The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-01

It will assist In carrying out the great
schemes Of international finance that
are being formulated"
Senator Borah proceeded TO discuss
an article published in the Boston Herald
Of June 1s which told of the proposal to
form gigantic financial corporation,
second only to the Federal Government,
for the purpose OF carrying into exc
cution the plans of Messrs. Dawson and
Vandderlip. linking up all the financial
resources Of this country as backing for
the project The names OF Mr.. Dawson.
Of Charles H. Sabin,, president Of the
Guaranty Trust Company: representa-
tives of Kuhn, Loeb & Co. and of the
National City Bank were said to be con-
sidered In connection with the formation
Of the combination.
Interest Solely Financial.
'"The interest OF these men," proceeded
Mr.. Borah. lis purely that of financiers
and they are interested for financial
reasons. 1t was recently announced
that the interest on an issue of Russian
bonds held in this country had defaulted
I have here q publication OF this piece Of
financial news: Russia fails to pay
AhecicSL OH SoVtUVu,uVu Oh DOnQb. y, +.
Morgan & Co. and the National City
Bank are named among the interested
bankers who have notified holders Of
the bonds concerning the ddefault, and
made explanations Also the Guaranty
Trust Company. Lee Higginson & Co.
Kidder, Peabody & Co. and Kuhn, Loeb
q Co. are said to be forming a pro-
tective committee to look after the In
terest of the bondholders.
''If the bulletin Of the League to En-
force Peace Is correct in its statement
that three-fourths Of the support of the
League OF Nations comes from big bust
ness, IL Is reasonably apparent that the
power behind the league Is being sup
piled by these peculiar interests In Eu-
rope. I am willing that they shall de-
velop their interests there. but am not
willing they shall attack others who
chance to oppose. Let 1t be known that
the reason for their interest in the
League Of Nations Is that they expect 1t
will enable them to proceed with these
gigantic plans to finance and to earn
profits from the rehabilitation Of Eu-
rope"
Hitchcock Names Supporters.
Senator Hitchcock interrupted to ga,
he thought he and Senator Borah could
agree as to what Is meant by big busi-
ness" From the statement of the
League to Enforce Peace he read the
names of some of its prominent sup
porters, insisting while they were men
Of great prominence In business they
are not generally Of the type referred to
as big business" Among the names he
read were z. A. Filene. a Boston mer-
chant; Charles NJ. Schwab, who Mr..
Hitchcock described as perhaps Of the
type We include as representative Of big
business; Dwight w. Morrow. George
Eastman, head of the Eastman Kodak
Company: Samuel Fels of Philadelphia,
a soap manufacturer William L. Doug.
las. a shoe manufacturer; Charles K.
Hires. root beer manufacturer H. J.
HeinZe of "57" varieties-all Of these,
Mr.. Hitchcock said. business men widely
known, are contributors to the league
because they believe 1t would add some
thing to the prosperity of the country.
When Mr.. Hitchcock asserted the re-
turned soldiers were almost unanimously
in favor Of the league he was greeted
by the Senate with various evidences Of
establishment. That has not been by
any means the observations Of most
Senators. Senator Kenyon Ga drew a
laugh by saying that In the same mall
he had received two letters from SOL
diers, one Of whom told him that oppo-
nents OF the league ought to be boiled
in oil while the other wrote: IF you
vote to ratify this league I will be one
to help hang you If you ever come to
my town."
Senator Hitchcock admitted there did
seem to be some little difference OF
opinion on the subject
Fall Warns OF Complications.
A vision of the maze of international
complications In which the United States
will be involved X the League Of Nations
Is established with this nation a member,
was presented by Senator FAN IN. NJ. }.
He began with the enumeration of many
rules and regulations laid down by the
treaty. The United States will become
a party for instance to the restoration
Of the original Koran OF the Caliph
Gilman to the King of HedjaZ, 1t will
be pledged to procure the return of the
skull of Okwawa to the London Govern
ment 1t will be mixed up in the ad-
mipistration Of the Rhine. Danube Mo
selle and many other rivers In sundry
parts OF the world. in fixing the bound
aries OF nations, and Of States within
nations, in holding plebiscites in various
parts OF the world to determine questions
that Americans never heard Of. In the
administration OF the credits and debts
OF countries and cities--in fact, in about