Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1918-11-21
CONTINUE CAPITAL CONTROL
Restrictions to Safeguard Lib
erty Bonds Is Deemed to
Be Necessary.
REGULATIONS ARE RELAXED
Strict Rules to Be Modified ;
Status of Control Is
Unsettled.

WASHINGTON. Nov. 2O.--Socre-
tary McAdoo and members OF the
capital issues committee agreed to-
day that the committee should con-
tinue indefinitely its functions OF su-
! pcrvising proposed issues OF stocks
and bonds for capital purposes. as a
measure OF ratfoninG capital in prep
aration for future war loans. AT the
same time 1t became known that the
treasury plans tentatively to float
about $4,000. 900, 900 more securities
| during 1919 and hopes to get at least
| two billions OF this sum from war
savings.
Despite the decision to continue
| the activity OF the capital issues
| committee In an effort to suppress
| fraudulent securities which prOmot-
| ers would seek to exchange for Lib
! erty bonds held by small purchasers,
considerable doubt over the future
status of the committee still exists
| in the mind Of Secretary McAdoo
and other treasury officials. 1t was
said.
May Ask for Power.
Some advocate that congress be
| asked to give the committee COM
pulsory power, which II now lacks,
and without which II is feared IL
can not make its restrictions effec-
tive after the ardor Of wartime CO.
| operation among business interests
has cooled. Others suggest that the
functions OF the committee be taken
over by treasury agency TO which
the president might delegate his
hn
erty bond act. to regulate the sale
Of Liberty bonds. In this manner,
II might he possible to require pro-
moters who exchange their seCuri-
ties for Liberty bonds to report reg
ularly the amounts OF bonds thus
taken in, and these reports. II il felt,
might act as a restraining influence.
Members OF the capital issues COM
mittee. although expressing them
selves as individually anxious to re-
linquish their duties, agreed to take
up questions OF relaxing their past
strict regulations to permit the float !
ing OF bonds for public improve
ments by states, counties and munic- !
ipalities and to facilitate the con-
struction OF buildings in reCiuns'
where materials and labor are avail .
able without detracting from more
eSSentlal government projects, IN I
other words. the committee now in |
tends TO work out a systematic pro- |
gram for permitting the financing |
OF enterprises which will take up |
the slack in Industrial and labor |
fields caused by cessation OF war ac- |
tivities.
To Issue Statement.
This policy. when formulated. will !
be set forth In statement by the .
committee. This may he issued |
within a few days.
Special effort will be made to dis
courage the floating OF questionable |
or highly speculative securities is
sues. although without authority to .
coerCe promoters. the committee
must rely mainly on the cooperation
OF investment bankers and other
banking interests, whose leaders
have assured the committee of sup
port.
Another difficult problem OF late
war financing confronting the treas
ury IL the maintenance OF the ex-
tensive war savings organization,
built up during the last year, with
thousands of men and women giving
compensation. Many OF these work
crs now wish TO be relieved of their
duties, but the treasury is urging
them to stay, both to aid in gather
ing $4,000. 900, 900 in the campaign
of 1919 and to preach the doctrine OF
thrift,