11TH AND CHERRY STS., Mr. E. J. MANSFIELD, Post Office Inspector, Jacksonville, Florida. DEAR SIR: I have received from you a day or two ago a blank form and inquiring whether or not my business transactions with Brown-Crummer Company, R. E. Crummer and Company, and the Crummer Company of Wichita, Kansas, Chicago, Illinois, and Orlando, Florida, have been satisfactory. Please be advised that all transactions with this company to date have been entirely satisfactory. MY DEAR SIR OR MADAM: Will you please inform me whether your business transactions with Brown-Crummer Company, R. E. Crummer and Company, and the Crummer Company, of Wichita, Kansas, Chicago, Illinois, and Orlando, Florida, have been satisfactory? If not, full particulars in answer to the following questions will be greatly appreciated. If the space provided for answers is not sufficient, please furnish the additional information on the back of this form or on an additional sheet of paper, numbering your answers to correspond with the numbers of the questions. (1) How much money, if any, did you pay this person or concern? None. On what date? (2) How was it paid (money order, personal check, etc.)? None. (3) What representations were made which induced you to invest your money? None. (4) Were such representations made by mail? If not, in what manner? (5) Have you written the concern (or person) in an effort to have the transaction adjusted? If so, what was the result? Yes. (6) Please state how you came to engage in this transaction. If through an agent, kindly give his name and address. If through an advertisement in a newspaper, please furnish, if possible, the name of such newspaper, the date of issue, and the city in which it is published. Had one Evon Park bond, which I let them handle after these bonds went in default. (7) Will you please send me all letters, circulars, and advertisements received bearing on this transaction, together with the envelopes in which they were received, after having written your name on each piece for identification? This letter should not be regarded as reflecting upon the character or reliability of the person or concern mentioned, and should be treated as confidential. An official envelope, which does not require the payment of postage, is enclosed for use in transmitting the information and papers desired. If the papers are too bulky to enclose in the envelope, you may wrap them in a package and securely attach the envelope thereto. A prompt reply will be appreciated. If possible, please furnish names and addresses of other investors. Sincerely yours, E. J. MANSFIELD, They handled this reserve very satisfactory, although it did take 3 or 4 years. I am not of the opinion that they solicited my business. E. D. ZALESKY, Per E. D. Z. DEAR SIR: We have had some minor business relations with R. E. Crummer & Company. We wish to state that these transactions were handled and consummated in a manner satisfactory to us. Very truly yours, JBF: MES. J. B. Ford, Manager, Bond Department. (Written on front of Form 570-A, addressed to Susan Sheaff, Holcomb, Illinois, in answer to question "(6) Please state how you came to engage in this transaction. If through an agent, kindly give his name and address. If through an advertisement in a newspaper, please furnish, if possible, the name of such newspaper, the date of issue, and the city in which it is published.") My business transactions with the Crummer Co.'s have been very satisfactory.— Susan Sheaff. (Typed on front of Form 570-A, addressed to Mr. Harry F. Berls, 1727 N. Sycamore Ave., Los Angeles, Calif., in answer to question “(1) How much money, if any, did you pay this person or concern?”) None. (In answer to question "(3) What representations were made which induced you to invest your money?") I occasionally received circulars recommending Florida Municipal bonds. (In answer to question "(4) Were such representations made by mail?") Yes. ("If not, in what manner?") Circulars. It has been several years since I have had any mail from above company. I did not keep the circulars. (Written on back of Form 570-A, addressed to First National Bank of Monroe, Monroe, Mich.) Our relations with the above-named firm have always been satisfactory.—First National Bank, Monroe, Mich., by Earnest W. Perry, Cashier. (Written on front of Form 570-A, addressed to Johanna Calmer by Warren J. Bleyaert, Agent, 200 W. Sixth St., Monroe, Mich.) I am Mrs. O. L. Mead and I am writing for Miss Johanna Calmer, and that she knows nothing whatsoever regarding this letter or what it stands for.--Mrs. O. L. Mead. (Written across front of Form 570-A, addressed to O. J. Kruger, 111 W. Fifth Street, St. Paul, Minn.) Transactions entirely satisfactory.-O. J. Kruger. (Typed on front of Form 570-A, addressed to Mr. Walter J. Krager, Cattaraugus, N. Y., in answer to question "(6) Please state how you came to engage in this transaction. If through an agent, kindly give his name and address. If through an advertisement in a newspaper, please furnish, if possible, the name of such newspaper, the date of issue, and the city in which it is published.") We made exchange of bonds thru these people. The transactions have been very satisfactory.-/s/ W. J. Krager. (Typed on front of Form 570–A, addressed to Bank of Cattaraugus, Cattaraugus, New York, in answer to question "(6) Please state how you came to engage in this transaction. If through an agent, kindly give his name and address. If through an advertisement in a newspaper, please furnish, if possible, the name of such newspaper, the date of issue, and the city in which it is published.") This concern has handled various refunding operations for municipal bonds, and transactions we have had, have been very satisfactory. We think they have done very good work in this field.