New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-01-25
Hearings Are Off Until
Next Week, ProberS
Go to Caucus
WHIPPLE PLANS
TO SPEED DATA
Chiperheld in Clash with
Counsel for House
Committee

\
leak hearing followed the discovery
Yesterday that it would take several
days at least for the members OF the
stock Exchange to produce the data
required by the Committee on Rules
Of the House of Representatives.
The members of the committee,
with the exception OF Chairman
Henry. of Texas, took the oppor-
tunity to return to Washington for
their party caucuses. They plan to
get back for a resumption of the
hearing Monday or Tuesday of next
week. The exact date will be deter
mined at a meeting of the committee
r,embers in Washington some time
later this week.
The information that liberal al
lowance of time must accompany the
request to stock brokers to produce
their daily balance sheets for the
thirteen days between December IL
and % burst like Ignite she'll upon
the committee at the morning ses-
sion. Chairman STREET., of the COM
mittee on clearing house Of the Stock
Exchange, with whom, under the
agreements, the brokers are to de-
posit their records, was on the wit
ness stand at the time.
May Take Month
When" asked Representative
Chiperfeld, of Illinois, may we eX-
pect the brokers to begin to turn
over their accounts to you?"
81 can only speak for my own
house (H. T. Carey & CO.., COM
paratively small house." replied Mr..
Streit. "ln our case the preparation
Of the documents called for will take
about two weeks"
"And how long will it take for the
larger houses?"
a rnonth--thst is, in my opinion
As the committees life expires on
March 4 the effect of this announce
ment 10 it had not been apparent,
might easily have been inferred.
"You take our breath away" ex-
claimed Representative Chiperfeld.
Mr.. Streit explained that in the case
Of his own firm, to comply with the
request of the committee, meant that
bookkeeper must go back in the ledger
70 the accounts of each day of the pc
riod involved and strike a trial balance
for every one Of from 125 10 130 ac-
counts.
Some houses in the Street here have
over 1000 accounts" he continued, "a
great many Of them with customers
living in Chicago and San Francisco,
me record Of whose balances is kept
at the branch offices in those cities"
Whipple Shows Way TO Speed
But Sherman L. Whipple, counsel for
the committee, got him TO admit that
if accountants were employed in strik-
ing the daily balances required, with
out anything else TO do, their produc-
ton might be greatly expedited.
II venture to think" he said. turn
ing to the committee, "that, from what
the experts of the committee tell me,
the time for the production of these
records can be considerably reduced by
efficient help on the part Of the com
mittee's experts. Plans will be made
70 make the information promptly
available
Nevertheless as the result of an eX-
ecutive meeting Of the committee fol-
lowing the leak hearing. which was ad-
Journed at noon, a supplemental re-
quest was made TO the board of gov
crnors of the Stock Exchange which
was expected not only 20 simplify the
bookkeeping task Of furnishing the de
sired data, but TO provide for the great
er protection of the small operators
whom the committee finds not 10 be
involved in the inquiry.
Under the new scheme the actual
account is TO be submitted in one en-
velope and the name of the customer
m another, with a common symbol for
both. II the account, on examination,
appears innocent of participation in
the leak the envelope containing the
name will remain sealed.
Stock Exchange TO Act
The board of governors of the Stock
Exchange agreed 10 submit the supple
mental request 10 the members. The
committee scattered for Washington
trains, assuming that the brokers
would accede 90 IL rather than 90 to
Jail for contumacy.
But Mr.. Whipple made IT plain that
II any broker refused, the power of
Congress would be employed 10 force
him TO reveal the information required,
regardless OF any natural desire he
might have to shield a customer from
publicity.
Adequate plans have been arranged" T"
Mr. N'hipple said, whereby customers
Of every brokerage house who are not
the object Of inquiry as defined in the
Congressional resolution will be protect
I'd from public disclosure. There will
be no danger OF sny transaction or