Indianapolis Times, Volume 46, Number 246, Indianapolis, Marion County, 22 February 1935 — Page 16

Wall St. Unbiased Monetary Authority Aimed in New Bill. ! BY RALPH HENDERSHOT Time* >aerial Writer YORK. Feb 22—A bill calling for a ’ Supreme Court" monetary authority in the United States will be introduced in Congre shortly, according to wellgrounded reports. Such a bill is n being framed, it is said. The idea will be to take th# monetary pr icy of the country out of the hand' of the bankers and the politicians as well.

-A $ '***" WA a Jm

A monetary authority of this sort is greatly to be desired. Money and credit are much too important in their economic effect to be supervised by any but wholly unbia s e and officials. Neither bankers nor politicians are in that position. Their judgments are bound to be

Ralph Hfndfr^hot

swayed by their own personal interests. To avoid deflation it is necessary to prevent inflation. And while it is always popular to try to do something for those who are in and ffieulty as a result of deflation, it is decidedly unpopular to curb tho.'e who are making money through inflation. Consequently an authority which can not be affect'd by unpopularity would appear to be about the only way to insure courageous action at all times. nun ANOTHER feature of the bill, which probably will attract considerable interest, is a provision making it mandatory for banks b* hold cash in their vaults in an amount equal to 15 per cent of th'ur deposits. The purpose of that provision is to provide greater cash liquidity, and to prevent excessive pyramiding of bank loans. Another purpose is to increase permanently the amount of actual currency in circulation This provision undoubtedly would be unacceptable to the bankers, generally speaking. It would reduce their earning power. It is possible now to loan money over several times by requiring those who secure loans to deposit ’he borrowed money with them. Conntly deposits in times of business activity may be to a large *’Xtmt in effect, merely bookkeeping items. m n • ''T’MiERE can be little doubt but 1- that the ratio of credit to actual money in circulation in 1923 and 1929 was much too high. Th*re j are grounds also for holding that the practice ot excessively pyramid- j ing loans was a vicious one. The withdrawal of a small amount of currency from the banks, when depositors began to fear for their deposits, had the effect of pulling down a pyramid of outstanding commercial loans. This, in turn, forced deflation and hurt business severely. The new bill will be supported quite strongly from its inception. Its sponsors will try to sell it to Congress in place of the banking bill which already is under consideration. The result may be a pitched battle, and it is conceivable that the one may prove to be an effective deterrent to the enactment of the other so that in the end no new banking legislation may be placed on the books. NATIONAL TEA EARNS 60 CENTS A SHARE Net Profit Reported at 54R2.752 for Year Ended I>ec. 31. 1934. Bv T<m .sjwvi.il CHICAGO. Feb. 22—Consolidated net mcoi.v® of the National Tea Cos. for the vear ended Dec. 31. 1934. amounted to $462,752 after all charges, equivalent to 60 cents a share on 630.000 common shares outstanding, excluding 30.000 treasury shares and after allowance for preferred dividends, according to the annual statement released today. The total figures compare with a net income of $l.lBO 390. or which was equivalent to $1.70 a share on 644.593 shares at the same period in the previous year. Sales of the companv for the entire year of 1934 were reported at $62,789,250. compared with sales of $65,457,656 in 1933. H. S. MAGILL SPEAKS Doctor Hurls Bombshell at State Socialism in Address. B*/ Ttimet special CHICAGO. Feb 22 In an addre?s before the Chicago Association of Commerce Dr Hugh S. Magill. head of the American Federation of U ilitv Investors, this week hurled a bombshell at ’ state Socialism" as exemplified bv proposed Federal legislation to "kill" utility holding companies and further such projects as the Tennessee Valley Authority. Speaking on the subject of "Government Competition in Private industry." he emphasized that ihe program of the Federal administration sucks the life-blood front, private industry through taxation, the proceeds of which go to finance the Federal undertakings which are in direct competition with the industries taxed.

Headquarters for RCA Radios: Nationally Advertised RADIOS ■ RC 4 LICEXSED AC and DC Lin t 1 to m mtciwr. Non- sold lo c l,r. A Midfpt In appearnn —a Giant In performance: Complete with genuine Tirade tube* _ Mnderni-'W cabinete Tou must aee H|| Ail ,m aa/|f hi : ar th. - ra i< apt r-ciate RnKUI A\¥f IUIUnI. the ralne offered Complete line of IL.IIV. K’A Y-cfnr Radi . sl* 73 op. All ,a. e T sold on Kaay Terms. W. WASHINGTON

