| Show MORGAN o N FORMS r POOL gi L TO SUPPORT TO-SUPPORT SUPPORT BOND MART Security Prices ices I I Rally on Report r Of Big Combine f I Raskob Accused of Short Sales by Counsel of Stock Mart Quiz I 1 1 ENIES DENIES CHARGE ON STAND IH Hearing Haring aring Punctuated by by Political Political Political Po- Po References In OJ Associated Treat Press WASHINGTON June 3 John 3 John J. J Raskob was waS charged with short selling seU sell ing today ond and promptly denied the charge charr bu bps added that he thought short selling perfectly cr proper when properly conducted The ch chairman of the Democratic Democrat c national committee questioned before the senate banking by its counsel William A. A Gray said he always always al al- al ways had more long stock In his regular regular regular regu regu- lar account than he sold except in two transactions in which he be admitted that he was technically short Gray pointed to one particular sale in 1927 which he said was a short transaction and asked why Raskob sold the stock For some personal reason I suppose suppose suppose sup sup- pose Raskob replied For income tax purposes to establish a profit or loss There were frequent references to politics and protests from Senator Glass Democrat Virginia Just before Raskob concluded Glass put into the record a list of the members of the board of ot General Motors Mo Mo- tors tons pointing out that there are 23 Republicans and no Democrats Grays Gray's charge had been that Raskob had bad sold General Motors stock short while he was an official of the corporation cor cor- t Raskob said he became associated with General Motors about 15 years ears ago becoming an officer later DOESN'T REl I REMEMBER ER ERI I dont don't remember when I became an officer he said Gray asked him if he still was an officer of General Motors Raskob replied that he resigned his place as vice president in July 1928 1923 Raskob said he is still a director o of the corporation Glass asked Gray if any other of of- had the Information he intended intend intend- ed ad to elicit from Raskob Gray replied that he had called Raskob in connection with personal operations of which other of officials were not informed Raskob submitted a statement showing show- show lag ing ng he had shares of General Motors common stock on hand January January January Janu Janu- ary 1 1928 in his regular account and that hat at the end of 1931 his balance was shares Another statement on a special account account account ac ac- ac- ac count showed that he had shares January 1 I 1928 and none in in that account January 31 1931 Another Another Another An An- other statement headed Consolidated ed Accounts of J. J J. J Raskob showed th nation January 1 I 1928 he had on hand shares and that at the end of 1931 he had shares The consolidated account showed that hat in January of 1928 he sold shares though he held only Senator Glass D. D Va asked Gray Continued on Paio To Two o J P. P Morgan Organizes p Pool for Support of Bond Market r f J v Policy of Syndicate Will Be Bet t 1 Based on Congress f If f Budget Action 1 I. I i i. i Continued from train rue Pate One a over bank Walter E. E Frew chairman i Corn Com E change chance bank Harvey D. D Gibson president Manufacturers Trust company F. F Abbot Goodhue president of ot Bank of ot Manhattan an H. H Commercial NaI National National Na- Na P P. Howell president I bank Percy H. H Johnston t. t dent Chemical bank Thomas W. W LaJ Lamont La La- J mont J. J P. P Morgan Co Charles E E. Mitchell chairman National City I bank Lewis Lewis' E. E Person chairman Irving Irv- Irv J t ing Trust William C. C Potter president I E. E dent Guaranty Trust Jackson First NationalS National Reynolds president bank Albert A. A TIlney chairman S Bankers Trust John C. C I York and president Bank o of New Trust company Felix M. M Warburg of Kuhn Loeb Co George Whitney 4 of or J. J P. P Morgan CoAlbert H. H Wiggin Wig- Wig chairman Chase National bank M gin Announcement as to the official I staff of the corporation will wilt be made later a. a TO BEGIN IN WEEK said the Corporation I 1 Mr Lament Lamont i 4 begin functioning in the early S part of or next week He added that th the amount of debentures deben- deben i tures whIch may be issued by the orb or or- b has not yet been determined although the initial funds will be Organization of the corporation It was said would woul i probably bel be perfect perfect- ed d tomorrow It will have a nominal I. I H o stock tock capit capitalization its funds being raised al cd by subscription to a debenture issue ISSue rr f The amount to be invested in in ties tics has n nOt t been determined nor hash has f h there been a decision as to what types of f securities will be purchased although al ala alaH H though buying f may be confined to tow w domestic issues and principally to i. i bonds An announcement of formation of such a corporation had been intimated I J following the meeting of the Young credit expansion committee yesterday yester yester- announcement was held S day but the u. u up LIP until after the close o of today's markets it I.- I. Security Prices Rally In Active Trading it I NEW YORK June 3 Spurred JP-Spurred Spurred that organized support Ion for or by reports v. v the bond market was to be undertaken I by a group of banks and banking r houses security prices rallied strongly strong strong- S. S ly iy in active trading today Stocks fel Iback substantially after soaring 1 to 5 5 a share but closed I IS I'S t S 'S mostly higher Bonds made even 0 larger advances and generally held heldt their gains Prof taking it-taking appeared toS to t be the chief influence in the reaction S of common shares from their highs but a number of ot preferred issues retained re re- tamed generous advances indicating that investment bargain hunters had hadS S been attracted to the market l With the tax bill reported back to top p both house and senate prompt acv act ac ac- v t tion toward final balancing of the budget was indicated thus removing markets market's chief worries of ot u one ot of the v the past six months Stocks of light and I power companies compa compa- nies flies made a strong showing when it 11 4 was learned that the revised revenue t. t measure provided for fora a consumers consumers' 4 tax on electricity as against the levy on producers' producers income proposed in the thep p senate bill Tobacco and food shares 1 I also did well Am American rican Tobacco B closed at 3 up and Liggett t Myers I B at up Corn Prod Prod- 1 4 nets at 31 31 was higher while SI N National Uon l Biscuit rose to 1 In utilities North American closed SI i a 3 net higher at 1862 and Consolidated Consoli Consoli- St dated dated qa Gas showed showed a gain tain of f 3 the thet t final mal price being bem 37 American Telephone Tele- Tele phone lost a a 3 advance which had s 5 carried it to h e United States Steel common after atter 5 rising 22 to 2975 finished at 2850 i t up 1 i Transactions approximated 2000 i shares 5 I |