-/s/ J. J. Nee. (Typed on back of Form 570-A, addressed to Margaretha Vogt, Box 753, Avon Park, Fla.-Avon Park, Fla., March 27th, 1943.) I owned, for a number of years, One $1,000 City of Avon Park bond, and when the city issued refunding bonds, I received one and also adjustment of the interest due on the old matured bond. I did not purchase anything through the Crummer Company and dealt with the First National Bank of Chicago. All transactions in this matter have been satisfactory to me. Never invested anything with Crummer Company. Know no other investors. Trusting this answers your inquiries, I am, very truly yours, /s/ Margaretha Vogt. (Written in margin of Form 570-A, addressed to Mr. William E. Sweet, Denver, Colorado.) Mr. Sweet expired several months ago, hence this questionnaire is returned. (Written on back of Form 570-A addressed to Mr. Oliver C. Foreman, 58 E. Washington St. 2078, Chicago, Illinois.) In 1937, I bought some Avon Park, Fla., bonds from John Nudeen Co., Chgo. Crummer may have secured my name from that transaction. I've never done any business direct with Crummer Co's.-Oliver Foreman, D. O. (Written on front of Form 570-A, addressed to Prairie State Bank, Augusta, Kansas, in answer to question “(1) How much money, if any, did you pay this person or concern?") None lately. (In answer to question "(5) Have you written the concern (or person) in an effort to have the transaction adjusted? If so, what was the result?") Haven't needed any adjustment. (In answer to question "(6) Please state how you came to engage in this transaction. If through an agent, kindly give his name and address. If through an advertisement in a newspaper, please furnish, if possible, the name of such newspaper, the date of issue, and the city in which it is published.") Purchased Municipal Bonds various times. (Written on front of Form 570-A, addressed to Mr. Henry F. Lankow, Little Valley, N. Y.) My business transactions with R. E. Crummer & Co. have been satisfactory.— Henry F. Lankow. 96270-47-pt. 2-34 (On front of Form 570-A, addressed to Nellie R. Yeasting, 2817 Powhatan Parkway, Toledo, Ohio, circle has been drawn around words "have been satisfactory," with arrow pointing to signature of Nettie R. Yeasting.) (Written on front of Form 570-A, addressed to Mrs. Dorothy B. Gossard, 6707 Colorado Street, Overland Park, Kansas, in answer to question "(6) Please state how you came to engage in this transaction. If through an agent, kindly give his name and address. If through an advertisement in a newspaper, please furnish, if possible, the name of such newspaper, the date of issue, and the city in which it is published.") All of my transactions with this firm have been highly satisfactory.—Mrs. Dorothy B. Gossard. (Written on back of Form 570-A, addressed to J. O. Adams, 400 Roosevelt Building, Los Angeles, Calif.-Apr. 8—1943.) I have known Mr. Crummer, also Mr. Brown, and have had many dealings with Mr. Crummer over period of more than 20 years, and have found him to be absolutely reliable, and all dealings fair and equitable in every way.—Yours, J. O. Adams. APPENDIX B Transcript of examination of certain SEC witnesses by Mr. George M. Moore, Chief Investigator, Senate Judiciary Committee. IN THE MATTER OF INVESTIGATION PURSUANT TO S. RES. 35, By George M. Moore, Chief Investigator, Senate Judiciary Committee Witness: THOMAS B. HART, regional administrator, Securities and Exchange Commission, Chicago, Illinois. Present: ROBERT S. RUBIN, special counsel, Securities and Exchange Commission, Philadelphia, Pennsylvania. March 22, 1945. Mr. MOORE. The Senate resolution is made part of this record, as follows: 79TH CONGRESS 1ST SESSION S. RES. 35 IN THE SENATE OF THE UNITED STATES JANUARY 18, 1945 Mr. HILL (for Mr. PEPPER and Mr. ANDREWS) submitted the following resolution; which was referred to the Committee on the Judiciary FEBRUARY 19, 1945 Reported by Mr. MCCARRAN, without amendment, and referred to the Committee To Audit and Control the Contingent Expenses of the Senate FEBRUARY 26, 1945 Reported by Mr. HAYDEN, with amendments; considered, amended, and agreed to RESOLUTION Resolved, That the Senate Committee on the Judiciary, or any duly authorized subcommittee thereof, is authorized and directed to make a full and complete study and investigation of the activities of the Securities and Exchange Commission and Post Office Department, or any representative thereof, with a view of determining whether (a) the activities of said agencies, through their representatives, are crippling, hampering, or rendering ineffective the Municipal Bankruptcy Act, as amended, heretofore enacted by Congress; and (b) whether or not the activities of said agencies, through their representatives, are unfairly resulting in undermining the credit of the taxing units of the State of Florida. The committee shall report to the Senate as soon as practicable and not later than April 2, 1945, the result of its study and investigation, together with its recommendations. For the purpose of this resolution the committee, or any duly authorized subcommittee thereof, is authorized to hold such hearings, to sit and act at such times and places during the sessions, recesses, and adjourned periods of the Seventy-ninth Congress of the United States until April 2, 1945, to employ such clerical and other assistants, to require by subpena or otherwise the attendance of such witnesses and the production of such correspondence, books, papers, and documents, and make such investigations, to administer such oaths, to take such testimony, and to incur such expenditures as it deems advisable. The committee |