The Monte Vista journal., 1919-02-08

,.uts yielded 70 tue s"'~' sss
..,,Ions made by the COMMITTEES ana
-. als,riei committees that their en-
,.,ori..s or projects should be post-
...,d until after the war. More
aver the very fact OF the creation Of
~. COMMITTEES WAS suiicisnt 10 dis
'.n,.ss the Offering OF . large vol.
nus a, securities which were In con-
,.r,ia,ion. but which weFo also
n,.,ponsd In conformity WIKI the
committees public appssls for COOP
Grafton,
These appeals were addressed gen.
,,.lly to the Investment bankers Of
N. country. TO tho member banks OF
IN, Federal Reserve System. to State
oseial. charged with the regulation
=, public utility and othse corpora
,,op. 10 local Government omciala
and 10 tho business public. Tho re-
.ponsc In most cases indicated . pat
rio,le willingness 10 cooperate and
IN, work Of the committee has been
greatly facilitated BY the organized
supper, OF the Investment Bankers'
Association Of America. the National
Association OF Municipal Accounting
on,cials. tho National Association OF
State Railroad Commissioners. the
American Bankers' Association. the
United States Chamber Of Commerce
and the National Association OF Blue
Sky Commissioner.
In passing upon the applications
,ha, are presented the committee has
sought and received the advice OF
the various Government departments
and agencies having an accurate
,echnical knowledge Of the needs Of
the Nation and the existing facilities
for meeting them. Including such
agencies as tho War and Navy Do
partments. tho War Industries
roard. the Food and Fuel Admins
trations. Department Of the Interior.
Department Of Agriculture. and
others.
The committee has also had the
benefit OF the advice Of the IL dis
trict committees on capital issues
which were organised In the Federal
reserve districts to make Q prelimin-
ary investigation and report on the
personnel and financial methods of
the various applicants aud on ques-
tio-s OF local necessity. These dis
trict committees, composed Of mem-
bers who serve without pay. have
been Of invaluable aid not only in
passing upon proposed security 10
sues. but also by acting on behalf of
the committee In discouraging num-
erous local projects and enterprises
which would have served no neces-
sary military or economic purposes.
The Capital Issues Committee Is
not authorized by law and does not
in practice make any finding as to
the legality. validity. security. or
compatibility with the national inter-
est. 1t was the theory of the law
creating the committee that every
dollar Of private credit was an asset
OF the Government which must not
be put to nonessential use during
the war Hence. enterprises which
were palpably unsound have been
disapproved as not compatible with
the national interest because they
would encourage Q conomic waste,
and enterprises which may have been
highly desirable in times Of peace
nave been disapproved in this period
as Incompatible with the national In
'erest because II they had been car
rled out they would have interfered
With the Governments use Of the
credit, labor and materials which en-
Ter into new development and con-
suuction. In every case, whether Of
pubic or private improvement or in
uustrial development, an immediate
military or economic necessity had
10 De shown, together with a sound
nhancial plan before the committee
auth rized the use Of capital.
In the absence of specific power
e'ther to compel submission to its
jurisdiction or to enforce its find-
'nss' the committee has been unable
10 zeal effectively with many enter
prises whose promoters or managers
remained deaf to every appeal to