PAGE 16

BANKING BILL SEEN HELP TO POLITICAL ENDS Proposed Law Would Force Banks to Take More U. S. Bond Issues. BY JULES BACHMAN AND A. L. JACKSON Editor* of Eronomic* Statistic*. Inc. B’l 7 Special NEW YORK, Feb. 22 —A reader asks: “Isn't it a fact that there are weak spots in our banking structure which require strengthening and that the proposed bill will perform this task?" The question contains a partial truth, in that there is no doubt that certain reforms must be made in our banking structure. However, the proposed banking act of 1935 does not provide the necessary corrections. The introduction of this bill indicates that the Administration has not abandoned its attempt to force recovery by means of monetary manipulation. The essence of the new bill is to make possible further inflation, which it is hoped will bring recovery. Seen as Protection Os course, the control provided for also would insure that, regardless of what might happen, there would be a market for new government securities. The Treasury has had no difficulty in marketing its issues to date and will probably have none in the immediate future. However, it is not unlikely that the time will come when real difficulty might be faced in floating new securities. This is especially true if the present orgy of spending is continued. Against that distant possibility of difficulty in raising new funds this bill also will provide protection. A banking bill of this nature is not needed. If any reforms are to be maae in banking system would it not be more avisable to try to create a sound banking system and not a political machine? Certain reforms are needed in our banking structure, but this bill does not provide for them. Points to Defects Among the defects that should be corrected but which are not even mentioned are: il) We now have 49 sets of banking laws. No suggestion is made that these should be displaced with one single banking code. <2> We still have two banking systems—a Federal Reserve system, which includes all National Banks and some state banks, and nonmember banks of the reserve system. It would be a step forward to integrate these banks into one system; to make it compulsory for all banks to join the Federal Reserve. 1 3) We now have approximately 14.000 banks in this country. It seems inconceivable that we should have that many "good’’ bankers. A sound system of branch banking, which would reduce the total number of banks substantially, is a much-needed contribution which the new bill overlooks entirely. (4) A complete severance of the reserve system from politics. The proposed bill suggests just the reverse. It provides that the largest borrower, namely the Treasury, should also dictate the lending policies of the people from whom it must borrow. Obviously this is not severing banking from politics. The adoption of the above measures in place of those suggested in the proposed bill would help eliminate the basic defects in our present banking structure and would enable the banks to play a constructive role in the future. INDIANA LIMESTONE CORP. REPORTS LOSS Consolidated Report Shows Drop of $825,995 for 1934. Consolidated net loss of the Indiana Limestone Corp. during the fiscal year ended Nov. 30, 1934, amounted to $825,995. compared with $382,617 in the preceding 11 months, it was announced today. The loss is before depression on idle plant of $386,156 in 1934 and $277,245 in 1933, which was changed to a special reserve. the report stated. A decrease of approximately $2,117,161 was reported in net working capital for the year ended Nov. 30. 1934. compared with a decrease of $2,480,610 in the corresponding month of 1933. Profit and loss deficit. exclusive of idle plant depreciation, amounted to $1,208,612 at the close of the recent year. Goodyear Income off Consolidated Net Profits Total 54,553.964 in 1934. Bv Titles Special AKRON. Feb. 22.—Consolidated net income of the Goodyear Tire and Rubber Cos. for 1934 amounted to $4,553 964. equal to s6.o* a share on $7 no par value first preferred stock, it was announced today. This compared with a net profit cy $6 021.535 or equivalent to 47 cents ■a share on common stock after preferred dividends recorded Airing 1933. Net sales during 1934. the report stated, amounted to $136,800.764, compared with $109,655,636 in the preceding year.

Abreast of The Times on Finance

Steel Union Liberals to Open Fight for Control Battle Against Old Mike Tighe May Split A. F. of L. Into Two Hostile Camps, Experts Say. By United Press PITTSBURGH. Feb. 22.—A finish battle opens at dawn tomorrow for control of the wealthy Amalgamated Steel 'Union—a fight which may rip the American Federation of Labor into two hostile camps. By newspapers, mass meetings and radio, impatient rank and file members of the Amalgamated Association of Iron, Steel and Tin Workers

