Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1935-07-18


1t will be difficult for protagonists
of our existing democracy" to ex-
plain away the action of the House
ON the holding-company bill and Of
the Glass subcommittee on the bank
ing bill. Not by any stretch of the
truth can they pretend that the peO-
pie, of, by, and for whom the coun-
try is to be governed, determined the
fate of either bill. The House voted
against the death sentence fer hold
| ing companies to favor a privileged
minority of investors The Glass sub
committee refused genuine govern
ment control of the volume of deposit
money. restored to deposit bankers the
business of issuing securities, and au-
thoriZed the revival of interlocking
directOrates. Senator Glass, heavily
belaureled this year by honorary doc
tOrates from Eastern universities, rem
dered a signal service to bankers as
a special class. The ultimate form
of the banking bill may yet be
changed through the resistance of the
house. where public control of the
volume of money is a popular cause.
The death sentence in the holding
company bill could be saved through
the influence of the Senate, where
the utilities lobby is not so effective.
This looks as though democracy has
friends enough in both houses to save
itself. But adversely developed, the
picture is not so satisfactory. High
finance chooses its fighting ground
to suit its ends. The bankers use the
technique of conspiracy, which flour
iSheS most effectively in Senate SUBJ
committee which, if not corrupt, be-
lieveS passionately in the virtue of
private banking and in the sin of
financial democracy. The eloquence
of the utilities must be more direct;
they tell a Congressman that they
will finance his reelection or assure
his defeat. This argument is most
potent in the House, where every
member must stand for reelection
next year. So the utilities concen-
trate on the House.
There will be no public inquiry
into the Vaccinations of DR.. Glass.
for it could only demonstrate that he
is an alert, astute Old World gentle
man. with a worship of bankers as
religious as any Communists faith
in the proletariat. But an inquiry
into the utilities lobby is unavoid-
able. Representative Rankin predicts
it will uncover a saturnalia of cor
ruption that will rock this capital
and shock the American people from
coast to coast These lobbyists went
to an extent of racketeering never
before known in the history of this
government" While it is doubtful
that an inquiry will reveal anything
sensationally different from the ira
ditional utility methods of controlling
legislation and Legislators, an inves-
tigation is essential. and should be
intrusted to a Senate committee am
ply supplied with funds and with the
full rights of subpoena. Certainly a
House inquiry by the Rules Commit
tee could accomplish little. It's chair
man. Congressman OConnor. a serv-
ant of Tammany. voted for the util-
tiles. and only three members of
the committee would be interested in
exposing the lobby. Even so it is
doubtful whether the inquiry will be
able to throw light on the unexpected
help given the utilities by two of their
leading foes. One is Chairman Ray
burn of the Interstate Commerce
Committee. To quote Representative
Rankin: His capitulation was the
, most Notwithstanding and pathetic
. spectacle I have ever witnessed since
have been a member of Congress.
I The other is Congressman Brewster
of Maine. who became the hero of the
utilities by voting against the death
sentence and by airing an attack on
, Thomas Corcoran, one of the PreSi-
| dents personal aides in the utility
fight. Brewster had given his word
: that he was 100 per cent" for the
| Administration bill. He had been re
: ceived into the confidential meeting
Of those leading the campaign for il.
: u .yaS - 49, os legal work for
, the PaSSo~ ddy project. which
: the Main, oC,Gties still hope TO un-
dermine. - lnSentei himself from
IN r.. hat t.>a Sr,~$