The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1918-06-05
Speculative Corporations To Be
Discouraged in Kansas.
Government Permits Required
for 100000 capitalization.
OIL COMPANIES TO BE HIT
Three New Banks Are Granted
Charters Today.
Two Others Denied Permit to
Open for Business.

The state charter board today put
big dent in the organizations Of
giant Kansas corporations on a specu-
lative basis Under a ruling of the
board every company with a capitalt-
zation~o of 100000 or greater. will be
denied admission to the state unless
it is an industry warranted in war
time. Before going before the state
board, the big companies must secure
federal approval.
Action by the state board means
simply one thing. Wild and unre-
stricted speculation will be shut Off
in this state during the war. In estab-
fishing the rule, the state board acted
upon regulations from Washington.
The board will simply refuse to grant
emission to stock selling corpora
ton with capitalizations of 100000
or more unless federal authorities ap-
prove the securities as of a nature to
warrant war time investment 1t is
the most drastic and far reaching rul-
ing by the state board since the be-
ginning of the war.
Will Hit Oil Companies
Oil companies and promotion pro-
jects will suffer heavily under today s
order. While the order applies only
to companies with capitalizations of
100000 or more, the big promotion
ana QGV6lOpIleHlS SCAellSS IL oAiA
southern Kansas will be hard hit. The
giant corporations with extensive
stock selling programs, will be COM
PEELED to lay their plans before fed
eral authorities before offering them
for the approval of the state board. IL
the government holds that the pro-
jects are of sufficient importance 10
warrant war time investments. the
state board will then consider char
ter and stock selling applications.
The charter board also ruled today
that bank charter applications would
not be passed upon until charters had
been filed. - -
Three new banks won charters to-
day-two were rejected.
In the case Of Home State Bank OF
Medicine Lodge, several bankers came
to Topeka to protest against a char
ter. Sam Griffin, a lawyer and for
mer Bull Moose candidate for attor-
ney general, attacked the list OF new
bank stockholders.
This man told me he didn't au-
thorize his name on this list" said
Griffin, indicating a name.
He Changed His Mind.
That's right said j. N. Tincher,
one of the incorporators and Repub-
lican candidate for congress. That's
right. He first wanted $4,000 worth
of stock. We thought he might secure
S1,UUU worth. linen we IOunQ IIldL ne
was a Stacker and hasn't bought a
dollars worth of Liberty bonds or do
mated to the Red Cross. He isn't a
stockholder. He couldn't get dol
lars worth of our stock"
That ended the proceedings Tinch-
er and a delegation of prominent Med
icine Lodge business men and wealthy
Barber county farmers won their
charter. Their bank is capitalized for
$4,000.
Representative w. R. Peal and a
number of Augusta business men won
a charter for fourth bank at
Augusta, Butler county. The new bank
is the Prairie State, capitalized for
$4,000. The board also approved the
application Of the Farmers State bank
of Norton, capitalized at $25,000.
Two charters were rejected. One
was the Reserve State bank of Salina.
with capital of $4,000. The second
was the Farmers State bank of Ro-
salia, Butler county, with capital of
$4,000.