Evening star., 1940-04-19

$4,000 NY SllSh YOuIlR
men from the S. E. C. and other ex-
ecutive agencies.
The last article in the series by
the former Roosevelt -truster,
now far of the New Deal reserva.
ton, concerns the committees in
surance study, now in its second
year. He calls the article Sharp
shooting at Insurance" and develops
the idea that the hearings have
caused widespread fear among policy
holders that maybe there is some.
thing wrong with insurance" He
says the T. N. E. Cs insurance in.
vestlgation, conducted by the S. E.
c., has involved a search into all
the hooks and crannies" of the busi-
ness and has gone of on tangents
that have naturally alarmed peo-
Pile" Not only the purpose but the
scope Of the inquiry has been "veiled
In mystery"
Mr.. Moley suggests that what the
clever S. E. c. probers are aiming
at Is a recommendation either that
the Federal Government go COM
petitively into the insurance busi-
ness or set up Federal control of the
business. He says that the develop
ments before the T. N. E. C. will
bear watching.
Write Important Record.
So they will, for the T. N. E. c.,
through both its insurance study
and its inquiry into other aspects
Of the American business system. is
quietly writing record of the
utmost importance. a record that
Will be a source book of material for
students and practitioners of gov
eminent for years to come.
But the case which Mr.. Moley
builds up, In telling what he calls
the incredibly involved story" of
the insurance investigation. is based
on what he believes to be in the
minds of the S. E. c. investigators,
notably Leon Henderson, one of the
commissioners, and young Gerhard
A. Gesell, the S. E. C. counsel. It
may be that he reads their minds
correctly. 1t may be that they would
like to see come out Of the hearings
some recommendation of Federal,
supplanting State, control of insur-
| ance, or even some form of Federal
competition with the insurance
companies. There can be no quar-.
rel with Mr. Moley for setting out
his inferences.
Whether or not they are warrant.
ed, there is no faintest evidence that
the congressional members Of the
committee-six in the total Of l2-
have been swayed toward any action
lnlmical to the insurance companies
or tending to jeopardize the value Of
life insurance policies. Mr.. Moley
himself points to statements by the
committee. chairman. Senator
OMahoney, that the committee has
never met to consider recommen-
dations with regard to insurance, and
that no member has ever spoken to
him about proposing regulatory
legislation or the entrance of the
Government into the insurance bust.
ness.
Hardly Hoodwinkable.
The only point I want to make
is that If any policyholder begins
seeing things under the bed as the
result Of Mr.. Moley's articles. he
should take look at the roster of
congressional members of the COM
mittee and be comforted. Any idea
that these old legislative hands have
been or can be hoodwinked by Mr..
Gesell or Mr.. Henderson or Jerome
Frank Is preposterous. II these
gentlemen are really up to some
anti-prof1t-motive skulduggery, as
MIR. Moley seems to think, you can
rest assured that the congressional
member Of the committee are aware
OF the fact. think it is also safe
to assume, from the known views
OF these members, that the interests
OF private business generally are
safe in their hands.
The chairman of the committee is
a shrewd Irishman, Joseph c. OMa-
honey, as firm believer in the cap
italistic system as there is in Con.
gress. He will long be remembered
for his mastery attack on the court
packing plan. His Democratic asso.
ciate from the Senate Is William H.
King OF Utah, apostle Of economy in
government. The third senatorial
member is Wallace H. White, a
Maine Republican and an able leg
islator Members of the committee
from the House are Hatton w. Sum-
ners. Democrat, Of Texas, chairman
OF the House Judiciary Committee,
one OF the strong men of Congress;
Clyde Williams, Democrat, of Mis-
souri,, and B. Carroll Reece, Repub-
lican, Of Tennessee, both experienced
men who know their way around.
Any suggestion that these six can't
protect themselves against any and
all designs, hidden or otherwise, Of
the departmental members or agents
Of the committee Is too fantastic for
words,