Daily Arizona silver belt., 1909-02-05
DECLARES BUCKET SHOPS TO BE REsPoNsIBLE FOR DEPREs-
 SION IN PRICES
.I0 STOP DEAL|NG IN FUTURES
VIOLATION OF PROVISIONS MAY BE PUNISHED BY IMMERSION
 MENr' FOR TWO YEARS

' iANt GAh&u
 The fact that there is now no ade-
 quate law to prevent dealings in flu
 lures, and the further fact that the prices of commodities and especially
 mining property, in which our territory
 excels, are greatly depressed by such
 gambling transactions and that such
 transactions are against good morals and contrary to public policy. There
 fore: Be it Enacted. by the Legisla
 tive Assembly of the Territory of Ari
 zona:
 Section l. A Bucket Shop, within the meaning of this act is any place
 wherein dealing in futures is carried on contrary to any provisions of this act. Sw
 Sec ?. By each of the expressions futures'i, 'idealing in futures" and "future contracts Y as these terms are used in this act, is meant; CD A 'sale or purchase or contract to sell or offer
 to sell or purchase any copper, gold, silver, lead, cotton, grain or meat, or
 any stocks or bonds of any corporation
 to be delivered in the future when it is not the bona fde intention of the party being prosecuted under this act, at the time that such sale, contract,
 purchase or offer to sell or purchase
 was fade that the thing mentioned in
 such transaction should be delivered and paid for as specified in such tram saction.
 III (2) Any such sale, purchase, offer or contract, where it was the intention of
 the party being prosecuted hereunder at the time of making such contract or offer that the same should, or at
 the option of either party might be settled by paying or receiving a mar gin or profit on such contract.
 |I (3) Any purchase, sale, or offer of sale or purchase or contract for future delivery of anything mentioned in this
 any exchange or board of trade, the
 rules, bylaws, customs or regulations
 of which permit such contract or tran.
 saction to be settled or closed by de- livery or tender of any grade or grades
 of the thing mentioned in such contract or transaction, other than the grade
 upon which the price is based in said
 transaction, at any price other than
 the actual price for spot delivery of such other grade or grades at the time
 and place or delivery or tender.
 Sec. 3. If any person shall, either directly or indirectlyj carry on, conduct or be in other wise interested in car rying on or conducting any bucket shop, he shall be punished by two years confinement in the territorial prison at Florence, Arizona.
 See. 4. If any owner or person in
 the managmnt of control of any prop
 erty shall knowingly rent or lease the same to be used as a bucket shop, or shall knowingly permit the same to be , used. SC shall be fined not less than !; one hundred, nor more than two thous- and dollars, and may in addition there to, be confined in the county jail not less than one, nor more than six months. III Sec. 5. If any person shall act or offer to act as the agent or broker of any person in making or offering to make any future contract, he shall be fined not less than one hundred nor more than two thousand dollars, and shall be confined in the county jail not less than one nor more than six
 months.
 See. 6. If any person shall make or offer to make for himself any future |. contract, he shall be fined not less than one hundred nor more than five hun
 dred dollars and may be confined in the county jail not less than ten or more than thirty day; provided, it may be
 shown in defence of any prosecution
 under this section of this act that the transaction out of which such prose
 cution arose was "hedging" contract between parties in this territory and party or parties without this terri : tory, and if such contract was made in whole or in part by any message sent by telegraph or telephone, that such message was delivered to the telegraph or telephone company sending the same by the defendant himself, and not through, or by any broker or agent, and that such company rendering such ser vice was a common carrier, exclusively so engaged, with no direct or indirect connection with or interest in such transaction other than the transmission
 of such message and receiving the charges theremore which are not in ex-
 cess of the usual rate for commission messages between the points of trans mission and receipt of such message. Sec. 2. If any telegraph or telephone
 company or any agent thereof shall
 knowingly permit any telegraph or tel ephone wire or instrument to remain in any bucket shop or shall knowingly permit any of the wires, instruments or equipments of such telegraph or tel
 onhone company to be used by any Iperson engaged in any business ren-