will open a formal membership i campaign to unhorse the union's ! conservative leadership. Incidentally, the campaign may cut the few remaining ties between William Green, president of the A. F. of L., and an unwieldly liberal group ready to break away from his leadership. t Leaders of the opposing amalgamated factions have staked everything on winning tomorrow’s campaign. Hearty old Mike Tighe, -keenminded. despite his 76 years, clings to his strategic advantage as presi-* dent of the Amalgmated. That is almost all he has left—his outer forts have been crushed between a flank attack by some of his superiors in Washington, and what he has j called a ’’traitor" majority in his, own union. Mr. Tighe’s lifetime experience as i a union leader taught brim to call members ‘‘my boys," attend funerals and to take an affectionate interest in babies. An engaging Irish grin and frank blue eyes—a bit faded now —have endeared “old Mike" to thousands of his “boys." But two years of poverty and sometimes gripping hunger have convinced most of his "boys” that the good old gentleman is doing very little for them. They remember, too, that he is paid SSOOO a year plus expenses, and occasionally they wonder why. The embittered faction has turned to a 37-year-old zealot to lead them to the promised land of a full week's pay. William J. Spang, of Duquesne. who is commander in chief of tomorrow’s campaign, reflects in his own life the misery which has turned thousands of steel workers against Mike Tighe. Spang, who weighs 200 pounds, is painfully sincere. He remembers, sometimes, that his wife and six children live in a humble rear apartment. Because of ill health, he has drawn no pay in almost a year. But his dark eyes burn when he talks, and the steel workers trust him. They like the way his chin stays up, the way he tosses his graying hair, and the way he points to million-dollar steel profit figures and says “we’ll win.” Mr. Tighe frankly says he will never call a steel strike. With equal candor, he is as friendly with steel magnates as with his "boys." He believes in that method of promoting union welfare. Mr. Spang knows that only a strike will satisfy the militant rank and file. He believes, too, that a strike will help to unionize the industry's 250,000 active workmen. ADVERTISING LINEAGE MOUNTS DURING 1934 Gains 6.1 Per Cent in January. 1935, Over Same Month Last Year. By Times Special CHICAGO, Feb. 22.—Retail advertising in newspapers has materially increased during the last year, according to an analysis by Advertising Age of January lineage figures of newspapers in 80 cities. Retail lineage rose from 68,148,000 lines in January, 1934, to 72.344,000 lines in the first month of 1935. a gain of 6.1 per cent. This was the largest increase registered by any advertising classification in January, and was chiefly responsible for the net gain of 5.4 per cent in total lineage, which was 128.912,000 lines, a gain of 6,660,000 lines for the month.

Other Livestock

(By United Press) CHICAGO. Feb 22. Hogs Receipts, 11.000. including 6000 directs; active, strong to 10c higher than Thursday; weights above 210 lbs.. $8 9069: top 59.05; 180210 lbs.. $8.756 8.95: 140-180 lbs.. $8 6 8 80; slaughter pigs. s6'</ 8; good packing sows, $8,2568.40; light lights. 140-160 lbs.. s<.9o -i8 60; light weight 160-200 lbs., good and choice. *8.356 8.95; medium weights 200 -250 lbs., good and choice. $8.806 9 05; heavv weights 250-350 lbs., good and choice. $8,906 9.05; packing sows. 275-SajO lbs., medium and choice. $7 5068 00. slaughter pigs. 100-140 lbs., good and choice, $66 8.15. Cattle—Receipts. 3000; i calves receipts. 500: general marlcet. fairly active: steady to strong; bulls slow, about steady; comparatively few well-linisned steers and vearlings in run: best. 1424lb. steers. *l3: good yearlings. Sl2; oulk lower grades. SB6 11; strong weight cutI ter cows. $4 25; few weighty sausage bulls. $5 25; selected vealers $8.50 69; bulk. 50.50 18 slaughter cattle and vealers: steers 550-900 lbs., good and choice. $9 506 13; 900-1100 lbs . good and choice. $9,756 13. <5; 1100-1300 lbs , good and choice, $10.256 14; 1300-1500 lbs., good and choice. *10.50614: 550-1300 lbs . common and medium. 556 10.50; heifers. 550-750 lbs., good and choice. $9 25611.50; common and medium, S4 75'-T9 25: cows. good. $6.5069: common and medium. $4 256 6 50; low cutter and cutter. *3'-i 4 25. bulls' yearlings excluded' good ibeef'. 5567: cutter, common and medium. $3 506 5 25: vealers. good and choice. 5769: medium. $5.506 7; cull and common. $3.5065.50: stocker and feeder cattle' steers 550-1050 lbs., good and choice. *6 256 8 50; common and medium. $566 25 Sheep—Receipts. 12.000. slaughter lamb 6 opening slow: initial bids and few sales 10615 c and more lower: generally asking fullv steady: sheep firm; feeding lambs 106 25c higher; better grade lambs held $8 75 upward; initial bids. *8 50 and below, getting little action; choice around 68-70-ib. feeding lambs. *7 35 6 7 50: slaughter sheep and lambs: lamb® 90 lb. down, good and choice. SB6 8 75: common and medium, $6.50 6 8.10: 90-98 lbs. good and choice. $7 7568.75; ewes 90-150 lbs., good and choice, $3,906 5 50: all weights common and medium *3 6 4 50: feeding lambs, 50-75 lbs., good and choice. *6 506.7 50. FT. WAYNE. Feb. 22—Hogs — Steady to 50c higher: 200-250 lbs. $9 : 250-300 lbs.. *8 85: 300-350 lbs.. *8 75: 100-200 lbs . *8.90: 160-180 lbs . $8 80: 150-160 tbs.. $8 to: 140150 lbs. $7.75; 130-140 lbs.. *7.50: 120-130 lbs.. *7: 100-120 lbs., *6 50; roughs, *7.50; stags. *5 25 Calves. $9: lambs, $8.50. 'By Times Speciali LOUISVILLE. Feb. 22—Cattle—Receipts. 250: supplv slaughter cattle, very light, part of run Stockers and feeders and directs: demand broad for all slaughter classes: market, fully steady; bulk common to medium steers and heifers. *5 7568: few bett*r light yearlings to $9. and good fed steer* with weight quotable around $10: talk beef cows, $4 2565 50; good weigh*/ kinds and smooth heifer types digit .e *6 or better: most low cutters and cut' rs. $263 75: sausage bulls quotable *.' down: bulk desirable beef type stock ,lves. $8.50 6 7 50: inferior to common southern dairybreds. *4.50 down. Calves S3 50. vealers. steady, bulk better grades. *76 8: medium and lower grades. *6.50 down to around $3 Hogs—Receipts. 800; mostly 5c lower; top and bulk desirable 180-250 lbs. *9: 1255 lbs up. $8 55 160175 lbs . $8 45: 140-155 lbs . $7 95: 120-135 lbs.. *7. sows, *7 25. Sheep—Receipts. 100; st' ady, mostly *768: for medium to good la nbs. choice quotable higher, common lieb'. throwouts *8 and most fat ewes. *3 50 do on. Receipts Thursday—Cattle 206. : cal vs 300. hog 516. sheep 26. Shipments Thuvday— Upgi 17|.

