The Hood River glacier. (Hood River, Or.) 1889-1933, 1921-01-27
aiunn RiuRr GlartPr
ARTHUR D. MOE. Publisher.
Subscription, $500 Per Year.
STOCK SNINDLES

Hood River citizens have generally
formed the habit of consulting with
the officers of local banks before in
vesting their money in concerns prom
ising impossible returns. The promot
ers invariably caution their victims
against placing the proposition before
the banker, claiming that che will op-
pose it in order to retain the money on
deposit in his bank" This is without
exception q gross misrepresentation of
facts for the banker invariably reasons
that depositor, having funds for in
vestment, will use them, and is only
interested in helping him to avoid get
rich quick schemes and thereby avoid
losses which are in themselves not
only direct loss to the investor but
an indirect injury to his banker. 1t is
not assumed that the banker is always
infallible and may not sometimes err
in his judgment but, by virtue of his
training and responsibility, he can best
advise regarding the safety of an
Investment.
The recent failure of Morris Broth
ers is an illustration of iDfrequent |
cases where firm, long established in |
a legitimate business, betrayed the
confidence and trust of it's numerous
patrons. State supervision will un-
questionably result from this failure
and fortunately substantial recovery
is assured creditors.
1t has been especially noticeable that
only the most Persistent promoters
have succeeded in relieving local
people of their money during recent
years of prosperity and no doubt many
of these gentry have avoided this dis
trict, knowing Of the close relations
existing between its citizens and their
bankers. A local banker, interviewed
regarding the matter recently, re-
marked: Successful banking looks
to the future always and not to the
present for it is only by the increased /,
wealth Of the people of our community
that we can expect to grow.
Aside from the Morris Brothers
failure, where actual losses cannot yet
be determined, he estimated that not Q
over $40, 600 of local investors money /
vas attracted by questionable schemes Il
et forth in glowing colors by profess
ionsl promoters during 1920, a sub
tantial sum in itself but small in pro-
portion to the wealth of the commun- :
ty and only one fourth Of the average i
or the United States. il
If every person approached by the
yily stock promoter, often recon-
nended by some local citizen without
vii intent, would refuse to invest r
gthout the approval Of his banker, it
3 a safe assertion that the losses from a
his source in 1921. would be less than y
eretofore. +
just to show to what end our cupid. Il
-y along financial illness will lead, we N
eplint the following from an issue of ~
he 0regonian of last week;
During the year 1920 the people of
be United States lost more than $780,
0.0O0 through investment" in
'orthless and fraudulent securities.
The year just passed was a banner 0
ne for INSCRIPTIONS stock promoters
nd the toll paid by the American pub la
C was equivalent TO approximately $5 +
or every man, woman and child in the A
ountry.
Left in the savings banks or put into oi
sgitimate, dividend paying investment Il
his sum would have returned as inter eI
st or profit between $40, 1000, 900 and d;
30. 900, 600 annually. ~
Each year for generations past stock in
have taken from the public al
n ever increasing sum. Within the al
ist four or fivesyears the annual toll al
as doubled and trebled. The liberty A
nd victory loans taught saving to mil S.
Ons Of persons who have never before %
ad practiced thrift, and gave fresh d,
lcentive to the hotation Of stocks of
rom which there was little hope of re- 6
lrn in the form of dividends or other di
rotit and slight prospect Of ever get th
.up ANYTHING hack through GuuidafioD | M