OCR Text |
Show corporation had so interpreted its financial position while trying to sell stock, the commission would charge it with attempting to fleece the public. Stating that many businessmen are wondering why the SEC went so far out of its own sphere to make such a prediction about the postwar position of industry, Mr. Gaylord asked what could be the commission's purpose, adding: "This government bureau could much better spend its time in studying ways to encourage the flow of new capital 'into worthwhile worth-while industries, and to simplify its procedures so that they will no longer hinder the formation of new capital. "If we are to have more production pro-duction and more jobs when the war is over, we will need more capital. Such interpretations as the SEC has indulged in can only be a further hindrance to this necessary investment in new enterprises en-terprises that must be made if we are to have the kind of postwar post-war world we all want." JameS Preston The reason why the Securities and Exchange Commission announced an-nounced that all industry has plenty of working capital to reconvert re-convert to peace-time operations without financial aid has become one of the mysteries of wartime Washington. Branding the SEC statement as "dangerously misleading," Robert Gaylord, president of the National Association of Manufacturers, pointed out that such announcements announce-ments are altogether outside the province of the commission. The Rockford, 111., manufacturer added add-ed that even if issuing such statements state-ments were one of the SEC's functions, func-tions, the commission has no complete com-plete statistics to justify such a conclusion about industry's working work-ing capital. By analyzing figures made public pub-lic by the SEC, Mr. Gaylord deduced de-duced that the commission's sta-titicians sta-titicians had included as working capital funds set aside to meet tax liabilities and the amount of cash borrowed from the government on V and VT loans. He remarked caustically that if any industrial |