INDIANAPOLIS, FRIDAY, FEBRUARY 22, 1935

Stock Studies

AMERICAN CHICLE % COMMON STOCK m t ———f SHAKE| EARNINGS I PRICE RANGE IsCALC 5 _J 1 | „ 4-47444. —■ 3_ V ITT .. _| I --I— ~40 2 1 1 I 20 o '3o 31 32 33 34 30 31 32 33 34 ’ ° WINCHESTER INSTITUTE OF FINANCE

The American Chicle Cos. is one of the three large manufacturers of chewing gum in the United States. Because of large expenditures for national advertising for many years the company has built up a wide distribution of its products throughout the United States and parts of Canada and Mexico. Progress has been rapid during the last 10 years as a result of careful and efficient management. Manufacturing operations are largely concentrated in Long Island City and San Francisco. The company also owns and operates a plant in Toronto and another in Mexico City. FINANCIAL DATA As of Dec. 31. 1934 Common Stock ino par) . 445.000 shares Goodwill. Patents, etc $1,500,000 Profit and Loss Surplus 3.558.546 Cash and Securities 3.114,900 Inventories 1.239.844 Total Current Assets 4.989.212 Current Liabilities 598.870 American Chicle was incorprated in 1899 in New Jersey. The stock is listed on the New York Stock Exchange. At a current price of around 68 ;/ . It sells to yield about 4% per cent and at 15 times its earnings. (All Rights Reserved. Winchester Institute of Finance. Winchester, Mass.) 1934 RETAIL SALES TOTAL 28 BILLIONS All Lines of Business Gain, Commerce Report Says. By Times Special WASHINGTON, Feb. 22.—Retail sales for the United States are estimated at $28,548,000,000 for 1534 as compared with $25,037,000,000 for 1933, an increase of 14 per cent, according ’o a statement announced by C. T. Murchison, director of the bureau of foreign and domestic commerce of the Department of Commerce. Based upon the most reliable current available statistics, constructed trade by trade to arrive at a United States total, each kind of business substantially increased its sales in 1934 over 1933. While the general trend of retail sales in 1934 was upward, the rate of increase varied greatly among the different trades, it was stated. Total retail sales last year recovered to a point where they were 58 per cent of the 1929 total. They had reached a low point during the depression n 1933, when they ware but 51 per cent of the 1929 total. The low point was reached in 1933 in all groups with the exception of the following: Farmers’ supply and country general stores, mail order business, variety stores, automotive group and furniture and household stores. NETHERLANDS DENY DUTIES ON COFFEE Tax Would Curtail International Market in Amsterdam. By United Press AMSTERDAM. Feb. 22.—Holland has no intention of opening negotiations with the British looking toward restriction of coffee production in Java and Kenya, according to government spokesmen here. In fact, the Dutch authorities are getting rather weary of the stream of suggestions in the London press that this, that and the other thing should be curtailed. The Netherlands reluctantly have agree! to rubber and tin restriction, but at bottom they dislike the whole policy, and emphatically dislike it for coffee. They also have revised ‘he report—current in the coffee market —that they contemplated an import duty on coffee. Such a tax, they point out, would definitely curtail the big international market in Amsterdam, and the “pittance" yielded to the government by an import duty on Dutch-con-sumed coffee would not offset the national income loss through ceasing to be the biggest Continental -middleman” in coffee. SURVEY SHOWS NEED OF WORKS PROJECTS Potential Demand for $4,000,000,600 Program Is Reported. By Times Special WASHINGTON, Feb. 22.—A preliminary’ survey which has just oeen completed by the Public Works Administration in Washington, has uncovered approximately $4,000,000,000 worth of new potential public works projerte, Harold L. Ickes, public works administrator, has announced. In the survey 29 state PWA engineers listed 10.700 specific projects totaling $1,000,000,000. Mr. Ickes stated. Remaining states have until March 1 to file their PWA inventories. PWA prpjects now pending, Mr. Ickes stated, is $1,000,000,000 in federal and $2,000,000,000 in non-fed-eral projects filed with PWA prior to Feb. 28, 1834. No details were , given of specific projects listed in the $4,000,000,000.

