Connell, Karl, staff, American Stock Exchange. Conwill, Allan F., Director, Division of Corporate Regulation, Securities and Exchange Commission.... Day, James E., president, Midwest Stock Exchange Etherington, Edwin D., president, American Stock Exchange. Fleischer, Arthur, Jr., Executive Assistant to the Chairman, Securities Fulton, Wallace H., executive director, National Association of Funston, G. Keith, president, New York Stock Exchange... Goodwin, A. Jackson, Jr., member, board of governors, and chairman, legislative committee, National Association of Securities Dealers, Gray, Edward C., executive vice president, New York Stock Exchange. Haack, Robert W., chairman, national business conduct committee and chairman-elect of board of governors for 1964, National Asso- Statement of-Continued McGovern, Thomas A., counsel, American Stock Exchange- Rosenberry, Samuel L., counsel, New York Stock Exchange. Saul, Ralph S., Director, Division of Trading and Markets, SEC Shipman, Morgan, Special Counsel, Office of Program Planning, SEC. Werner, Walter, Director, Office of Program Planning, SEC White, Marc A., general counsel, National Association of Securities 417 391 391 612 Changes in H. R. 6789 between its submission to the industry liaison committee and its introduction in Congress.. Differences between legislative proposals made in the 86th 325 News clipping from the Wall Street Journal dated June 14, 1963, 107 Price fluctuation and available data for evaluation of selected 90 Charts. 92-95 Recommendations of the special study of securities markets that Staff of Special Study of Securities Markets.. Statement with respect to proposed amendments to-- Sections 12, 13, 14, 15(e), 15(d), 16, 20(c), and 32(b) of act of Letter to Hon Harley O. Staggers dated December 26, 1963 - - - - 602 418 Funston, G. Keith: Letter to Hon. Harley O. Staggers dated December 19, 1963, en- 374 Letter to Hon. Oren Harris dated November 15, 1963. 352 Letter to Hon. Harley O. Staggers dated January 17, 1964.... 388 Letter to Edwin Etherington dated October 16, 1963. Lemkau, Hudson B.: Letter to James Day dated October 16, 1963 Letter to Hon. Oren Harris dated December 4, 1963 Letter to Hon. William L. Cary dated April 11, 1963. 391 617 645 651 Richmond Stock Exchange by John K. B. Rennolds: Letter to Oren Harris dated November 15, 1963 328 329 Robertson, Senator, letter to John K. B. Rennolds dated October 25, 330 January 21, 1964, enclosing a comparative print of the Letter to Messrs. Lemkau, Funston, and Ames dated April 3, 650 Letter to the Speaker of the House and President of the 37 INVESTOR PROTECTION WEDNESDAY, APRIL 3, 1963 HOUSE OF REPRESENTATIVES, SUBCOMMITTEE ON COMMERCE AND FINANCE, COMMITTEE ON INTERSTATE AND FOREIGN COMMERCE, Washington, D.C. The subcommittee met, pursuant to notice, at 1 p.m., in room 1334, Longworth Building, Hon. Harley O. Staggers presiding. Mr. STAGGERS. The committee will come to order. The House Committee on Interstate and Foreign Commerce over the years has been constantly aware of its responsibilities under the Legislative Reorganization Act of 1946 and under the rules of the House, to keep abreast of matters within its legislative jurisdiction, a jurisdiction which includes the various laws in the securities field that are administered by the Securities and Exchange Commission. During the last Congress, the committee, acting through its Subcommittee on Commerce and Finance, under the chairmanship of Mr. Peter F. Mack, again gave careful consideration to the situation in the securities markets and the adequacy of the protection afforded to investors and to the public by the Federal securities statutes now on the books. Among these statutes is that of the Securities Exchange Act of 1934, which charges the Securities and Exchange Commission with certain duties and responsibilities relating to disclosure of information about listed securities and regulating practices in exchange markets, and imposes certain duties and responsibilities upon national securities. exchanges which are required to be registered with the Commission. By amendments to the act in 1938, similar duties and responsibilities are imposed upon national securities associations covering over-thecounter operations. The act, as amended, thus requires that both the exchange and over-the-counter markets should be substantially selfgoverned by certain rules for the protection of the public in the conduct of their operations. During the last Congress, for reasons set forth in the committee report (No. 882, 87th Cong.), it seemed to this subcommittee that it was highly appropriate again to review these rules governing the activities of the securities markets to see whether they are adequate to protect investors, to determine just how they are being administered by the exchanges and the over-the-counter associations, and what changes, modifications, or expansions of the rules or securities laws might be desirable in the public interest. Accordingly, the subcommittee sponsored, the committee approved, and the Congress enacted legislation directing the Commission to make such a review of these rules and to report to the Congress by 1 |