The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1933-05-24
MORGAN ADMITS
HAS S33S,OOO,OOO
IN COLD CASH
Pays No Income Tax
Defended by Davis,
Democrat Leader
CONTINUED FROM PAGE ONE

same
Immediately after this statement,
it was revealed that the statement OF
January differed from the state
ment of December 81 by showing
deduction claimed for losses, amount
ing to 1,071 1924
Lend to Big Bankers
1t was shown that Morgan had
made 60 loans in the last five years
to officers of large banks Nationally
prominent bankers were among those
to whom loans were made. Morgan's
counsel, John W. Davis, objected to
making the names public. Senator
Buckley moved that the list be kept
secret. Bulkey's motion was adopted
by the Committee.
During the questioning about leans.
Senator Glass came to Morgan's aid
as he had done earlier in the day
on the question of income tax re-
turns.
In the interest of justice, I'm
much Obliged to you" Morgan said
TO Senator Glass.
1ItlOuEllOub lllOAA VI Vic lAN1bIA AA27
cussion at this point, Morgan grim
ned
Connected With Biggest Companies
It was brought out that many Of
the most powerful industrial, rail-
road and mining companies in the
country kept daily balances Of $1,000
900 or more with J. P. Morgan & Co.
The partial list of the depositing
corporations includes such companies
as American Telephone & Telegraph
Co., the Atchison, Topeka and Santa
Fe Railroad, the Celanese Corpora
ton of America, the Chesapeake &
Ohio Railway Company, the General
Electric Company. E. I. Du Pont &
Co., General Motors Corporation,
Montgomery, Ward & Co., Interna-
tional Telephone q Telegraph Corp,
New York Central Railroad, Royal
Baking Powder Co., Standard Brands,
Inc, Standard Oil Co. of New Jer-
sey, United States Steel Corp, Beth
lehem Steel Corp. and dozens Of
other railroads and manufacturing
companies.
The companies listed as having de-
posts with Morgan control in the
aggregate the great bulk of American
production and wealth.
Morgan submitted a statement of
conditions for the five years from
1927 to 1882, emitting 1890. The ag-
gregCte assets listed were:
December 81, 1927, 1864 ,292, sos 80
December 81, 1928, 1923, 773, 822 .O6.
December 81. 1929, $3.50, 1881 1883.
January ,. 1881, $703, 900 ,40569
January 2, 1882, $432, 565, 1870.
December 81, 1882, $424, 708, 09556.
The decline in asset value shown
above does not mean any lessening
of control or decline in the amount
of assets controlled 1t reflects the
change in stock market values and
bookkeeping juggling
AS of December 81, 1892, the firm
had cash and government securities
of over $3.50, 100000. Cash was $685.
100000.
Earlier in the day, Morgan sub
mitted prepared statement in which
he outlined his conception of the
functions of the banker and bank
ing. Private bankers are a national
asset" he said "They wish to serve
the community He said that the
Morgans have directors on every
large corporation in America be
cause of the strong desire of those
in charge Of the institution" He
said that the Morgans were "reluct-
tant" to accept directorships.
The disclosures which have been
made thus far in the course of the
investigation are not dissimilar to the
revelations made in the Pujo inveSti-
gatior, in 1913 Nothing was done
at tn it time about the disclosures.