UTILITY GROUP FLAILS REPORT OF COMMISSION Write-Up Figures Cited Undependable, Edison Institute Says. By Times Special NEW YORK, Feb. 22.—Statements contained in news releases and reports to Congress of the Federal Trade Commission, relating to the commission's eight-year inquiry on the public utilities, are branded misleading and inaccurate by Bernard F. Weadock, vice president and managing director of the Edison Electric Institute, in an article published in the February issue of the Edison Electric Institute Bulletin. “Many of the statements, reflecting upon the character and integrity of the various State Public Utility Commissions, are unreservedly and unqaulifiedly false,” Mr. Weadock asserts. Deploring the “subordination of facts to political expediency" by the commission, Mr. Weadock discusses in particular two recent news releases of the commission dealing with utility ’’writeups" and reaches the conclusion that the contradictions in the presentation of its figures renders them undependable. “Yet,” he says, “the public and some public officials freely use these ‘writeup’ figures as dependable, reliable and accurate.” Points to Discrepancy Pointing out that a large discrepancy exists between the two releases, one dated Feb. 5 purporting to show write-ups of 22.6 per cent in value of fixed assets of 91 operating companies and the other dated Jan. 10 purporting to show a writeup of 34.2 per cent by 91 operating companies, that the 91 companies are only partly operating companies, and that further discrepancies exist between the second release and the printed report sent to Congress, Mr. Weadock asserts that this juggling confirms the unreliability of the commission’s own figures. “The Edison Electric Institute,” Mr. Weadock writes, “In an effort to reconcile the figures published by the commission, has made a detailed study of all the published reports of the commission relating to the power inquiry, including testimony, exhibits and statements. No picked samples of operating companies were chosen to be mixed up with holding companies, nor were any companies omitted that had been examined. “Had the commission made a complete. full and fair analysis of all the operating companies examined by them, the net result would have been a total write-up of but 12 per cent of total assets. Is there any industry or business in the United States that can show such a small proportion of ‘write-ups’ over the last half century of rising values, using the same basis for their determination? “In contrast to and in apparent disregard of the decisions of the United States Supreme Court, the commission has repeatedly stated that these so-called ‘write-ups’ affect rates when regulatory bodies, which from actual experience are more familiar with the subject, know that it does not. In regard to fair value of utility properties and the reasonableness of the rates, the commission from the beginning had stated that its examination ‘does not purport to go into questions of the fair value of the property of these public utilities (i. e., the operating companies) or of fair value of return or reasonable rates for services rendered . % . which would have required among other things an appraisal of all the property of the utilities in question.’ “At no point does the commission contend directly or indirectly that the relation of value upon a company’s books is an unlawful act. The reflection of the value upon the books was in most cases an exercise of honest judgment and done in compliance with the provisions of law relative to it. The commission, however, seeks to cast a reflection upon such entries by stating they were ‘based on nothing more than optimistic judgment of the values of the properties being unified.’ “Again, it apparently ignores the economic advance of the country toward the period of its greatest growth. Many of the ‘write-ups’ complained of occurred more than 20 years ago, and few were within the last four or five years. During the depression years in business, ‘write-downs’—not ‘write-ups’ are the rule.” PWA~ PROJECT~PLAN NED 10-Mile Tunnel Through Siskiyou Range on Coast Is Sought. By United Press MEDFORD, Ore., Feb. 22—A mil-lion-dollar-a-mile tunnel through the Siskiyou Mountains that separate Oregon and California is the proposal laid before the Public Works Administration. The tunnel, ten miles long, would handle both rail and highway traffic. Three hours would be cut from Portland-San Francisco railroad time and one hour from automobile time, completely eliminating the highway that makes 28 complete circles in a distance of 10 miles.

