Moran, then District Attorney in Boston and widely known
as a reformer. He asked Mr. Moran's help in proving that King was
a swindler.
"Young man," said Boston's reform District Attorney, "if King was
selling corner lots in heaven and advertising them in the
newspapers, I couldn't stop him, because I haven't anybody to
send up there and prove that they are not there."
King wasn't selling corner lots in heaven, but he was selling
stock in a Texas company that was the next thing to it, so far as
tangibility is concerned. It was only when he actually took from
investors money sent to him to buy real stocks, and pocketed it,
that he was put in jail.
LAWS TO PROTECT INVESTORS
A plan for the protection of the investor by statute is embodied
in a model law drafted by the American Mining Congress of Denver,
and recommended for general passage:
AN ACT.
To Prohibit the Making or Publishing of False or Exaggerated
Statements or Publications of or Concerning the Affairs,
Pecuniary Condition or Property of Any Corporation, Joint Stock
Association, Co-partnership or Individual, Which Said Statements
or Publications Are Intended to Give, or Shall Have a Tendency to
Give, a Less or Greater Apparent Value to the Shares, Bonds or
Property, or Any Part Thereof of Said Corporation, Joint Stock
Association, Co-partnership or Individual, Than the Said Shares,
Bonds or Property Shall Really and in Fact Possess, and Providing
a Penalty Therefor.
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