Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-03-18
Stephens Asks "VictimS" to
Give Him Data of TranSac-
tionS-SecreCy Promised.
WILL EXPLAIN MEANS
OF RECOVERING LOSSES
Automotive Trade Association
President Commends Star and
Offers Full Cooperation.

AS the first aggressive step in his
campaign to test the legality of auto
mobile finance" companies that charge
high rates of interest. Corporation
Counsel Francis H. Stephens issued
a call today for clients of these estab-
lishments who believe they have been
charged extortionate rates to get i'll
touch with him Immediately.
Mr.. Stephens explained that he
would like to have these persons write
him letters. explaining their trans
actions in detail, with the distinct un-
derstanding that the information is to
be held confidential and that no court
action will be sought from these COM
munications without the explicit con-
sent of the author.
Will Explain Means.
The corporation counsel will conceal
the identity of all persons who COM
ply with his request. he said today.
When he receives information indicat-
ing violations of the law, he will In
vite the victimized person to come to
his Office and explain the deal per-
sonally. At that time he will explain
how prosecutions. and possibly re-
covery of losses, may be brought
through his office.
This is a fight to the finish" Mr..
Stephens declared. in announcing his
first campaign plans. 1T is evident
that the law Is being violated. that
many of our most unfortunate citizens
are being fleeced. There is but one
thing to do in such cases: Drive out
law violators."
Expects to Get Results.
Somewhat similar to the methods
employed in the warfare against loan
sharks in 1913, Mr.. Stephens believes
this plan will produce results.
Furthermore, it will provide bona fide
cases, he expects. whereas the stigma
of a "frame-up" might be attached
for the express purpose of bringing
prosecutions.
Although swamped with the usual
rush OF business that attends the last
two months before the courts take
their Summer recess. Mr.. Stephens in
tends 80 open his office to this in
vestigation. He plans to use one of
his assistants exclusively for a study
OF cases brought to his office as soon
as the assistant has completed case
that is now before one of the courts.
The next step. Mr.. Stephens added.
will be to select a part of one day, at
sary. when he and one or more as
sistants will be in their offices to con.
suit with persons who would prefer
not to put their complaints in writing.
He is arranging his program to ap-
point day or an evening next week
for this purpose, and later will allot
more time as the number of COM
plants increase.
Backed by Commissioners.
This program has the full approval
of the District Commissioners. Mr..
Stephens was in consultation with
Commissioner Taliaferro again yester-
day afternoon and submitted his plans
Commissioner Taliaferro not only ap-
proved them, but further authorized
the corporation counsel to take what
ever additional steps he believes are
necessary to prosecute money lenders
where there is evidence to show that
the interest rate laws are being trans
yressed.
Already number of persons have
called The Star to compliment it on
bringing these interest rates to public
attention. admitting that they were
Vlctlmized at one time or another
Nhen they were pressed for immedi-
ate cash. All of these persons were
to the office of the corpora.
ion counsel.
One man told how he simply had
% raise $100. He did not know how
% obtain the money through regular
Y organized financial institutions and
'ougth out an automobile financing"
company. The company loaned him
he money for few months. demand
ng S25 as interest for the short loan.
The man said he was obliged to ac-
,ept and when the note was due stil4
ound himself unable to meet it.
Ready to Go to Court.
"I went to this company" he con-
inued, land explained that in exactly
me week / would receive enough
money to meet the note. i had
earned in the meantime that almost
ny bank will extend a note for
ingle week. The only answer l got
rom this company, however, was:
think this is, a hook shop?
iet the money on time or we fore.
lose. See?'
Naturally enough. 1 got the money.
went to a reputable firm this time.
have been wanting to put this mat
err before the prosecuting attorney
yer since, and now / am ready. /
hall send all of my papers TO Mr..
tephens, and / am quite ready TO
ppear in court when he calls me. 1
amt to thank The Star, too. for what
is doing know some other people
'ho were caught like / was. and l
hall ask them to follow my example"
Association Offers Aid.
The Washington Automotive Trade
ssociation, through it's president.
tanley II. Horner. highly commended
he Star today for it's war on what
n. Horner termed ''mere pawn brok-
.s," and offered it's fullest co-opera-
on in carrying the campaign
trough Ito a successful end" Mr..
orner showed that the legitimate
ltomobile finance companies OF
charge only the legal in
rest rates.
1.-The Washington Automotive Trade
ssociation," Mr.. Horner said, be
ives The Star is doing this city
al service in putting down illegal
isiness practices. We have followed
e stories carefully and know that
ey accurately describe a deplorable
ndition. In this fight to stamp out
ch practices we are with you, and
III can rely on us for our fullest
operation.
1T might be interesting to show
hat the legitimate automobile
lance companies charge. These are
e companies the public deals with in
lrchasins a car through the automo-
!e dealers. and they show that an
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