Meade County news. [volume] (Meade, Kan.) 1900-1918, 1913-04-24


CARDS as good collateral, it must
be be passed by what is known
as the Stock List Committee.
This requires written appliction
showing in detail the condition
of the concern; must be accomp-
anied by sample stock certifi-~
cate, bond, mortgage, or other
security to be listed, printed by
the American Bank Note Com
pany; together with the listing
fee of $50 for each million par
value of the issue. The Ameri-
can Bank Note Company is con-
trolled by certain members of
the Exchange, and unless all
certificates, stocks, bonds,
mortgages, etc, are printed by
it, the Governing Committee of
the Exchange will refuse to list
| it.
The Committee on Stock List
may also direct that any security
be taken from the list, and fur
ther dealings prohibited, and
the Governing Committee may
suspend dealings in securities
previously admitted to quotation
on the Exchange, or summarily
remove any securities from the
list without notice.
These provisions are frequent.
lY used by the owners of the
bulk of stock to squeeze out the
minority stockholders. In the
organization of the Southern
Railway Company, by ]. p. Nor
gan & Company, some nineteen
years ago, certificates represent
ing over $4,000 shares, whose
holders were unwilling to re-
sign their their voting powers,
were thus summarily removed
from the stock list, taken from
the marker, and rendered prac-
tically valueless and the same
plan was followed in the organi-
cation of the tobacco trust. This
trust was created by the CONSOLE
dation of the American Tobacco
Company and the Continental
Tobacco Company under the
name of the Consolidated To-
bacco Company, The Consoli-
dated agreed to pay IS per cent
OF the value of 3O,000,000 shares
of the two old concerns at 200
and par, respectively, and the
Exchange of stock proceeded un-
til the trust had acquired all but
about II, 500 shares of the COM
mon stock of the old American
company when Thomas f. Ryan
requested that this issue be
stricken from the list. The re-
quest was granted, and value of
the 1,500 shares practically de-
stroyed.
The Exchange controls the
New York Telephone Company
and prohibits any other service
to its members. If any member
of the Exchange has any COM
munication by telephone, tele-
graph, letter, messenger, or
otherwise, with any member of
either of the other two exchange
es, for the first offense he is fin
ed $4,000, and for any subse-,
quent offense his seat is confis-
Gated and he is barred from the
Exchange. No stock listed on
either the Consolidated or the
Produce Exchange may be sold
on this exchange; no member of
either of these exchanges may
become member OF this Ex-
change, and no member of this
Exchange may accept com
mission from or engage in any
kind of business with or for the
members of either of the other
exchanges.
In many respects the Stock
Exchange and the Clearing
House are similar. They are
both unincorporated; are con-
trolled by the same men; pro-
hibit competition among their
members; deny that the legisla-
ture of the state of New York
and the congress of the United
States have any right to either
regulate or control them; and
deny that any court in the land,
state or federal, has the power
to either restrain or punish them
for anv of their acts, no matter