The Bridgeport times and evening farmer., 1918-12-21
GERMANS SORELY
 DISAPPOINTED ON PROPAGANDA HERE
Impossible to Get Banks to Garry on Financial Ar
 engagements.
WARBURG'S LOYALTY
 NOT QUESTIONED
Bernstorf Picked Hearst As Good Man to Garry
 Out His Plans Here.

Washington, Dec. 20-When Alfred
 l. Becker, deputy state attorney gen. l eral of New York, resumed his tes-
 timony today on German propaganda
 before the Senate committee he dis cussed the financing of the propagan- 1 da program. He said the German l government was ''gravely disap- | pointed' in it's hopes of financing the
 scheme through Kuhn, Loeb 6 Co.,, 1 or New York. German officials, he declared, believed the standing of the 1 firm of M. M. Warburg & Co. of 1 Hamburg, Germany, would give ! them an influence with Kuhn, Loeb (, 1 Co. through Otto H. Kahn, one of its | officers, but the bank imposed such | difficult conditions that they had to i go elsewhere for financial arrange | ments. l. Senator Nelson asked if the M. M. Warburg of Hamburg was not d brother or other relative of Paul NJ. Warburg, formerly member of the federal reserve board. He replied that such was the case.
 Senator Reed of Missouri asked
 whether the loyalty of Paul M, War burg was being questioned ara MT. | Becker said emphaticaMy that there was no such question involved. There is not a man who has been more loyal to our country than Paul M. Warburg and I think that the country will suffer materially by his
 having left the federal reserve board" remarked Senator King of i Utah.
 1 A portion of an affidavit made a | year ago by a person, whose name
 was not disclosed was admitted to the record today.
 1 The affidavit deals with a conversa- | ton in 1914 at an Adirondack camp between the unidentified person, Count Won Bernstorff. and ". F. Me Combs former Democratic national committee chairman, which is alleged l to have dealt with the interests Of.
 Bernstorff's efforts to obtain a news paper to take Germany's side of the war. The unidentified person was | quoted as saying that the New York | Sun would not accept an advertise l ment for the. sale of securities unless | it was shown positively that the in- l vestment would be a legitimate one. | T have my eye on Hearst and I i expect ha will be the man. Bernstorff i remarked, according to the affidavit. i The affidavit says Won Bernstorff 1 severely criticised Herman Ridde-, publisher of German language
 newspaper in New York. who. he
 thought, was doing their cause
 great deal of harm.
 ] The affant declared that about a | year later, after he had seen "that 1 Hearst was publishing a German pa 1 per- he said to the count: q guess you got those fellows '' And the i count replied, well, it's working all | right, isn't it ?"
 The man making the affidavit said l that during his conversations with Bernstorff he observed that the for
 ner ambassador was making 9 men i tai note and trying to find out all he
 could" and that the inference I drew
 was that he had, and he so stated,
 Hearst in mind as the man to carry on the German propaganda"
 The affiant also said that in vari-
 ous talks with Won Bernstorf. the
 question of shipment of munitions
 came up. In one of these conversa-
 tions, he said, a man named Archi-
 bald White was present and he be-
 Heved, but was not certain. tha,
 White once said it would be easy to
 stop the shipment of munitions by
 buying the plants at Bridgeport and
 Bethlehem and then shutting them
 down. He said he understood that
 T
 with the German government, and the German government wired back that
 it wanted the German banks in the l Tinted States +0 do if