Evening star., 1921-10-05
Committee Head to Confer
With Leader MondeII on
Dates Approval.
DEPENDS ON whether
ONE DAY is SUFFICIENT
Bill Is Formally Reported Today.
With Amendments Made at Com
mittee Sessions.

ihe oiil ueSlsHeu TO force u merEGr
OF the two street railways in Wash
ington will be the order of special
business in the House on Monday.
unless House Leader MondelI objects
on the ground that this legislation
Will require more than one day
Chairman Focht Of the House District
committee is to confer with Mr.. Nor
dell On tnis point. Representativ.
zihlman of Maryland, who is 10 han
die the bill. assured the committee
that he was ready to proceed.
The House committee today for
mally reported the street car merger
bill as redrawn to include the amend
ments made during committee con
sderation. One change WAS made to-
day in phraseology. The bill, AS it
goes before the House. and which
Representative Zihlman expects 10
reintroduce tomorrow, will provide
that the tax be levied on gross re-
ceipts." instead of upon gross earn
graphs Of the bill. 1t was explained
that this means large amount of
additional taxes which the District
will receive.
Alternative Legislatfon.
II the street railway legislation is
not given right of way. the Edmonds
bill to establish n model marine in
surance law in the District and the
pawn brokers' bill will receive first
consideration.
Chairman Focht was instructed at
the meeting of the District committee
today to make an investigation and
report to the committee why the new
school for tubercuiar pupils. for which
appropriation was made many months
ago, has not been built.
A committee representing invest
ment brokers and bankers appealing
which will prevent the sale of fradu-
lent securities in the District. was
given sympathetic hearing and as
surance that the committee is III
hearty sympathy with the proposed
legisla ton
A subcommittee consisting of Rep
resenfatipes Brown of Tennessee
Keller of Minnesota, AIillspaugh. Mis-
souri,; Gilbert OF Kentucky and
OBrien of New Jersey, was appoint
representatives Of the investmen-
brokers and bankers in framing ade-
quate legislation.
Proposes OnsHfbus Bill.
Chairman Focht suggested that til.
committee get together all bills re
latnS to street extensions which
have been sent in by the District
commissioners and prepare an omui-
bus bill covering this work At the
opening of the meeting today he mad
II plain that as this is an extra ses-
sion OF Congress, any legislation that
is put through for the District is
Just SO much surplus.
INC bills already awaiting action
on the calendar are the juvenile
court bill. the marine insurance bill
extension of corporate powers of
Masonic mutual relief in the District
and the Lincoln holiday measure.
Representative Roy {. Fitzgerald
explained to the committee the need
for the workmen's compensation bill.
but the committee delayed action,
until Representative CnderhiIl OF
Massachusetts,. who has reserved the
right to offer substitute bill, could
be present.
Eugene L. Thompson. representing
the District Bankers Association and
the Washington Stock Exchange, an,
peared in behalf Of the so-called blue
sky bill to prevent fraudulent stock
sales, Other witnesses in support OF
this legislation were Paul L. keyser.
counsel for the Investment Bankers
Associa ton; Henry H. Mckee of the
National Capital Bank and j.. y
Wholley, representing the Associated
Advertising Clubs of America and di.
rector of the Better Business Club.
Mr.. Thompson said that tbjrtv
some other measures to prevent sale
OF fraudulent securities. The District
has been overrun by fraudulent pro-
moters. especially during the last
year and n half. he said since they
have been driven out Of Maryland,
and he estimated that this Invasion
has cost the people of the District
$ao0,9og. He pointed to the oil well
just over the District line in Mary
Land, which he said Withdrew iron,
the District from $4,000 TO s240, COS
Trying 4" stop Robbery.
In reply to n question from Chair
man Focht, Mr.. Thompson said tha.
they were not trying to stop a man
from gambling, but TO stop some one
from robbing him.
THE newspapers have been co-op-
Grating with the people in the invest
ment business before accepting ad-
yertisenlents of such speculative.
Mr.. Thompson said, and Mr..
Wholley said that the Washington
newspapers in the last year have re-
fused more than $4,000 worth Of aa-
vertisinS on fraudulent securities
some of which offers were accompa-
MED by certified checks.
Mr.. Thompson said that one con-
Germ now employs fifty persons solic-
iting from employees. in the govern
ment departments. lie testified that il,
one month $50 offerings Of all kind
of promotion schemes came to his
aesk and that the "nl: ills arc simply
loaded with them"