The sun., 1918-12-21

> 800 AZ ~
son, and told OF his collaboration with
the President in framing his book
The New Freedom" Senator Reed
intimated that Becker was endeavor-
ing to besmirch the President. Moth
ing that you can say or nothing that
Hale says can injure the President OF
the United States" said Senator Reed.
81 have no intention of injuring the
President" Mr.. Becker snapped back.
II have only intended to show that
Hale was using his one time relations
with the President to convince the
Germans that he was Of value to them
and that the Germans expected to use
him in dealing with the President"
Nevertheless Senator Reed pro-
tested, and Chairman Overman over
ruled the protest. Let 1t go into the
record" he said.
This was too much for Senator Reed
II mean to take this matter to the
floor OF the Senate" he announced.
Mr.. Becker went on to say that tho
Germans were "grievously disap-
pointed" when they found that the
glittering promises as to Hale's In
fluence over President Wilson failed
OF fruition.
Financial Channels.
At the earlier session Of the Over
man committee Mr.. Becker discussed
the results of the investigation by his
operatives into the relations between
the financial institutions of New York
with the German Government in the
matter of the maintenance OF the
credit of the Imperial Government
here. Mr.. Becker named the following
institutions and commented on their
participation in the financing OF Ger
many's propaganda and other schemes
in the United States before the en-
trance OF America into the war:
The Transatlantic Trust Company,
now in the hands of the Alien Prop
erty Custodian and which was ahowu
to have been financed by the funds OF
the Austro-lIungarian Government.
G. Amsinck & Co, which was used
for various propaganda purposes up
until tho time one of the partners pro-
tested so strongly that Its activities
practically ceased
zimmerman q Forshay, which main
tanned a neutral attitude, Mr.. Becker
said, although 1t handled part of the
German war loan.
Kuhn, Loeb & Co. which maintained
an attitude of painful neutrality" ac-
cording to Becker.
The Guaranty Trust Company,
which Mr.. Becker alleged was used by
Hugo Schmidt through its London
branch, by aid of dummies TO transfer
credits through English banks.
Discussing the relations of Kuhn.
Loeb & Co. with the Imperial Govern
ment Mr.. Becker said 1t had undoubt-
edly been the original intention of the
German Government to use this firm
for practically all its financing opera
tons in the United States. but that
such stringent terms were imposed by
Kuhn, Loeb & Co. that they were
forced to go elsewhere. Mr.. Becker
gave a list Of the partners in Kuhn,
Loeb & Co. and also in the German
firm OF NJ. NJ. Warburg & Co., saying
there was a community of partnership.
Objection to Testimony.
DIR. Fritz Won warburg, one Of the
members of the firm, Mr.. Becker said,
had occupied n position IN Stockholm
similar to that assumed by DR.. Helm
rich Albert here. There was objection
registered TO this part Of the testi-
nony with regard to Otto II. Kahn and
Paul Warburg. A letter from Count
James Minotto. son-in-la Of Louis +.
Swift of Chicago and at one time con-
nected with the Guaranty Trust Com
pany. was read in which NJ. Kahn 8
iEClinations to sympath!ze with France
in the war were set forth. Chairman
Overman permitted the entire matter
to go into the record.
1t was shown by the Mlnotto letter
that despite Jacob II. Schiff's attitude
toward France, which had precluded
the participation of the firm In the
Anglo French loan, Mr.. Kahn had per-
sonally subscribed 100000, while
Mortimer SchiT had subscribed 81, O0o,-
600
Mr.. Becker asserted. however, that
Otto II. Kahn had endeavored to play
both ends against the middle and keep
friends with both sides in the Euro
pean war, and cited instances of his
lAti MS bVVAl AutN0h ~ AlISO HGIllllluS
In a letter to the DeutsChes Bank OF
Berlin as saying that the report OF his
subscription to the Anglo French loan
was false.
In reference TO the testimony before
the Senate Committee In Washington
yesterday, Otto II. Kahn Issued the
following statement last night;
From the very beginning OF the
European war have demonstrated by
my actions and spoken and written
words my adherence OF Prussianized
Germany. my utter hostility to her
cause and my active and wholehearted