The daily star-mirror. (Moscow, Idaho) 1911-1939, 1923-02-06
WARN AGAINST
FAKE SECURITIES
TREASURE DEPARTMENT WOULD
PROTECT PEOPLE WHO HAVE
GOVERNMENT SECURITIES.

Kansas City, Mo.=(A. P.)-PerSist-
ent and increasing effort on the part
of INSCRIPTIONS brokers and financ-
ial SharperS to secure control or pos
session of maturing victory notes and
war savings certificates in exchange
for questionable or worthless bonds
and stocks has impelled the United
States Treasury department to repeat
the warning issued by Secretary Mel
Ion at the first of the year to holders
of such government securities, John
A. Prescott, president of the Invest
ment Bankers association of America,
said here today
"In addition the department has
strongly endorsed the action of the
Investment Bankers association of
America which recently adopted a re-
solution prohibiting it's members from
conducting campaigns for the trading
out of liberty bonds, victory notes,
and war savings certificates into other
securities" added Mr.. Prescott who re-
ceived today the governments en-
dorsement and approval of the as
sociations action.
The president asserts that the pre-
sent redemption of victory notes and
war savings certificates, amounting in
the first case to a total of 100000, 900
and in the other to the sum of $685.
100000, lends fertile field to the
activities of such INSCRIPTIONS stock
promoters.
These maturing government Sc
curities are held by large number
of people who invested in them dur
ing the war from patriotic motives bu.
who never before had made any in
TncsfV, Re nd rlo 1ox
little or no experienc in such Matters
says President Prescott 1t is CHS +
class of men and women who are be- !
ing imposed upon by the promoters
of fraudulent securities.
ITO protect people who apply to
the:>>>fo advice in the matter, many
bankers are strongly recommending /
the reinvestment of such funds in .
other government securities or other !
sound investments of proven worth.
The resolution adopted by the In
veStment Bankers association of
America declares all members of the
association are hereby requested to
refrain from any campaigns conducted
either by public appeal circulars, adj
vertisementS, or the concerted action
on the part of statesmen, which have
for their purpose the inducing of
owners of United States government
securities to exchange same for other
forms of investments and that all
of this association are urged
% use all possible influence in caus-
ng others to refrain from using
similar campaigns"
The following simple. rules have
been suggested by investment bankers
If wide experience as an acid test for
investors:
Rule Never permit salesman
o rush you into buying the argument
hat the securities will be sold over
light.
Rule 2.-Take the literature and
he salesman's statements to your in
'estment banker for analysis and in
Testigation.
" Rule 3.-Confine your investment !.
transactions to investment houses and
,ankers of established reputation and
responsibility.
Rule 4.-Do not deal with total
trangers.
Rule 5.-If your commercial or in s
estment bankers recommendation is
o let the securities alone, do so.
The treasury department states i
hat there are still more than $780, t
100000 of U. S. victory Az per cent G
otes of the series A, B, G, D, E, and $
', which were called for payment on