
would start the market down and
that 1t was a good time to get all
your friends into pool?''
''No SIR" said White.
Campbell tried to learn specifically
what White and Lawson talked about
at their various meetings In New
York or prior to the time the peace
situation was big factor i'll the
stock market. All White would say
was that they talked in general
terms" about the war and it's "eco-
nomic effects" He said he could not
recall everything discussed on var
ious specific subjects which the con-
gresham suggested to him-the Ger
man peace proposals. the Lloyd
George speech in reply or the arrival
of the Deutschland and the U-53 or
President Wilson's attitude.
"You had advance information on
the arrival of the U-53, didn't your"
asked Campbell.
ct did not. I knew nothing of it
until I saw it in the newspapers
do you think" put in Rep. Chip
erf1eld, that your conversation with
Lawson is equivalent to a full course
in romance literature?"
II couldn't say that, ] didn't take
his conversations seriously
After it had been brought out that
Whites concern, the Federal Chem
ical company, in which he said he
had tried to interest Lawson, manu-
featured products used in making
munitions, he was excused and Bar
ney Baruch, who sold short heavily
before the presidents note became
public was called.
White was asked to hold himself
in readiness to appear Gin another
conn ection."
Baruch declared voluntarily that he
was ready to answer any question
fully.
Baruch on Stand.
On December II, he said, he bought
5000 shares of steel, expecting it to
rise, ''but it did not and he sold the
following day at loss of about four
points. The came the address of
Chancellor Won Bethmann-Hollweg in
the Ret,hstag regarding peace, Ba
ruch said: and forseeing the effect the
speech would have on the market, on
December 13, he sold short as possible,
dealing in 23, 400 shares of steel that
day.
II started selling in the morning"
Baruch said, land the only reason L
did not start earlier was that I had
! been out of touch with things during
the previous day, due to being absent
from my Office" Baruch declared he
believed his story would show that
Won Bethmann-Hollweg's speech
marked the turning point in the world
war toward peace.
II realize" he said chat the peo-
Piles minds, heretofore think only Of
war, would turn to thinking of peace;
that outside of the better things they
would think of what affect peace
| would have on business and finance
and that man ought to act quickly
in selling securities
Used Own Judgment
Paying little attention to rumors,
Baruch said. he was guided in dealing