Free trader-journal. (Ottawa, Ill.) 1916-1920, 1918-06-29
BLUE SKY LAW IS
GETTING RESULTS
AS REPORT SHOWS

+ MOST 10 PER CENT. OF APPLt
/ Giants FoR PERMIT TO SELL
STOCKS.
Springfield. June 2s-Tha, the blue
sky IS no longer 4 commodity for sale
IN uHnois is indicated by the report
1l Secretary OF STATE Louis l. En-
mersou on the first f,e months oy
Grafton OF The new Illinois blue SKY
Law our Of some 1000 or S 600 cor
p0ratluus tn The state organized for
teaiiug In stocks. bonds ana other ST.
curit.es, ouly 332 have received GER
,lhcates TO continue In business Most
OF the number did not even ask tor
certificates after they had read the
law and what Secretary Emmerson
said about its application
The blue sky law was adopted by
The last legislature. hut no appropria-
ion vas made to create a department
to take care OF lis enforcement Ney
erthless, Secretary Emmer,on setI
abou, organizing for the ldmnistrl
lion OF the IaW and his report issued
today shows that it has been applied
vigorously.
During the month Of January 1000
copies Of the law and sets OF blanks
~ le mailed to the various concerns
eImts,mg them. Since thar time APP
pr mately $500 similar requests
have been complied with. OUT of
this number only 500 applications
we're dled IN the first five months ops
GRAFTON Of The law, showing that the
blue sky artist did not care to at
empt to comply with the new act
when it was found by reading the
blanks that It would be necessary for
h. issuing company to show how ia
ma lteu doing business and how it
proposed 70 do business in the fu
M, A check on the companies
which have not complied with the law
shows hat they have ceased to 10
business in he state
or the 500 applications filed, the de
partment has passed fayorably on
332 and denied Il, A large number
o. con ranies withdrew applications
rather than furnish the detailed infor
nation required by the department
The new law has revealed the fact
that Illinois has been fertile field
for stock johbers The secretary oi
state found practically every kind OF
A corporation. association or com
pany conceivable by the human mind
~ operation in the state a greater
variety OF propositions and opp0rtuni'
ties for the investing public is on file
IN the blue sky department of the sec
rotary of states office, than can be
found anywhere else There are com
panes manufacturing everything from
a harpin to large farm tractors, min
ing companies developing all kinds
Of minerals, oil companies scattered
from the wild cat territory OF Mon
tana to the proven fields Of Louisiana
patent medicine companies and soft
drink companies Almost every one
of these concerns declares it Is pro
ducing or will produce an art, cle
without which the United States
cannot win the war
Just now a number Of corporations
are being organized for agricultural
purposes Large tracts Of land are
being purchased by various agricul-
mral companies for the production Of
agriculture products on an enormous
scale
1T has been the attitude of Secre-
tary Emmerson at all times to assist
parties who desire to promote le-
Ultimate proposition and yet not
make the standard 50 high that 1t Is
impossible for any one who has a
proposition to eamply with the law
w. r. Flint. head Of he Blue Sky de-
partment Of the secretary office said
today.
In administering this law, Secre-
tary Emmerson has declared war
upon companies or ASSOCIATIONS which
have organized themselves into what
is known as a common law trust com
pany. Almost without exception, the
promoters of these associations con
END that they have formed an enti-
~ which is not subject TO the laws
OF God or man Many sue hassocia.
I tons appear To be entirely equitable
but upon careful analysis Of then
agreement Of association, 1t has been
found that invariably they were moth
ing more nor less. when construed
with a. view oil the laws OF this state
than large partnerships