Produce Markets

Delivered In Indianapolis prices: Heavy breed hens. 14c: Leghorn hens, 9c, colored springers, 13c; heavy stags, 9c; Leghorn stags, 7c; old roosters. 6c; ducks, full feathered and fat. 10c; geese, full feathered and fat. 8c: all classes of guineas. 15c: No. 1 strictly fresh country run eggs, loss off. 21c. Each full case must weigh 55 lbs. gross, a deduction of 10c a pound for each pound under 55 lbs. will be made. Butter—No. 1 39 6 40c: butterfat, 35c. Quoted by the Wadley Cos. (By United Press) CLEVELAND. Feb. 22—Butter—Market, weak: extra. 38c: standards. 38c. Eggs— Market, weak; extra white. 25 I 2c; current receipts, 25c Poultry—Market. Arm; fowls, 20621 c: Leghorn fowls, 176 18c: ducks, old. 19621 c: ducks, young. 24625 c; turkeys. young, 22c. Potatoes—Maine. *1.15 61.25 ’per 100 lb. bag; Ohio mostly 806 85c per 100 lb. bag: Michigan. 80685 c per 100 lb. bag. LOCAL CASH MARKET * City grain elevators are paying 89 cents for No. 2 soft red wheat. Other grades on their merits. Cash corn No. 3 yellow 84 eents

SEC Starts Gold Rush —to Nip Fake Strikes Establishment of Offices in West Hastened to Investigate Claims of New Finds.

BY THOMAS L. STOKES Times Special Writer WASHINGTON, Feb. 22.—Seductive tales of new bonanzas in the West, with nuggets as big as your thumb and gold dust that gets in your hair, are related in gold mine stock-selling literature which is being scattered through the country and has excited the Securities and Ex-

cnange commisison to iresn zeal. Gold rushes of the past are recalled in glittering phrases that tell of new’ finds in deserted mines. Officials of the SEC are fully aware that some swindles are afoot and are taking every means to protect not only the luckless investor but also ’he bona fide mining interests which are injured by the fakes. The commission is hastening establishment of branch offices in the West, particularly at San Francisco and Denver, where gold and silver mine experts will be stationed to investigate claims broadcast about new mining ventures. Complaints Received Several hundred complaints have been recei v e! by the commission. It has issued 50 stop orders on the ground of fraud, and carried other cases to the courts. Promoters are emphasizing to their p’-ospecis the increase in the price of gold under dollar devaluation and the various aids by the Reconstruction Finance Corp. and other government agencies to mining. The Securities Act does not require registration of issues which were put out before the act became effective, and some promoters have taken advantage of this by calling new stock a “continuation” of an old issue. The SEC can impose stop orders only on companies whose stock is registered, but against those not registered it employs its punitive powers of injunction on the ground of fraud. Congressmen Aid Promoters Companies capitalized at less than SIOO,OOO, and in some conditions under $30,000. are exempt from registration under a modification of the original act obtained about a year ago by a group of western congressmen, In modifying the act, however, Congress threw safeguards about the exemptions to protect the investor by holding the promoter liable for inflated issues. The SEC still finds itself under fire from some western congressmen to whom promoters have appealed aaginst actions of the commission. Some stock has been offered for sale as low as 1 cent a share, and a good deal of it is on the market at 10 cents. These prices attract many investors. At the outset, the SEC was bothered by the sale of gold mine stock through the mails over the Canadian border. Those who sold it never left Canada and could not be reached. Co-operation of the Canadian government, which has a securities act of its own, has cut down this type of business.

On Commission Row

Quotations below are average wholesale prices being offered to buyers by local commission dealers. Fruits—Bananas, 5c a lb. Apples, Indiana Jonathans, $1.65; Golden Delicious, $1.7501.85. Lemons, Sunkist, 2605, $4.25. Grapefruit, Texas, seedless. $3; Arizona. 645, 70s and 80s, $2.50. Limes, Mexican, per carton 12s, 25c; Byram. seedless, per hundred. $3. Pineapples. Porto Ricans, half crates. $3.50. Avocados, Florida, box. $1.50. Strawberries, Florida, pint. 13‘/2@ 14c; 36-pt crate. $4.50. Apricots, $3 crate. Vegetables—Cabbage. Northern Danish. 50-15. bag. $1.25; red. 50-lb. box, $1.25; New Texas cabbage, large crate. $3.75. Onion,. Idaho, sweet Spanish, large. 50lb. bag. $2: Michigan yellows, 15 lbs., $1.50; western white. 50-lb. bag. $2; Michigan ve’.iow. $1.25. Potatoes. Green Mountains, 100-lb. bug. $1.50; northern round white, 100-lb. bag. $1; Ohios, 100-lb. bag, $2; Idaho Russets. 100-lb. bag. $1.90: New Florida Triumphs, bushel, $2.25. Sweet potatoes. Indiana wJersevs, bushel. 51. 65: Tennessee Nancy walls, bushel, $1.35. Beans, round stringless, hamper. $1.75 0 2.50; flat, $2.75. Celery. Florida, $4 25 crate; California. $4 crate; medium, dozen, 60c; Jumbo, dozen, 90c. Cucumbers, hot house, dozen, $1.40; 2 dozen box, $2.50. Endive, California, dozen. 90c: peck basket. $2. Egg Plant. $2.25 dozen. Kale, bushel, 90c. Lettuce, hot house, 15-lb. basket, $1.50; Ariona Iceberg head lettuce. $3.75. Mangoes. Florida, crate, SB. Mint, bunch, 15c. Parsley, dozen. 35c. Peas, hampers. $3. Spinach. Texas, bushel. $1.85. Radishes doen 60 0 75c. Tomatoes 10-lb. carton. $1.60; Florida original. $2.75. Turnips, bushel. 75c. Parsnips. bushel. $1.35. Beets, bushel. $1.25. Carrots, bushel. $1.25: 100-lb. sack. $1 75. Rhubarb, hot house, 5-lb. carton, 50c. Mushrooms, lb.. 30035 c. All auotatlons subject to change ud or down.

