Mr. HARRIS. They pertain to statistical matter mostly that is gotten out by the stock exchange in its various functions.

Mr. PECORA. Well, statistical matter relating to what?

Mr. HARRIS. Volume of transactions and general questions of how the business is conducted on the floor of the exchange.

Mr. PECORA. Do you happen to have with you at the present time copy of the constitution, bylaws, rules, and regulations of the New York Stock Exchange now in force and effect?

Mr. REDMOND. No; we haven't a copy, Mr. Pecora.

Mr. PECORA. I think I have a copy here.

Mr. REDMOND. You are looking for the committee on publicity? Mr. PECORA. Yes.

Mr. REDMOND. I can turn right to it.

(Mr. Redmond turned to desired place in book.)

Mr. PECORA. I have before me what purports to be a copy of the constitution of the New York Stock Exchange and rules added by the governing committee of that institution pursuant to the constitution, with amendments to October 10, 1933, and there have also been inserted in this volume changes down to and including January 24,

1934.

Will you look at it, Mr. Harris, and tell me if you can identify it as being a copy of the constitution of the New York Stock Exchange with such rules as adopted by the governing committee and changes made therein down to and including January 24 of this year?

Mr. HARRIS (after examining document). Yes; that is a correct copy.

Mr. PECORA. I ask that it be marked for identification.

(Constitution, rules, together with amendments thereto, of the New York Stock Exchange was thereupon marked for identification "Committee Exhibit No. 108 for Identification, February 23, 1934", and the same is filed among the records of the committee.)

Mr. PECORA. On page 23 of this exhibit no. 108 let me read the following paragraph marked "paragraph 9, article 10, of the Constitution of the New York Stock Exchange ", which reads as follows [reading]:

Committee of five to be known as the committee on publicity:

It shall be the duty of this committee, under the direction of the president. to keep the public correctly informed concerning matters of public interest having to do with the exchange.

Now, the committee on publicity that is referred to there is the committee of which you are now a member and have been a member for the past 4 years?

Mr. HARRIS. Approximately; yes, sir.

Mr. PECORA. And according to the powers, duties, and functions of the committee as contained in this paragraph ninth of article 10 of the constitution of the exchange, the duty of the committee is "to keep the public correctly informed concerning matters of public interest having to do with the exchange."

Do you know of any other power, duty, or responsibility that might not be comprehended within that language that is conferred upon or exercised by the committee on publicity?

Mr. HARRIS. No; I know of no other; no, sir.

Mr. PECORA. How often does the committee on publicity meet? Mr. HARRIS. There is no regular time for its meeting. At intervals when something that is of importance to that committee comes up a meeting is called. It has no other regular dates.

Mr. PECORA. It has no regular stated times for holding meetings?
Mr. HARRIS. None.

Mr. PECORA. Its meetings are held upon the call of somebody?
Mr. HARRIS. Upon the call of the chairman.

Mr. PECORA. And is the president of the exchange ex officio a member of the committee?

Mr. HARRIS. He is.

Mr. PECORA. Are there any other officers of the exchange who are ex officio members of the committee?

Mr. HARRIS. There are not any.

The CHAIRMAN. How many members are there?

Mr. HARRIS. Five.

Mr. PECORA. The chairman is James Auchincloss?

Mr. HARRIS. Yes.

Mr. PECORA. How are the members of the committee on publicity chosen?

Mr. HARRIS. They are appointed by the president.

Mr. PECORA. Is that true generally of the membership of all the standing committees of the stock exchange?

Mr. HARRIS. That is true of all the committees, standing commit

tees.

Mr. PECORA. Now, can you tell this committee how many meetings have been held by the committee on publicity since the first of this year?

Mr. HARRIS. I believe there has only been one meeting.

Mr. PECORA. How long ago was that held?

Mr. HARRIS. Day before yesterday.

Mr. PECORA. At whose instance was that called?

Mr. HARRIS. At the instance of the chairman.

Mr. PECORA. Did you attend that meeting?

Mr. HARRIS. I did.

Mr. PECORA. Are minutes kept of the meetings of the committee on publicity when such meetings are held?

Mr. HARRIS. Complete minutes are kept.

Mr. PECORA. When was the meeting immediately prior to the one that was held the day before yesterday?

