The Washington times., 1933-06-17
KAHN IS CALLED
To SUPPLANT
J.P.MORGAN
0pera-Loving FinanCier to Be
Witness When Inquiry
ReopenS June 26

The departing Congress left in
its wake authority for a wide
range of Investigations, covering
as broad a cross-section of Amer
ican life as the affairs of Wall
Street bankers and the rackets Of
underworld mobs.
The banking inquiry, which re-
vealed the financial secrets of J.
P. Morgan & Co., topped the
list. It will be resumed Monday,
June 26, with an inquiry into the
affairs of Kuhn Loeb & Co.,
Morgan's only rival in private
banking circles. 1t will bring the
immaculate, opera-loving Otto H.
Kahn to occupy the spotlight that
recently covered j. Pierpont
Morgan, George Whitney, and
other Morgan partners.
Rackets to Be Lifted
The other Investigations, by
various house and Senate COM
mittees, will delve into rackets,
mail contracts, an election case,
receivershipS, peonage charges,
tax evasions, and a judges con-
duct.
The racket inquiry, managed
by Senator Copeland CD of New
York, will consist of surveys in
the near future but will develop
into public hearings later in the
summer.
The first step in the racket in
quiry will be to determine which
rackets are interstate in nature
thus falling under the Federal
Governments control. Senator
Copeland will make preliminary
survey in New York, with Senator
Vandenberg (R.) of Michigan in
vestigating conditions in Detroit,
and Senator Murphy CD of Iowa
probing the Chicago situation.
They will pay special attention to
the activities of kidnapping mobs
that have been operating across
State lines in their "Snatching"
racket.
The most important House in
quiry will be conducted by its
Ways and Means Committee into
the subject of tax evasions. The
sensational revelations of the Sen
ate's Morgan inquiry revealed
partners in that firm had several
systems for escaping Federal
taxes.
Tax Law To Be frightened
House leaders appeared de-
termined to stamp out the prac-
tice of rich men selling securities
to their wives at loss in order to
reduce their income taxes.
Both House and Senate ordered
Investigations of Federal receiver
ships. The Senate inquiry will re-
volve around Federal receiverships
giving the Irving Trust Company
in New York city.
The election contest, filed
against Senator John H. Overton
(D0 of Louisiana, will be heard
by the Senate Privileges and
Elections Committee. It will
meet next Monday. This con-
test involved the leadership of
Senator Huey P. Long, the Louis
lana "Kingfish," and resulted
in quite a furore when a sub
committee went to New Orleans
some months ago.
The Senate Judiciary Commit
tee will reopen it's inquiry into
affairs of the Hartman Ma
tional Bank in New York city
June 26. It will try to shed
some light on the long delay by
Government officials in taking
action a-ainst j. w. Hartman,
its president, since indicted on
criminal charges for his han
ding Of the banks affairs.
PeOnage to Be PrObed
The same committee was to
investigate charges of peonage in
M1SSlSsi .oi River leVee work.
The House Judiciary Commit
tee promised an inquiry into the
official conduct of Federal Judge
Lowell in Boston. He was the
jurist who declined to deliver a
negro prisoner, accused of mur-
der, to Virginia officials on the
ground that a negro could not
get fair trial in the Southern
State. 1t led to demands for his
impeachment.