The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1932-03-21
FOREIGN INVESTMENTS
SOME FACTS SENATOR JOHNSON DID AND DID NOT
BRING OUT

which amounted to virtual endorsement of the
bond issues, making it easier for the bankers to
palm them off onto the small investors
Senator Johnson has good word to say for
j. P. Morgan & Co., and Kuhn, Loeb & Co., two
of the largest financial swindlers They didn't
dabble in South American bonds, the senator
said. He praises them for having put their
greatest activity into German ensIavement,
through very profitable loans
The main summary of Senator Johnson's
charges are as follows:
81. That Bolivian loan was made after
being first dsapproyed by our Department
of Commerce.
2 That a Peruvian loan was made (aI Pc
ruvian bonds are in default against the advice
of the banking house offering the loan and
against the advice OF "well-known Peruvian
who advised all bankers that the defaulted
loans should not be made.
%. That bankers computed the value of the
Brazilian milreis at more than two and one
half times It's value in order to show a favor
able balance.
81 That in Chile one of the banks partici-
pating in some of the loans was party to
frenzied financial jugglery which deprived
Chile of the very revenue necessary to meet its
external obligations
Lie CcHdtOr recalled testimony before the
committee that Juan Legua, son of Augusta b.
Leguia, former President Dictator of Peru had
received $415,000 from the house of J. and W.
Seligmann & Co. as commission for acting as
agent In promoting loans to his fathers gov
ernment."
Now for few facts and conclusions that the
middle class mouthpiece doesn't bring out
Andrew Mellon, then secretary of the treasury
OF the United States, and J. P. Morgan, owners of
the Car1b Oil Co., and the Gulf Oil Co., refused
loan OF 100000 to the government of Oaya
OF Columbia, until Mellon and Morgan got an
oil concession worth many hundreds of millions.
The policy Of loan fotations of the big banks
with government support is not an unusual" or
vicious practice. 1t is the usual role of i'm
perialism in the period when the leading bank
ers are not an entity separate and apart from
the state apparatus. The leading financiers are
fused with the entire state apparatus and use
the government to advance the interests of the
leading inperialists, in the enslavement of the
colonial masses, and at the same time against
the workers at home.
President Hoover himself fas proved bv IN
ansWerable documents) is himself one of the
most typical imperialst swindlers having amass-
ed huge fortune in just such practices Of for
eign investments supcr-eXploitation of the COL
onial workers; bribery, robbery, swindling, ETC.
American imperialism, as part of its policy
OF extending its colonial empire of squeezing
greater profits by its foreign investments speed
up the export of capital draining every penny
1t could squeeze from the American workers by
intensive exploitation and from the middle
class by the most extravagant swindling opera
lions.
Along with this went the rivalries of the i'm
perlallst powers for domination the antagonsln
between British and American imperialism for
the control of Latin America, ETC. For every
dollar invested by the big bankers, American
capitalism spent another for the army and navy
in preparation for war.
The financial collapse of many of the COL
onial puppets Of Wall Street greatly interfered
with the smooth working Of Wall Streets domin-
alton
But Senator johnson, who merely objects to
the manner Of distributing losses, has not word
to say about the slaughter of Communists in
Ell Salvador or Chile; he has nothing to say
about the wholesale murders of the puppet gov
ernmentS OF the American and British bankers
perperated against the workers and peasants
VINO feel most Of the iron heel of the financial
lords, and who suffer most in the present crisis
senator Johnson's solution" OF the "regu-
latlon" OF foreign investments, of the protec-
uon OF the small investor is designed to help
the advance OF imperialism to make 1t more
efficient IN its enslavement OF the colonial mass
es For the American workers the struggle
against imperialism, for smashing its domination
In the colonies well as at home, is the COM
mon struggle Of the working masses in all coln-
tries against hunger, starvation, terrorism and
the niseries that Imperialism spreads bountiousIy
In colony and homeland alike