Mr. HARRIS. Mr. Pecora, I am not absolutely certain, but I would say some 6 weeks ago. There may possibly have been another meeting since the first of the year, but at the moment it does not come to my recollection.

Mr. PECORA. If you can give it to us by access or reference to any records, I prefer that you do so; but if you have no such records, tell us from your general recollection how many meetings of the committee on publicity were held during the calendar year 1933.

Mr. HARRIS. I cannot even make an estimate as to that. I have no recollection of it.

Mr. PECORA. Can't you tell us from general recollection?

Mr. HARRIS. Well, a rough estimate would be maybe 12.

Mr. PECORA. Do you happen to have the minute book of the meetings of the committee on publicity with you?

Mr. HARRIS. No, sir; I have not.

Mr. REDMOND. Mr. Pecora, I might say that while the subpena covered all documents and papers, et cetera, Mr. Harris was not informed as to what papers you wanted, and inasmuch as the rest of the question referred to answers in regard to the publicity committee, he came down to Washington simply with the answers to that questionnaire. He had no notice of any other documents that you wanted.

The CHAIRMAN. Let the record show who is speaking.

Mr. PECORA. Mr. Roland Redmond, who has heretofore appeared before the committee. And I think you were sworn.

Mr. REDMOND. Twice.

Mr. HARRIS. Of course, Mr. Pecora, I will be glad to furnish any records that the committee desire.

Mr. PECORA. Yes; I understand. Now, can you tell this committee in a general way what the activities were of the committee on publicity by way of keeping the public correctly informed during the past year concerning matters of public interest having to do with the exchange?

Mr. HARRIS. They have been purely routine and the same as ever since I have been connected with the committee. That is, sending out a certain number of pamphlets, showing people through the exchange through the medium of the gallery, sending various documents to educational institutions.

Mr. PECORA, That is all routine work?

Mr. HARRIS. Yes.

Mr. PECORA. To what extent or to what number were pamphlets sent out during the calendar year 1933, if you can tell us?

Mr. HARRIS. Yes; I think I have that right here. For the year 1933?

Mr. PECORA. Yes, sir.

Mr. HARRIS. We have it only up to October 1. There were three different pamphlets sent and 55,000 copies.

Mr. PECORA. Fifty-five thousand copies of each of these three pamphlets?

Mr. HARRIS. No; that is the total number of copies.

Mr. PECORA. Oh, of all three?

Mr. HARRIS. Of all three.

Mr. PECORA. And to whom were they sent, to what classes of persons?

Mr. HARRIS. Well, it is the usual mailing list, primarily educational institutions.

Mr. PECORA. Are there that many in the country-55,000?

Mr. HARRIS. Of course, members and brokers are included in that list.

Mr. PECORA. There are 1,375 members?

Mr. HARRIS. Yes.

Mr. PECORA. That still leaves a very, very large number.

Mr. HARRIS. Yes; but each member would probably desire a great many copies.

Mr. PECORA. What was the nature and title of the three pamphlets sent out in the year 1933?

Mr. HARRIS. The titles were as follows: Writing Down Assets and Writing off Losses; Security Investors and The Future; Statement of Richard Whitney, President.

Mr. PECORA. During the year 1932 did the exchange under the direction of its committee on publicity distribute any large number of printed pamphlets?

Mr. HARRIS. Yes, sir; they distributed six pamphlets to their regular mailing list, with a total number of copies of 260,000.

Mr. PECORA. What were the titles of those six pamphlets, Mr. Harris?

Mr. HARRIS. Statement of Richard Whitney, President; Statement of Richard Whitney, President, Two; Statement of Richard Whitney, President, Three; The New York Stock Exchange; Report of the President; New York Stock Exchange Year Book. Those are the six pamphlets.

Mr. PECORA. During the calendar year 1931 did the exchange distribute any printed pamphlets under the direction of the committee on publicity?

Mr. HARRIS. Yes, sir; they distributed 12, with a total of 2,250,000 copies.

