Evening star. [volume] (Washington, D.C.) 1854-1972, 1919-10-24
THRIFT STAMP SALE
ITO SHARKS CURBED
War Loan Director tombstone
Is Gratified by Success of
Efforts in D. C.
NEWSPAPERS COOPERATE

\ Albert 3. TOMBSTONE, Hlchm0nd, va,
director of the war loan organization
for the fifth federal reserve district
within which division the District Of
| Columbia lies, has left Washington,
gratified with the success attendant
on his recent efforts here to discour-
age the sale by subscribers of war
savings stamps and thrift stamps to
| loan sharks or other purchasers be-
sides the government of the United
| States. which originally issued these
little securities.
One of the principal steps in Dr.
rector Johnstone's campaign was to
secure the cooperation of all the
daily papers of Washington and their
determination to accept no further
advertisements from concerns or in
dividuals proposing to buy these
stamps at discount. This co-opera-
ton has been full and freely given,
he announced before his departure.
Greatest Obstacles to Sales.
The greatest obstacle to the attempt
to prevent such discount sales Ia the
proviso that a post Office. to redeem
stamps. must have ten days notice
Hereon hinges much of the trouble
and gives the loan sharks their OPP
portunity. The holder of stamps. Mr..
tombstone points out, who needs
money usually needs it right away
and doesn't want to wait the required
ten days. He therefore turns eagerly
to a channel Of disposition which does
not demand this wait.
These stamps are not transferable"
Mr.. tombstone told reporter for The
Star. Therefore, whoever advertises
as willing to buy them has to pretend
he IL the original purchaser. Stamps
are redeemable only when affixed to
a certificate given at the time OF Is
the name Of the possessor at the top.
Where his name space has been left
blank, as 10. unfortunately, sometimes
his own. or, falling this, he can soak
OF the stamps and can put them on
fresh piece Of cardboard.
Wants Clause Abolished.
"The organisation serve is making /
a determined attempt to get this ten
day-notice clause abolished, and 1
then the problem Of premature sales |
at discount to other than govern |
mental agencies will be solved. How |
ever, the government prefers, natu-
rally. that no premature sales before
unauthorized profit of private pur- |
chasers must be surprisingly large. |
The last time 1 investigated prices !
offered loan sharks were offering
So.SU kOT u 8tdtup WhlCus vi tCh ooS
notice. could be sold at the neighbor- |
ing post Office for $4.21. They were |
offering % cents for 25-cent thrift |
stamp.
Sales Disturb Machinery.
"The government dislikes to see
holders Of its securities sell them
for below their face value. Such a
transaction disturbs the machinery
arranged for the redemption thereof
and vitiates the sense OF partnership
with Uncle Sam which the original
purchase entailed. Secondly. it tends
to break down the real value Of the
securities. Thirdly, it strikes at the
root of the governments policy OF
developing a nation Of real savers.
I'm this connection might say that
in the fifth federal reserve district,
during the war period, savings de-
posits were Increased nearly 80 per
cent, despite the fact that the peo-
Pile Of that district during the same
period subscribed. and. to q large ex-
tent paid for. out Of their current
earnings. to more than $1.100,000.000
in liberty bonds, victory notes and
war savings stamps. 1t demonstrates
that proficiency in one form OF saw
ing begets proficiency in another, and
relaxation in one method might |
easily follow a slump In the other.