The Birmingham age-herald., 1923-12-27
EXCHANGE BEGINS 0|L STOCK PROBE
Dealing In Southern Com pany Suspended-Member
 Activities Investigated

NEW YORK, Dec. 25.-Simupltane- ous suspensions of trading in the stock of the southern States Oil cor poration, one of several oil com panies sponsored by former Gov. c. N. Haskell of Oklahoma, and of the brokerage firm of Richards, Hutchi- son & Co.,, said to have been active in handling the stock, were announced today by the New York curb market. At the same time the New York stock exchange announced 1t had un- tertaken separate investigation into the part some of its members, who also belong to the curb market, had played in the recent sharp ad- vance of southern states stock, which jumped between November IT and December 24 from IT 1-S to 33 5-S. While the stocks of several com panies with which. former Governor | Haskell has been identified promi nently, declined sharply after the Southern States suspension. the mar ket otherwise was little affected. O O o
 Rumors AfloHt.
 1 Rumors, however, that several 1 large operators, who had dealt in the l, stock on large scale recently had l declined to fulfil obligations con i tracted for by their brokers, led Wall street observers to look for com plete investigation into all transac tions in the stock.
 Former Governor Haskell Issued q statement asserting that the South l ern States Oil corporation, as a com 1 pany. had had no part in the trading, i but admitting that he personally and
 several other individuals who, he l said, had no connection with the company, had traded extensively In l the stock.
 He announced also that directors 1 of the Middle States Oil corporation, an affiliated company of which he is 1 chairman of the board, would meet ! tomorrow to consider a proposition l for acquiring a considerable block of | Southern States Oil corporation from various brokers accounts at prices not exceeding such average of brok-
 CTS balances"
 Dealers in unlisted securities
 stated that the outside market for l Southern States oil stock was quoted as five bid and II asked after the
 suspension on the curb.
 Trading in the stock has been un-
 usually active for the past two
 months, Wall street reports stating
 that efforts were being made to ob-
 tain a sufficiently wide distribution
 to warrant an application for listing
 the stock on the New York stock ex
 change Officials of the latter or
 6alli A1IAOA oetiO NCAe'S AS OR
 plication had yet been filed with it..
 Investigation Welcomed.
 At the offices of Richards. Hutchi-
 son Ss Co.,, it was stated that no in- ] formation could be given out until
 the curb market had completed it's
 investigat tion. One of the partners
 asserted, however, that the firm
 would welcome an investigation Of
 its books.
 It was stated also that while the
 immediate cause of the firms suspen
 sion was attributed to it's failure to meet obligations in Southern States 1 Oil stock otherwise no complaint had 1 been recorded against it. No steps
 had been taken late in the afternoon
 to remove it's tiders.
 The Southern States oil corpora
 ton was incorporated April 15, 1922,
 under the laws of Delaware to pro-
 duce and sell crude oil and gas. The
 eompany's operations have been con | fined largely to the mid-continent
 field, operating wells in Montana, l Texas, Kansas, Arkansas and Okla l homa.
 Scott Ferris is president of the
 company which has it's principal of flee at $50 Madison avenue. In addi-
 tion to MT. Ferris. directors of the
 company are former Governor Has,
 kell, William E. Allaun and William l Shivers.