The Birmingham age-herald., 1909-04-26
TENNESSEE PROPOSES
 COTTON MARKET REFORM
By WALTER PARKER.

New Orleans, April 25.-Telegrams from legislature has passed a genuine anti bucketshop law by an overwhelming ma jority. Thus. for the first time in the history of the south, a southern state has made practical provision for the pro hibition of gambling in It's relation to agricultural products. Further advices from Nashville are to the effect that Gov ernor Patterson will sign the bill, and that 1t will go into effect immediately thereafter.
 This bill prohibits, under severe penal ties, all so-called future trading in agri- cultural products where a bona fide in tention to receive and deliver the com modity traded in does not exist at the time the transaction is entered into, but 1t does not interfere with the right of any man to buy or sell such commodi- ties for future delivery where a bona fide intention to deliver and receive does exist.
 The Tennessee bill fully meets the views of the federal government, the legitimate cotton trade; and market experts the WOTlQ OFGT. Ol IL GI6Siutnl w. b. l uOlnp son of the New Orleans Cotton Ex- change says:
 Tt is the sort of legislation all the southern states should have adopted long ago. Had they done so the immense losses to the producing class occasioned by the harmful phases of such laws as the Boykin of Georgia, the Mayfield of Texas and the Boddie of Mississippi would not have occurred. During many years past the New Orleans Cotton Exchange, in the interest of the producer as well as of the cotton trade generally, has urged the passage of anti-bucketshop laws similar to the Tennessee measure.
 "In line with it's broad policy of i'm provement, and more particularly to meet the conditions imposed by the growth of the cotton market and the altered en- vironment that has come in recent years the New Orleans Cotton Exchange, alter
 many months of arduous labor, has just
 promulgated it's new rules. It's new fu- ture contract and its regulations to place in operation several important funda- mental improvements, all of which are
 designed to make the producers cotton
 market at New Orleans the fairest, clean est, broadest and most helpful market in the world. We are also preparing to create modern cotton warehouses and
 handling devices which will give the own
 CT of American cotton the greatest prac-
 ticaI facilities and widest possible bene- fits"
 The manipulation by a certain class of speculators of the price of contracts fol the future delivery of cotton and the effect of such manipulation upon the
 price of the product and upon the trade has in recent years caused an antagon. ism to arise against the system of future trading and resulted in legislation against
 such trading.
 The United States Congress some timt ago adopted a resolution calling for al inquiry into the alleged evils of future trading and MT. Herbert Knox Smith commissioner of corporations of the de partment of commerce and labor, un 1 dertook and prosecuted under such resolu 1 tion a thorough and searching invesuga | tion of the methods of the cotton ex 1 changes of this country.
 ] This investigation showed that certain l inequalities in the future contracts anc l certain inequalities In the rules undel which the same were administered, die