Evening star., 1934-05-16
ROOSEVELTBACkS
MARKET CONTROL
BY us. TRADE UNIT
Senate Expected to Yield.
Made Difficult by Glass
Stand.
VIRGINIAN'S RESIGNATION
is REFUSED BY ROBINSON
President Also Gives Support to
Stringent Requirements of
Marginal Trading.
BY the Associated Press.

BY the Associated Press.
President Roosevelt declared en-
phatically today for regulation of the
Stock Exchange by the Federal Trade
Commission as proposed by the House.
This regulation issue is the most
vital difference between Senate and
House attitudes on the bill and takes
on greater significance in view of the
expressed wrath OF Senator Carter
Glass of Virginia on being excluded
as a Senate conferee on the stocks
bill.
The Virginian's anger late yesterday
led to his impetuous resignation from
the Senate Banking Committee. Sena-
tor Robinson. the Democratic leader,
refused to accept the resignation, and
some of the Senate conferees gave
assurance they would support Glass
amendments to the bill-the most
notable of which is that the bill should
be regulated by a special commission.
Yielding Made Difficult.
The Virginian'S contention that he
should have been on the Conference
Committee to fight for his amend
ments. and that Chairman Fletcher
deliberately chose those opposed to
the amendments, placed the Senate
confereeS in a position where 1t
would be difficult for them to yield
to the House.
Nevertheless the Senate spokesmen
were expected to give in to the House
plan OF regulation in view of the
Presidents stand.
Mr.. Roosevelt also sent word to
the conferees today that he wanted
the stringent marginal requirements
for stock exchange deals provided in
the House bill.
The House set up a As per cent
marginal requirement as standard.
The Senate bill contains no specific
figure.
This request of the President also
is in conflict with the expressed
wishes of Senator Glass, who en-
phatically has asked that there be no
fixed marginal requirement in the
bill.
Mr.. Roosevelt declared for the more
rigid House bill in talks today with
conferees
These views were made known later
ut the Presidents semi weekly press
conference.
The President told the congressional
leaders ne preferred to have the
existing machinery provided by the
Federal Trade Commission to ad-
minister the new law inasmuch as
this commission also administers the
correlated securities act.
Roosevelt Keeps Fund Open.
Furthermore, he feels it will be a
saving to have the Federal Trade
Commission do the work rather than
set up an entirely new agency.
Mr.. Roosevelt told newspaper men
he had scrupulously avoided advising
either the Senate or the House during
their consideration of the bill and had
kept an open mind.
Glass called the appointment of the
conferees "a gross and deliberate af-
front" Senator Wagner, Democrat,
of New York, who also was passed
over, was unconcerned about the in
cident. Glass would not say whether
he intended pressing for acceptance
Of his resignation
Robinson, to whom as majority
leader the resignation was rendered,
told newspaper men, however, that
there will be no changes in commit
tee assignments, indicating his con-
fidence that the difficulty could be
adjusted.
Senators Byrnes, South Carolina,
and Barkley, Kentucky, close friends
of the Virginian, offered to withdraw
as confereeS and let him join the con-
ference in their places, but Glass as
serted he would not serve in that
capacity now under any circum-
stances.
Fletcher Cites Precedent.
Fletcher contended that by prece-
dent he was right in naming the
conferees as he did, holding that it
was customary to appoint conferees
from members of the subcommittee
to which writing or rewriting of the
bill was entrusted.
II was the subcommittee that re-
wrote the bill" was Glass rejoinder
to Fletcher's statement.
The latter pointed to the procedure
followed In connection with the bank
ing act of 1888 to justify his view
point. Glass headed the subcommit-
tee and also the conferees. Fletcher
supported the bill and spoke for it
on the floor. he said, and when con-
ferees were named, Glass named them
and did not include Fletcher.
And I was chairman of the COM
mittee," Fletcher added.