Evening star., 1932-04-26
publicity reached 100000 readers in

publicity reached 100000 readers in
295 cities.
Senator Glass asked if "all this has
been changed" since whitney became
president of the stock exchange
He was president when we brought
to his attention the Hayden-Stone
case" La Guardia replied.
He has been president Of the Busi-
ness Conduct Committee for IL years."
Glass remarked.
"The Business Conduct Committee
Guardia retorted.
The witness then took up the history
Of Indian Motor Cycles. He said the
company decided in December, 1929,
to issue 10000 additional shares. On
November 80, 1929, the stock sold at S
and 500 shares were traded. On Janu-
ary 4, 1880, 3,700 shares were traded
at f.
Then the publicity started" lie said
This first shot was story on the
success of the company in the local
paper, the Springfield Union, SPRING
field, Mass. Later the publicity was
started up through the Boston News
Bureau telling of the improved condi-
tions OF the company. On January is,
1880, the same story was reproduced in
the Wall Street Journal All these
stories were distributed as circulars
with cards inclosed offering customers
chance TO buy"
There was no real market for motor
cycles" La Guardia said 80 they con-
tacted Coatalen, a British motor manu-
facturer, and purchased the American
rights for an air motor which was in
the blueprint stage in return for $4,000
shares.
ION this basis the shares were dumped
on the American market and the motor
has never been developed, so far as I
know"
La Guardia said the stock jumped
from 51z to II while the shares were
being sold. and then dropped back
The brokers in the Indian motor
stock, La Guardia said. were Harry Con-
tent and H. F. Hansell, jr.
Content, leading trader and broker,
Cites Attack on Congress.
II believe" continued La Guardia,
that the same sordid story could be
told of almost every pool stock. I be-
lieve the same thing took place with
the Kreuger stocks: $4,000 American
investors bought Kreuger bonds and
more than 100000 bought Kreuger
stocks.
Then stories are sent out that If 1t
were not for Congress, stocks wouldn't
go down"
Senator Glass asked II the same kind
Of publicity was used in the Anaconda
Copper pool, in which Chairman Ras-
kob of the Democratic National Com
mittee participated.
La Guardia said the publicity man in
that had not contacted" with him
yet.
La Guardia said the bankers had
not thought up an original idea or
a single truth" during the depression.
Challenging the Whitney statement
feverish buying of the American pub
lie, La Guardia shouted, The Ameri-
can public was deceived"
Lee Higginson & Co., was selling
the Kreuger stock" he continued.
why, Senators, if Whitney had been
president Of a grocery exchange and
Higginson was selling canned beans
and conSpired to misrepresent as they
have in their present occupation. both
would be under Indictment at this
time"
With that La Guardia concluded and
the committee went into executive
session.
VIII Photostat Checks.
In the executive session following the
La Guardia hearing the committee took
over the trunks of evidence submitted
by him and decided to photostat the
checks he presented.
Four of these were drawn on the
Central Union Trust Co. of New York
and were all signed by Plummer.
The first was dated December 8,
1924, for $500. 1t was Endorsed by
Plummer and by Herbert J. Dotter-
wach.
The second was dated December S,
1924, for s184 and was indorsed by
Murphy.
The third was dated December l8,
1924, for $2o9 and was indorsed by
Gomber.
The fourth was dated December 20,
1924. for 5000 and was Endorsed by
Wamsley.