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Show MONEY & MARKETS By James McMullin Tk Telegram's Esclutfo Obtervef Ales WH Street NEW YORK Unless something slips at the 1st minute, John Wesley Hanes eenior partner of th New York stock exchange M" nf r r Barney at Co. will be juuned a member of the securities securi-ties and exchange commission soon following President Roosevelt's Roose-velt's return from Florida. He will owe his appointment to the combined com-bined recommendations of S E C Chairman William O. Douglas, former chairman and current ace White House adviser Joseph P. Kennedy, and the liberal" faction fac-tion of the stock exchange which seeks to dethrone the old guard. Mr. Hanes comes from a wealthy North Carolina family which made its fortune in tobacco. tobac-co. He'a a Democrat, though not a new dealer. He has been in Wall Street since about 1920. Both he and his house have excellent reputations. The Barney firm is primarily a commission house, but it also does Investment banking, so Mr. Haner" has a well-rounded and thorough knoweldge of the technical operations opera-tions of securities markets, something some-thing no other commissioner since Kennedy has possessed. The aggressive and able Mr. Hanea has often been outspoken In his condemnation of stock market mar-ket abuses. He definitely belongs to the wing which believes that the S E C is here to stay and that the smart thing for the exchange to do is to recognize this and collaborate col-laborate with the commission to bring about needed changes. He has no reason to love the old guard. He only became a member mem-ber of the exchange in 1935 ironically purchasing the seat of the brother of Mike Meehan, the first speculator convicted of illegal il-legal market manipulation by the SEC. Soon thereafter he was appointed a governor of the exchange ex-change to fill a vacancy-through vacancy-through the Influence of the insurgent in-surgent element which had ousted oust-ed Richard Whitney and installed Charles R. Gay aa president. The following year he was duly renominated, re-nominated, but he had stepped so hard on old guard toes that the latter ganged up on him with an independent" candidate of their own and defeated him for reelection. re-election. His appointment will be no more welcome to the "private club" crowd than would that of an out-and-out radical. With him to tip off the commission on the intimate inti-mate details of how the old guard operates, that body should really go to town in its drive for stock exchange reform. Raymond Moley, the original number on braintrustsr, who subsequently became a harsh critic of the administration, ia back In the good graces of the White House. New Yorkers In a position to know say that Mr. Moley has been called into private consultation by the president in recent visits. His visits have been strictly unadver-tised. unadver-tised. At one time Mr. Moley was regarded re-garded aa a dangerous bolshevik. Now they regard his comeback to the Inner circle as on mors hopeful hope-ful indication that the administration administra-tion is on a starboard tack at least temporarily. Financial men with excellent Oriental contacts get word that the younger Chinese leaders surrounding sur-rounding Chiang Kai-shek are ex- ceedingly bitter at the failure of the United States and Great Britain Brit-ain to come to their aid when they were giving their all to resist Japanese aggression. They resent even more Franc' cutting off the flow of supplia which had been reaching them through French Indo-Chine, They feel that this act belies the pious . platitudes of the Brussels conference, confer-ence, and that the western world has let them down completely. In their present mood the Japanese Jap-anese should be abl to Interest them in a pan-Asia movement designed de-signed to smash whit luprsmacy. Copyright 1937, for Th Telegram |