Isaacs' brother is Chairman of the Marconi Company. It has therefore been secretly arranged between Isaacs and Samuel that the British people shall give the Marconi Company a very large sum of money through the agency of the said Samuel, and for the benefit of the said Isaacs. Incidentally, the monopoly that is about to be granted to Isaacs No. 2, through the ardent charity of Isaacs No. 1 and his colleague the Postmaster-General, is a monopoly involving antiquated methods, the refusal of competing tenders far cheaper and far more efficient, and the saddling of this country with corruptly purchased goods, which happen to be inferior goods.
The article went on to say that these "swindles" were apt to occur in any country, but that England alone lacked the will to punish them: "it is the lack of even a minimum standard of honour urging even honest men to protest against such villainy that has brought us where we are."
In September L. J. Maxse's National Review had a criticism of the contract by Major Archer-Shee, M.P., with editorial comment as well. In the same month the Morning Post and the Spectator pressed for further enquiry. The October number of the National Review contained a searching criticism of the whole business and called special attention to the Stock Exchange gamble in American Marconis.
A few days later—on October 11—the re-assembled House of Commons held the promised debate. In the light of what we know, it is fascinating to read how nobody told a lie exactly and the truth was concealed all the same. Here is Sir Rufus Isaacs. He begins by formulating the rumours against Mr. Herbert Samuel and Mr. Lloyd George and himself. But he is careful to formulate them in such a way that he can truthfully deny them. The rumours, he says, were that the Ministers had dealt in the shares of a Company with which the Government was negotiating a contract: "Never from the beginning . . . have I had one single transaction with the shares of that Company."
Literally true, as you see. The contract was with the English Company, the shares he had bought were in the American Company. He made no allusion to that purchase.
Mr. Herbert Samuel—who is not accused of having purchased shares himself but who knew of what his colleagues had done—treads the same careful line: "I say that these stories that members of the Cabinet, knowing the contract was in contemplation, and feeling that possibly the price of shares might rise, themselves, directly or indirectly bought any of those shares, or took any interest in this Company through any other party whatever, have not one syllable of truth in them. Neither I myself nor any of my colleagues have at any time held one shilling's worth of shares in this Company, directly or indirectly, or have derived one penny profit from the fluctuations in their prices." However, he promised a Parliamentary Committee to enquire into the whole affair.
Isaacs had denied any transactions with "that Company," Samuel with "this Company." Neither had ventured to say "the English Company"—for that would instantly have raised the question of the American Company. It is an odd truth that has to be phrased so delicately. Lloyd George, the first of the ministers to speak, managed better. He flew into a rage with an interjector: "The hon. member said something about the Government, and he has talked about 'rumours.' I want to know what these rumours are. If the hon. gentleman has any charge to make against the Government as a whole, or against individual members of it, I think it ought to be stated openly. The reason why the Government wanted a frank discussion before going to Committee* was because we wanted to bring here these rumours, these sinister rumours, that have been passing from one foul lip to another behind the backs of the House." He sat down, still in a white heat, without having denied anything.
[* Italics mine.]
The Master of Elibank did not deny anything either. He was not there. He was, indeed, no longer in the House of Commons. He had inherited the title of Lord Murray of Elibank. He had left England in August and did not return till the enquiry was over: nor did he send any communication of any sort.
As we have seen, no literal lie was told. But Parliament and the country assumed that the Ministers had denied any gambling in Marconis of any sort. And the Ministers must have known that this was what their denials had been taken to mean.*