The man thus attacking us is usually, like so many of his fellows, either a great lawyer, or a paid editor who takes his commands from the financiers and his arguments from their attorneys. If the former, he has defended many malefactors, and he knows well that, thanks to the advice of lawyers like himself, a certain kind of modern corporation has been turned into an admirable instrument by which to render it well nigh impossible to get at the really guilty man, so that in most cases the only way of punishing the wrong is by fining the corporation or by proceeding personally against some of the minor agents. These lawyers and their employers are the men mainly responsible for this state of things, and their responsibility is shared with the legislators who ingeniously oppose the passing of just and effective laws, and with those judges whose one aim seems to be to construe such laws so that they cannot be executed. Nothing is sillier than this outcry on behalf of the “innocent stockholders” in the corporations. We are besought to pity the Standard Oil Company for a fine relatively far less great than the fines every day inflicted in the police courts upon multitudes of push cart peddlers and other petty offenders, whose woes never extort one word from the men whose withers are wrung by the woes of the mighty. The stockholders have the control of the corporation in their own hands. The corporation officials are elected by those holding the majority of the stock and can keep office only by having behind them the goodwill of these majority stockholders. They are not entitled to the slightest pity if they deliberately choose to resign into the hands of great wrongdoers the control of the corporations in which they own the stock. Of course innocent people have become involved in these big corporations and suffer because of the misdeeds of their criminal associates. Let these innocent people be careful not to invest in corporations where those in control are not men of probity, men who respect the laws; above all let them avoid the men who make it their one effort to evade or defy the laws. But if these honest innocent people are in the majority in any corporation they can immediately resume control and throw out of the directory the men who misrepresent them. Does any man for a moment suppose that the majority stockholders of the Standard Oil are others than Mr. Rockefeller and his associates themselves and the beneficiaries of their wrongdoing? When the stock is watered so that the innocent investors suffer, a grave wrong is indeed done to these innocent investors as well as to the public; but the public men, lawyers and editors, to whom I refer, do not under these circumstances express sympathy for the innocent; on the contrary they are the first to protest with frantic vehemence against our efforts by law to put a stop to over-capitalization and stock-watering. The apologists of successful dishonesty always declaim against any effort to punish or prevent it on the ground that such effort will “unsettle business.” It is they who by their acts have unsettled business; and the very men raising this cry spend hundreds of thousands of dollars in securing, by speech, editorial, book or pamphlet, the defense by misstatement of what they have done; and yet when we correct their misstatements by telling the truth, they declaim against us for breaking silence, lest “values be unsettled!” They have hurt honest businessmen, honest working men, honest farmers; and now they clamor against the truth being told.
The keynote of all these attacks upon the effort to secure honesty in business and in politics, is expressed in a recent speech, in which the speaker stated that prosperity had been checked by the effort for the “moral regeneration of the business world,” an effort which he denounced as “unnatural, unwarranted, and injurious” and for which he stated the panic was the penalty. The morality of such a plea is precisely as great as if made on behalf of the men caught in a gambling establishment when that gambling establishment is raided by the police. If such words mean anything they mean that those whose sentiments they represent stand against the effort to bring about a moral regeneration of business which will prevent a repetition of the insurance, banking, and street railroad scandals in New York; a repetition of the Chicago and Alton deal; a repetition of the combination between certain professional politicians, certain professional labor leaders and certain big financiers from the disgrace of which San Francisco has just been rescued; a repetition of the successful efforts by the Standard Oil people to crush out every competitor, to overawe the common carriers, and to establish a monopoly which treats the public with the contempt which the public deserves so long as it permits men like the public men of whom I speak to represent it in politics, men like the heads of colleges to whom I refer to educate its youth. The outcry against stopping dishonest practices among the very wealthy is precisely similar to the outcry raised against every effort for cleanliness and decency in city government because, forsooth, it will “hurt business.” The same outcry is made against the Department of Justice for prosecuting