Retail Coal Prices

The following prices represent quotations from leading Indianapolis coal dealers. A 25-cent carrying charge per ton will be added. DOMESTIC RETAIL PRICES Indiana lump $5.20 Egg 5.03 Nut 480 Brazil Block— Lump 6.54 Egg 5.31 Nut 5.04 GlendoraLump 5.34Q5.59 Egg [email protected] Nut 4.9505.20 West Virginia and Eastern Kentucky (Group B> 8.7707.18 Pocahontas and New River, smokeless 7.3008.32 Coke, egg and nut 8.90 Pea Coke 7.40 Anthracite 10.13012.88

Hides and Skins

Hides —Green country cows ana steers 4c flat: green country bulls and glues. 2VtC flat; green country calf hides. 4y a c flat: green country kip, 4c: No. 1 large horse hides with full heads, shanks, manes and tails. $2.50; medium size. $2. ill No. 2 grade norse maes. 50c less: glues and ponies half price. No. 1 rendered tallow. 4> 2 05 c; No. 2 at value. Yellow grease. 4@4*sc: dark grease. 3'/203%c.

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INSURANCE All Kinds With the Exception of Life A. J. Wichmann & Cos., ine. 712 Circle Tower

What Doeß It Mean?

Operating CompaAi / —,4s opposed to the holding company, the operating company actually derives its income from operations. Thus, any company which is active falls into this category.

EARNINGS SEEN HIGHER IN 1935 Representative Firms May Show 61-2 Per Cent Gain Over 1934. By Times special NEW YORK, Feb. 22.—Estimates based upon operations to date and projections for the next six weeks indicate that first quarter earnings of represetative corporations will amount to approximately 64 per cent above those of the corresponding period of 1934, it was announced today by the Standard Statistics Cos. On an absolute basis, results will be smaller than those for either the second quarter of 1934 or the third quarter of 1933. With adjustment for seasonal variations, however, they will be the best for any three months since the June quarter of 1931. Industrial companies, it is estimated, will show earnings 23 per cent larger than for the first 1934 quarter. Estimates for the 120 companies under consideration give a total of $118,029,000, as compared with $53,667,000 in the preceoing three months, with $95,749,000 in the initial period of last year. Corrected for the seasonal factor, such a showing would be the best thus far in the recovery period; the best since the final quarter of 1930, when industrial production was measurably above current levels. Results of individual Industrial groups will vary widely. Aggregate earnings of automobile companies, for instance, are likely to be somewhat smaller than a year ago, reflecting a decline by a leading producer, although the minor companies will almost uniformly report improvement. Oil company profits are expected to be virtually unchanged from a year ago. Food companies as a group may show a slight drop.