Mr. PECORA. And what were the titles of those 12 pamphlets? Mr. HARRIS. Titles were as follows: Place of the Stock Exchange in American Business; Measuring the Stock Market; Public Opinion and the Stock Market; Business Honesty; Statement on Investment Trusts, Management Type; Special Requirements for Listing Investment Trust Securities and Report of the President; Economic Law and Business; The Stock Exchange on Investment Trusts; Short Selling; Short Selling and Liquidation; Statistics in Regard to Short Selling; New York Stock Exchange Year Book.

Mr. PECORA. I notice the tremendous number of copies of those 12 pamphlets that were distributed by the exchange in the year 1951 as being 2,250,000, compared with distribution of 55,000 copies in the aggregate of pamphlets sent out in the year 1933 to October 1. Was there any special reason, Mr. Harris, why the committee deemed it necessary or advisable or expedient to send out 24 million copies of 12 different printed pamphlets in the year 1931?

Mr. HARRIS. Yes, sir. There were two pamphlets sent out for which there was a great demand from the public.

Mr. PECORA. And which were those two pamphlets?

Mr. HARRIS. Short Selling, and Short Selling and Liquidation. Mr. PECORA. Who was the author of those two pamphlets?

Mr. HARRIS. One was an address by Richard Whitney before the Hartford Chamber of Commerce in Hartford, and the other was an address by Richard Whitney, president, before the Syracuse Chamber of Commerce in Syracuse, N.Y.

Mr. PECORA. Isn't there a pulication distributed by the stock exchange on short selling by a man named Meeker?

Mr. HARRIS. Mr. Meeker wrote a book, I believe, on short selling, Mr. Pecora.

Mr. PECORA. I beg pardon?

Mr. HARRIS. Mr. Meeker wrote a book on short selling, but that was his own enterprise.

Mr. PECORA. Had the stock exchange caused to be made any distribution of copies on that book?

Mr. HARRIS. I am not absolutely certain as to that.

Mr. PECORA. Do you know the book to which I refer?

Mr. HARRIS. I know the book to which you refer.

Mr. PECORA. Have you read it?

Mr. HARRIS. I have not.

Mr. PECORA. Who is Mr. Meeker, the author of that book?
Mr. HARRIS. He is the economist for the stock exchange.
Mr. PECORA. He is employed by the stock exchange?
Mr. HARRIS. He is employed by the stock exchange.
Mr. PECORA. As an economist?

Mr. HARRIS. As an economist.

Senator STEIWER. May I ask, Mr. Chairman, why the stock exchange needs an economist?

Mr. HARRIS. The stock exchange is constantly being asked various questions, to study general conditions. That is a rather difficult question to answer in a way, but he serves a very useful function. There is a large demand for his services by the public.

Mr. PECORA. To your knowledge, you cannot tell us whether or not the stock exchange has caused to be distributed copies of this book on short selling written by Mr. Meeker, its economist?

(Mr. Harris and Mr. Redmond examined data.)

Mr. HARRIS. It may be here, Mr. Pecora.

Mr. PECORA. I am a little bit surprised that as a member of the committee on publicity for the last 4 years you cannot tell us that, Mr. Harris, as a matter of personal knowledge.

Mr. HARRIS. Yes; here is the data on this, Mr. Pecora.

Mr. PECORA. What data are you reading from on that?

Mr. HARRIS. This is a copy of a questionnaire that is in the hands of your committee.

Mr. PECORA. Did you have anything to do with the preparation of the answers to that questionnaire?

Mr. HARRIS. Not this; no; I did not.

Mr. PECORA. Did your committee have anything to do with the preparation of the answers to that questionnaire?

Mr. HARRIS. Yes, sir; the chairman was consulted.

Mr. PECORA. Mr. Auchincloss. Is he the only member of the committee that formulated the answers to the questionnaire, so far as you know? Or have you any knowledge on the subject at all?

Mr. HARRIS. I believe that Mr. Auchincloss is the only one that was consulted in the answers to this questionnaire, because they were all taken right out of the records. There was no reason to consult with the committee. They were just facts that were to be presented to you. I have some data here about the book on short selling if you care to hear it.

Mr. PECORA. All right; tell us.

Mr. HARRIS. The book Short Selling was published in 1932, and 1,500 copies were purchased by the exchange and its subsidiaries. This is Mr. Meeker's book that I referred to.

Mr. PECORA. Yes?

Mr. HARRIS. All through the committee on publicity. The distribution of the book so purchased was as follows: To members or