Western news and the Libby times. [volume] (Libby, Mont.) 1920-1933, 1933-06-08
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National Topics Interpreted II f17lY11SW
by William Bruckart klE18T

good many of them that have voted
dry over and over again.
But we must not forget the power
full leverage that Mr.. Farley exerted In
the matter of taxes. | think 1t Is
fact that there Is not state In the
union where taxes are not the subject
OF complaint. The taxes laid by the
federal government also have been
criticized plentlfully during the depres-
sion. So when the President says and
congress agrees that additional taxes
are necessary to pay for public work
to stimulate business recovery, 1t Is
not unnatural that a mighty howl was
heard. 1t always Is easy to complain
about taxes and 1t Is easier to COM
plain about them In hard times.
The Roosevelt administration, with
Mr.. Farley waving the magic wand.
promptly told congress and the coun-
try that all of these new taxes could
be repealed II prohibition would be re-
pealed. They won't be In effect
month longer than the Eighteenth
uuiGuui1cul, sdlu tnt
Taxes from liquor will more than
offset the levies lately put through by
congress, for the records show that
liquor taxes In the days before the
Eighteenth amendment was adopted
were yielding something like S35O,OOo,-
900 annually. The present addition TO
the tax list will produce only an estl-
mated S225O0O,0O0, SO there will be
some to spare Ii the old figures hold.
The country has Just witnessed an
other "show" staged by senate COM
mittee. This time,
Probe Morgonan investigation dis
c closed for the first
time the secrets OF
the House OF Morgan, the greatest pri-
vate banking firm the world has ever
| known. and one about which there al
| ways has been veil of mystery con-
| cealIng its affairs from prying eyes.
| The firm of J. 2. Morgan and company
is firm Of 20 partners. from the IN
| ception of the organization by j. !.
Morgan, the elder, late last century,
people have known only TINT It was 0
| banking firm of immense power OF
| almost limitless resources and one not
subject to the laws governing CONNER
cial banking houses. The Morgan
| partners. as their number increased,
always kept to the tradition that their
/ business was their business and that
] despite the fact they constituted an
institution of enormous power. their
| affairs should be treated like those OF
any other individuals.
But the senate thought otherwise
1t instructed Its banking committee to
/ dig around and see what this giant III
| finance was. Tt has found out. The
country has been shown, In Dresenta-
/ tlon as dramatic as any great play
wright could have presented from his
| Imagination, the naked truth about the
House of Morgan. The senate ma
jorlty that wanted to draw back the
curtain on the Morgan bank are tickled
about the Job. Ferdinand Pecora, a
| Sicilian, who rose to considerable
prominence In New York city, likewise
Is tickled about the Job. for he was
the lawyer hired by the committee to
handle the case. And SO another niche
has been cut by a senate investigation.
1t seems to me, however, that the
senate Is not entitled to be praised
1 e gtrt IAtN a mn u
be asked properly what has been ac-
complished. 1t exposed the House
OF Morgan, 1t Is true. It showed that
J. r Morgan, the younger, and the
Y present head of the firm, escaped pay
ment of income taxes In two years,
and 1t got oodles of publicity for indi-
vidual senators and Mr.. Pecora, as we'll
| as smearing the names OF some we'll
known persons because they once had
dealt with the House of Morgan. 1t
showed as well that Mr.. Morgan had
used his brains to comply with the
very tax laws congress enacted and
yet had escaped tax because he had
received no income as congress had
defined that word.
One result may be, and believe 1t
Is the only one, that there will be some
revision of the tax
Tax ReUision laws to prevent re-
r.L~y., currence of the cir
cumstance of one OF
the country's richest men escaping In
come tax. 1t is difficult to foresee
anything else of helpful nature that
can come from the "show" staged by
the senate committee. The reason Is
practical and simple one As ex-
planned above, the House of Morgan
Is a private banking firm which by
long and honest operation has builded
confidence among the people OF
wealth who deposited their money with
the private firm. 1t created good will
lust as the local merchant In your
town has done, by preserving to those
who were its customers the rights they
we're entitled to have. That local mer.
chant, by the way, could accept money
on deposit Ii he wanted to and his
, customers wanted to make them
There Is nothing to prevent hin
J from 1t.