AUCKLAND STOCK EXCHANGE.

Dominion, Volume 1, Issue 32, 1 November 1907, Page 9

AUCKLAND STOCK EXCHANGE.

' ITS METHODS CRITICISED,

A discussion took place in tho House on Wednesday' afternoon on ■ tho methods adopted by tho Auckland Stock Exchange in regard to its refusal to quoto tho stock of • certain draining companies. Mr. Poland, in a question'to the Minister for Mines, wished to know whether tho Minister regarded .the Exchango as the proper authority to condemn mining properties, and, if not, whether ho would take steps to have all mining properties offered'to tho public for investment reported upon by an oflicer of the Mines Department. ■■ ■•• ■ ■' Tho Minister (Hon. J. Ai'Gowan), in replying to the latter suggestion, said: "I can only say that there aro many reasons why this would be quite'a wrong position for tho Government ; to take up either in regard to proportics offered tho public by companies or by private individuals, and in any case such , an arrangement could' not bo satisfactorily given effect to." ' Mr. Poland said that his object in asking the question was to impress upon tho Govornmont 1 tho necessity for , taking some steps to remove from tho Auckland Stock Exchango tho extraordinary poivors which it now seomed to possess of practically condemning any mining property by declining to quoto its shares; Tho l Exchange in thus refusing to quoto sharos '.vas setting itself up as-a judge of mining properties, many of which tliO'members of tho Exchango had no knowledge of. Ho urged that tho Governmont, should do something to confine tho 1 Auckland Stock Exchango to its legitimate 1 purposes as defined by tho Sharobrokers Act and the gazottod regulations, viz.,-the-ox- ■ chango of quotations, tho facilitating of pur--1 chases and sales, and tho maintenance of honourablo dealings amongst its members. ■ : '<:Mr. Herrios urged that the Government should tako some action to protect tho investing public against wild-cat schemes in • boom times. . Tho Minister said that; whilst ho did not agree with: all the methods of tho Auckland Stock Exchange, ho thought such an assoi ciation washable to do good.work for the inI yosting public by refusing to quote shares i in tho caso of companies ;that. wore floated in ; regard to properties that : ;wore worth very •;■ littlo.. When such sales wore made or at- ; tempted the Brokers' Association could do ■ good work by stepping in and protecting the j innocent public; ... , ■ Mr: Poland contended that this was-the ■ ' function of the Government, where vpon Mr. M'finwnn ronliprl • "tt. in nnt. fhn rlntv of +l>n

Tho Minister said that; whilst ho did not agree with: all the methods of tho Auckland Stock Exchange, ho thought such an association washable to do good.work for the inyosting public by refusing to quote shares in tho caso of companies ;that ■ were floated in regard to properties that : ;were worth very littlo.. When such sales wore made or attempted - the Brokers' Association could do good work by stepping in and protecting the innocent public: ■■..■■■■ , ■ Mr: Poland contended that this was-the function of the Government, wherevpon Mr. M'Gowan replied: "It is not tho duty of tho Government; no government in the world can protect tho public against s'vit'c'lmg."