The citizen-Republican. (Scotland, Bon Homme County, S.D.) 1???-19??, 1918-05-16
HOME COMP NIES
GIVEN BIG BOOST
South Dakota Securities Com
mission Raps Concerns Sell
ing Oil and Mining Stocks.

AAlSS1OH MAPS COucernS Sell
ing Oil and Mining Stocks.
Pierre, S. d., May 13.-The annual
report OF the state securities commits
sion sion, popularly known as the blue
sky commission" the purpose Of which
BOARD is to examine companies desir-
ing to sell corporation stock In South
Dakota and pass upon Its honesty be-
lore such can be done. is just Issued,
and It points out the desirability of in
Vestlng IN home elevator and CO -oper-
alive companies, showing them to be
very profitable--and on the other hand
AZ. dfscOurages the investments in the
OH and mining stock companies, stat
ing that the total sum of money really
/ thrown away upon these enterprises is
a tremendous drain upon our re-
sources"
The report says Of the elevator and
CO. operative companies:
From the foregoing figures :
II IS amply shown that the small CO.
operative companies Of the state are
being conducted on profitable basis.
THIS is especially true OF the elevator
| companies. The reports show that
each elevator is using, from $4,000 to
$4,000 of borrowed money obtained
from banks and commission companies.
Notwithstanding the payment of con-
siderable sums for interest, the busi ;
ness is highly profitable. This leads to
the suggestion that much more capital
| could be employed in these elevator
companies, thus reducing the necessity
ing large sums now being paid for in
| terest. The commission has a right to
feel a pride in the success OF the CO.
operative companies. 1T means that
South Dakota people have the ability
to cooperate and make the best use
Of their combined capital and credit.
The facts also prove that the farmer
| should realize that he can find a far
safer and more reInunerative invest
ment at his own door and one that lis
very much better than the average
| stock proposition offered by other cor
| porations.
It says Of the oil and mining propo-
sftions:
| THE oil and mining companies con-
Sstitute one Of the serious problems be-
of money really thrown away upon
these enterprises annually is a tre-8
mendous drain upon our financial re-
sources. Our records show, however,
that this class Of companies have been
reduced more SO per cent in the past
few months, and from the same rec
cords it would appear that only in
| special cases should any new ones be
admitted" It says further OF the oil
and mining companies: There are
16 oil and mining companies upon our
records showing a total outstanding
these companies shows gain and no
facts are submitted which Indicate
any great progress in the way of ex-
ploration.''
The report shows that log compan-
les made and filed annual statements
| $40. 1893. 435. A total gain on these
was S905.512 or an average OF 1.S per
cent on the entire outstanding capital.
OF this total there were 38 domestic
corporations, engaged In operating
stores, elevators and creameries, with
ing $l10,310 or 80 per cent on outstand
ing capital. ~ n
Twelve companies miscellaneous,
with total capital OF $21. 059, 256, showed
gains of s195,202 or 34s per cent on
capital. Under this head however, is.
included report OF one of the largest
light and power companies in America,
which sells stock here. consequently.
the other il it will be understood were
small companies and the gains nomi-
nal.
Forty miscellaneous companies with
q capital totaling s21,112.751 report no
gains. and In many instances show
losses, and this materially reduced the
! average gains as shown on all com q
1 panies. zs M
AS nOteQ ABOUT 10 oil and mining
companies are on the lists, not one 81
1 which showed any gains.
The report In closing says of sale Of
i stock: On the whole the reports show
1 that the sale OF stocks in the different
4 enterprises results In much waste of5
money and In idle capital. OF course
under the law 4 Is 9 question Of hon
esty and il nofactual or III hereat fraud
4 appears the commission cannot suc-
/ sessiully prevent sales. It would seem
4 however, that more intelligent public
opinion would aid ma terially in curing
1 sle situation, and y sis therefore sug-
gested that the foregoing figures Be
4 published for the benefit Of the people3
4 OF the state 4 8 ~ A'.s
BOY ACCIDENTALLY SHOT
Will SOON RECOVER
Mad son, s. d, May is. The u -vear
4 Old son of Joseph Cavigellia. Ramo Ma
"a 3; D 3. was accidentally shot 81 q.
Il iaa is reported out Of danger. a
:sz &. iber rifle had been pIaced ~, i
u i ~. g Keep the CHI dren from handling