Local Livestock

HOGS Feb. Bulk. Top Receipts. 14. $8,500 8.60 $8 60 4000 15. 8.600 8.70 8.70 3000 16. 8.60® 8.70 8.70 2000 18. 8 50® 8.60 8 65 5000 19. 8.750 8.85 8 85 4000 20. 9.000 9.10 9.15 3500 21. 9.000 9.10 9.15 4000 22. 9.00® 9.10 9.15 4000 Light light; (140-160) Good and choice . SB,OOO 8.75 Medium . . 7.500 8.50 Light weight: (160-180) Good and choice .. 9.00 0 3.05 Medium 8.500 8.85 (180-200) Good and choice... 9.00 0 9.10 Medium 8.600 8.90 Medium weight: (200-220) Good and choice... 9.100 9.15 (220-250) Good and choice .. 9.10® 9.15 Heavyweight: (250-290) Good and choice .. . 9.00 0 9 10 (290-350) Good and choice... 8.90® 9.00 Packing sows: (275-350) Good 8 15® 8 50 (350-425) Good 8 100 840 (425-550) Good B.oo® 8.25 (275-350) Medium 7.75 0 8.10 Slaughter pigs. (100-140) Good andchoice . 6.25® 8.00 Medium 5.25® 7.50 CATTLE —Receipts 700— —Steers—-(sso-900) Choice $10.25012.25 Good 9.25011.50 Medium 6.750 9.50 Common 5.030 7 00 (900-1100) Choice 11.75013.25 Good 9.50012.25 Medium 9.25® 9.75 Common 5.000 7.50 (1100-1300) Choice 12.25013 50 Good 9.75012.50 Medium 7.500 10.00 (1300-1500) Choice 12.25013.50 —Heifers—-(soo-750) Good 10.00 0 12.50 Choice 9.00010.00 Good B.oo® 9.00 Common and medium 4.00 0 8.00 (750-900) Good end choice... 8.25® 10.50 Common and medium 4.25® 8.25 —Cows— Good 6.75® 7.50 Common and medium 4.00® 5.75 Low cutter and cutter 2.00® 4.00 —Bulls—(Yearlings Excluded) Good - 5.000 6.00 Common and medium 3.25 3 A 5.00 VEALERS —Receipts. 600— Good annd choice $8 50 0 900 Medium .. 6.50® 8.50 Cull and common 3.00@ 6.50 —Calves—-(2so-500) Good ond choice.... 6.250 9.00 Common and medium 3.50® 6.25 —Feeder and Stocker Cattle——Steers— (soo-900) Good and choice 5.50® 7.75 Common and medium .... 4.00® 5.50 (900-1050) Good and choice ... 5.75® 7.75 Common and medium 4.25® 5.75 —Cows— Good 3.50® 4.25 Common and medium 3.00® 3.50 SHEEP AND LAMBS —Receipts. 2500 Lambs. 90 to 120 lbs. good and choice 8.75 Common and medium 6.00® 8.00 90-120 lbs., good and choice .. 4.00® 5.00 Sheep: *■ (120-1501 Good and choice 3.50® 4.75 All weights, common and medium 2.50® 3.75 ■

jrawk “My Clients Bleep Well” j For yourself In old age. Knjoy a contented and secure future. (Retirement Annuities) R. F. Lindeman Aetna Life Insurance Cos. 10th Floor Illinois Bldg. *l-9505 ■ ,

r— WE BUY. SELL. and gladly furnish quotations on: Bonds of the United States Government, Its Territories and Insular Possessions Home Owners’ Loan and Land Bank Bonds Indiara Municipal and Corporate Securities General Market Securities Indianapolis Bond and Share Corp* 129 EAST MARKET STREET ■ m 1

INDIANA JOBS FOR JANUARY MOVE UPWARD Index at Close of Month 100.3, Compared With 96.7 a Year Ago. Reports from representative firms indicate that total Indiana employment gained 3.7 per cent during January and compared favorably with the corresponding periods in the last four years, but Was well under January, 1930, according to the monthly review issued today by the Bureau of Business Research of Indiana University. During the month, the bureau reported, there was another small gain in the proportion of employes on full-time schedules. Representative manufacturers of automobiles and auto parts reported their total employment 3.8 per cent above a month ago and 7.2 per cent under a year ago. Coal mines were more active then during any other January since 1930. probably a concession to the intense cold in other sections of the country. Textile Plants Active Employment in representative plants manufacturing textile products were 14.1 per cent above a month ago and 8 per cent above a year ago. Substantial gains were reported in some divisions of the steel industry with total pay rolls in the industry well above a month ago and a year ago. Activity in the building stone industry was at a new low level. Furniture factories were less active than during January, 1934. Data compiled by the U. S. Bureau cf Labor Statistics indicate that retail ,’ood costs at Indianapolis increased 2.1 per cent during the last half o' December and 2.8 per cent during the month of January. On Jan. )9 retail food casts here were 13.8 per cent above a year ago and 23 6 per cent above two years ago, out 26.4 per cent under five years ago. With 1913 as a base of 100, the Jan. 29 index of food prices in the United States stood at 119.8. This compares with 105.8 a year ago and 155.4 five years ago. Store Sales Quiet Department store trade was relatively quiet during the first three weeks of January, the bureau reported. Many consumers, it is said, were using a large part of their income to pay obligations incurred as a result of heavy purchases during the holiday season. Warm weather during this period was another factor that retarded sales.* There was a noticeable improvement in department store sales during the last 10 days of January. Colder weather caused consumers to take more interest in sales designed to reduce stocks of winter wearing apparel. Corsumers as a whole were in position to use a larger portion of their current income to make new purchases. Incomplete data indicate that total January sales were a little above the like period a year ago. Gains over a year ago in some cities were more than sufficient to offset the experience of the stores in which sales were under January, 1934.

After the close of business on FEBRUARY 28, 1935 AH Preferential bids will be withdrawn on the following FIXED TRUSTS Corporate Trust Shares (all serieg) Fixed Trust Shares (both aeries) Basic Industry Shares Fixed Trust Oil Shares 5-Yr. Fixed Trust Shares Call Us for Details City Securities Corporation 420 Circle Tower Indianapolis Telephone Lincoln 5535

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