Fat Profits for Wall Street Operators

Manawatu Times, Volume LV, Issue 6864, 21 May 1932, Page 5

Fat Profits for Wall Street Operators

SENSATIONAL DISCLOSURES BEFORE CONGRESS COMMITTEE San Francisco Press Broadcast. WASHINGTON, May 19. Millions in fat profits for Wall Street traders were revealed to-day as the Senate Banking and Currency Committee disclosed three typical methods used by professional operators to juggle stock prices. Developments were:— A radio pool netted 5,000,000 dollars profit in about one week for John Raskob, Percy Rockefeller, Charles Schwab, Walter P. Chrysler and other well-known participants. The pool distributed 92,000 dollars in profits to non-participants, including 19,000 dollars to Eddie Dowling, the actor, and 10,000 dollars to Joseph Tumulty, secretary of the late President Wilson. No reason for these gifts was disclosed. Directors of the General Asphalt Company helped to form a pool in that stock, and then voted fat dividends while the stock was being held. The expose of the big leaders operations was contained in a mass of documents produced by Mr. Gray and by the testimony of several witnesses. One expected big punch of the hearing was dissipated with the disclosure that M. J. Meehan, whose brokerage firm helped to manage the famous radio pool during the bull market of 1929, left last night for Europe.