Omaha daily bee., 1915-09-05
WAR CUTS SECURITY VALUES
Twenty Billion Dollars is Estimated
Depreciation Of Stocks and
Bonds.
MIx.UP ON THE PARIS BoURsE

Of The Associated Press
PARIS, Sept Lone hundred million
dollars Is the sum required. according 10
the best estimates. to pay balances due
on transactions on the Paris bourse at
the end OF July last year. settlement OF
which is still In suspense. Flnanciers
agree that the longer the settlement Is
postponed the more difficult the final
liquidation will become, so an earnest
effort Is being made to reach decision.
A law will be introduced In the Cham
Der of Deputies providing that the neces-
sary funds be advanced by the Bank Of
France on the guarantee of the govern
ment 20 aid the agents de change
official stock brokers-who are collect
lively and individually responsible for the
obligations OF traders dealing through
them. This law proposes that the "Cours
dc compensation" that is TO say the
basic price of each security on which set
Elements are made shall be fixed by a
commission composed of the minister of
finances, the presidents of the finance
committees OF the Senate and the Cham
bor OF Deputies. and the "Chambre Syn
dicale des AGENTS de ChanEe"-the di-
rectlng committee OF the Stock Brokers
association,
Under ordinary circumstances the
"Cours do compensation" upon which
deals are carried over from one settle
ment-day 10 another. are fixed by the
stock brokers' committee one hour be-
fore the closing OF the bourse. In con-
formlty with the cash quotations OF he
day. such n liquidation was impossible
at the outbreak OF the war, The closing
OF the bourse simply held all deals in
suspense
RroIS with finances Foes.
A great many OF them were between
Trenchmen and subjects OF powers no"
al war with France in which cases the
deliveries OF securities and the settlement
OF margins was and still Is impossible.
Besides. n great many investors and
spectators for whom transactions were
in course are at the front, Their inter
ests will be protected by carrying over
their deals on the bass OF the settlement
Driee until they are able 90 liduidate
As 10 subjects OF countries at war Win
France, their deals must be closed out
arbitrarily. II they are winners the at
fair Is simple; n they are losers the''
brokers must pay for them. That IL
pena,ty they incur In return for the
/ monopoly they have In the negotiation o.
! securities. That monopoly dates IRON
che creation Of the Rourse OF Pars n'
ascree OF the state council a. measnr'
40 restrict speculation after the oomr'e''
| decentralization OF French finances by IN
ejaculation 81 the ''Afississipui Bubble
inherent DEGREES OF the state eounci
D-oh,h,.aA negot'stiors OF securities e's"
where than on a pufoi'o market and CAV
the monopolv 20 seventy "sEents q
chanCe"-stock brokers-named by IN
king. -
Thsso seventy official stock orofe-
FORMED a permanent corunt''ee OF eige'
ipreslded over BY a -syDdic.~ or manage'
and this COMMITTEES 10 called ''chanor
sydieaIe des Agents De chAnes-i the,
with the approval OF the minister q &
nance. and IN accordance with spsciI
laws passed by Parliament. decide n
admission OF securities TO the offieI
quotations. All other securities are dea
1 IN freely bY curb brokers, and as the
transactions are not controlled. n Is In
possible to even estimate approximativel
the total OF the balances left unsettlS
the day OF the closing OF the bourse
The total value OF foreign ssouriti'
listed ~ the b0urse. December 3. 1918. thu