New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-02-09
ORGANIZE CURB MARKET
New Association Modelled on
Plan of Stock Exchange.
CONSTITUTION NOW READY
Won't Touch Listed Securities
Nor Deal with Members of
the Consolidated.

The constitution Of the association 10 be
formed OF the New York curb market
which document f. S Mendels, the curb
agent. and a committee OF advisers have
for several weeks been engaged in drafting
has been prt in its final form. and copies
have been sent 10 the members OF the curb
market for their signatures. In his letter
ACCOMPANYING IL Mr. Mendels said that the
two principal features OF the constitution
were the aifirmance OF the understanding
that the association was organized TO deal
crly in securities not dealt In on any de.
partment Of the New York Stock Exchange
and that trading in and quoting sales Of a
security must Immediately cease on the
curb when 1t was listed on the exchange;
and also that the curb market would re-
main public street market, open to all
who choose 10 trade there. subject only 20
the usual customs of business. that no one
was obliged to accept a contract unless as
sured that the other party 10 IT was re-
Halle and will fulfil the contract.
The organization which is being effected
Of the curb market has the approval of the
Stock Exchange. many Of the member
firms Of which have their representatives
Oh lilt tul " anu III It's BltldCiiE anu Us
provisions the new constitution is closely
modelled upon that OF the New York Stock
Exchange. One of the clauses which show
the closeness Of the connection between the
big exchange and the outside market is the
following, the effect Of which will he TO
prohibit members OF the curb association
from having any business afiliation with
members of the Consolidated Stock En-
Change:
ANY person who shall be connected
directly or indirectly or by a partner, with
any association other than the New York
Stuck Exchange in the City of New York
which permits dealings in any security or
property admitted 10 dealing in any de-
partment of the New York Stock Exchangs
shall be ineligible for membership"
The government Of the affairs OF the new
association. the constitution provides. is 20
be vested in a board of representatives. 10
be composed of fifteen members, OF whom
! five shall be elected each year.
This board is 10 elet from its own mem
bership a chairman. whose duties are to be
similar TO those Of the president in the
various exchanges; a secretary and treas
urer. The board, among its other func-
tions. is to FIX the amount OF initiation dues
| and listing fees, and of all salaries. II IS
I also empowered to appoint standing COM
mittees, as follows: a finance committee,
an arbitration committee and committees
| on commissions. admissions. listing, COM
plants, law and constitution and bylaws
All Of these are among the standing COM
/ mittees of the New Stock Exchange gov
erning committee, the list Of the latter
| including also committees on clearing
I house. insolvencies and securities. Al the
| annual election the members OF the asso'
/ citation are TO elect q nominating committee
/ OF I'VE. as Is customary az the elections Of
/ the exchanges.
The strict prohibition in the Stock TX
change constitution against members act
I ing for employees OF fellow-members with
| out authorization from the fellow-memoer
! is followed in the curb constitution, which
/ provides
The taking or carrying OF any account
/ ioint or otherwise, for an employe or
member Of the association, by MEMBER OF
! the association, without written consent Of
his employer, is prohibited. Any violation
of this article by any member OF the asso'
/ citation subjects him 10 such penalties as tht
! board Of representatives may determine