The public ledger. [volume] (Maysville, Ky.) 1913-1968, 1917-01-25
BROKERS' SALES
DATA DEMANDED
IN LEAK PROBE
Stock Exchange Board Asks Members
10 Furnish Records During Time
Of Alleged Huge PrOfits-Ac.
ton Taken After Threat
by 'PrObers.

New York, January 23-Confronted
With a threat by the House Rules
Committee in charge of the leak
inquiry to force the production of
brokers records if not produced vol
ntarily, the Board of Governors of
the New York Stock Exchange tonight
requested every member of the EX-
change to make available for the COM
mittee the desired data. The records
Sou ght cover the period from Deem
her 10 to December 90 during which
tine, it is alleged, persons in posses
SIGN of advance information en- the
Presidents peace note made huge
profits in the stock market
The action of the board followed no.
tlce given the Rules Committee during
its session here today that action on
the committees request for the pro-
duction of the brokers accounts, in
Guiding the real names" of custom
ers who dealt in the market during
the period mentioned and the extent
OF their operations on either side of
the account, had been postponed.
Surprised and indignant over the
action OF the board. the committee adj
viscd Harry G. S. Noble, president of
the Exchange, who, accompanied by
counsel, brought news of the post
pOnement, that it would not modify
its request in any manner. If the
beard had any suggestions of modl-
ications. Noble was told, the commit
zee would receive them, but if it failed
u obtain The production of a desired
aooount the committee would exer-
else its power and force each broker
Individually to produce them. Prompt
compliance by the Board of Cover
nors, the committee made clear, was
Gssired.
An offer to receive the names of
customers in sealed envelopes appar-
eatly appealed to the Board of Cover
n0rs. In a set of resolutions adopted
after a hurriedly called meeting the
board asks specifically that the men,
bers furnish the chairman of the
Clearing House Committee with state
ments showing on what stock custo-
mers were long and short at the end
1j each day between December 10 and
IeJember %, the real names of the
Hlstomers, the stocks they dealt in
nd the number of shares each, what
Clearing House stocks were borrow
ell, when and from whom borrowed,
and when returned also are to be in
Guided.
Members further are requested to
advise the secretary of the Exchange
If they received any cable or wireless
communication from abroad with ref
erence to the Presidents peace note
before 1t was made public here. This
request was in keeping with the mo-
ton adopted by the Rules Committee
today.
Committee Is Satisfied
The committee, advised by tele-
ii.ne of the action taken by the
Beard Of Governors at their second
meeting, expressed satisfaction.
Mr.. Noble and Samuel F. STREET,
chairman of the New York Stock Ex-
change Clearing House Committee,
were the only witnesses examined to-
day. They were questioned by Mr..
Whipple as to the power of specula-
tive cliques to manipulate the mar
ket by short" selling at the expense
of "the leak beneficiaries. Both wit
nesses public" and taking advantage
OF "unfavorable news In order to
depress prices and 'cover" at a profit
Shorts" are alleged to have been
required to describe In detail the
operations Of the Stock Exchange ma
chInery with special attention 10