Evening star., 1933-05-31

The witness said he did not know
Rickard and had never had business
relations with him.
RAskob Was Grateful.
As to the list Of customers selected
on the theory Of distributing risks that
we didn't consider proper for us to
carry as a banking house."
Senator Couzens, Republican, Of
Michigan, remarked that John J. Ras-
kob was grateful" for being on one Of
the Lists.
As to profits made BY the Morgan
firm, Whitney recotnted TO the few
Senators on hand at that time and to
the overdowing audience in the huge
and warm hearing hall that . block Of
stock warrants In connection with
United experimentation holders
to purchase common stock In the
Morgan (United) Utilities stock hold
ing concern-had been sold for prices
ranging from $50 g 81 These bad
apiece, and brought $8,49o.000.
He said zoe, 900 OF the wsrrsnts w4s
sold and the Morgan partners divided
1,500, 900 more.
Questioned about executives II utih-
ties firms In which his company holds
an interest who are indebted to the
Morgan bank. Whitney said there wss
but one-John Zimmerman Of the
United Gas Improvement Co. Of Phila-
delphia.
Morgan Listens Closely.
Senator La Toilette, Republican, Of
Wisconsin, recently denounced these
sales In the Senate az "gratuities"
from j. p. Morgan and Co.
Resting his cheek in his hand at
times in the packed committee room,
j. p. Morgan followed the testimony
closely and in silence.
The committee also was informed that
]. p. Morgan & Co. had obtained the
option warrants before there was q law
authorizing the issuance of such options.
Ferdinand Pecora, the hnsistent ques-
toner as counsel for the committee,
made the assertion while George How
ard was testifying as president of United
Corporation
Howard said he had legal advice that
the warrants were within the law, how
ever.
In closed meeting. before the hear
ing, the Banking COMMITTEES had ac-
cepted without challenge Pecora's out
line of the questioning he proposed.
crat, of Virginia, who had insisted on
knowing In advance what the examina-
ton was to be all about, said he was
satisfied and had obtained the informa-
tion wanted
Pecora was not even questioned In
the brief meeting
Everybody Is happy" the white
haired committee chairman-Fletcher
OF Florida-announced, smiling as the
committee broke up to go into public
hearing. THE committee is satisfied
with Pecora's program"
Glass Is Satisfied.
After the committee had assented to
Pecora's program, Chairman Fletcher
said it would meet in executive session
again tomorrow morning TO decide
whether to make public the partner
ship agreement under which the Nor
gan firm operates.
Among spectators at today's hearing
were Mrs. Adolph Miller, wife OF the
Federal Reserve Board member; Mrs.
William Denman Of San Francisco, and
Mrs. Vernon Kellogg of this city.
Pecora was beaming as he entered;
and Glass also appeared in good humor
nearby.
Members of the Morgan group crowd
ed about Senator Couzens, who has
been named delegate to the World
Economic Conference in London. Sew
eral shook his hand. The Michigan
Senator has been the most vigorous
questioner, save for Pecora, thus far.
Glass told reporters he had achieved
all he sought in hearing the committee
informed of the course of the inquiry.
Asked If he approved of Pecoras
program, Glass said that was not In.
volved and that all he wanted was tc
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