Regional President Speech

the control of' H>iLhiCiUi corpöK;iTion VEESljS THL CONTROL OF GO ViRhrtirliT by Karl h. Bopp to The Alumni of the Graduate School of Banking Tilles Restaurant San som Street Philadelphia, Pa. Tuesday, December 7, 1943 6:30 P.M. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis Sources of pov.er: Govt. - the electorate Corps. - owners of voting stock G. - electorate versus population unoer-agec disfranchised C. - voting ¿tock versus capital contribu­ tions bona holders non-voting stock Exercise of power: indifference of electorate Selection of candidates - extra ii-gal machinery G. - at least two sets of candidates (sometimes primary is important) C. - only one set G. - the "ins" select one set only C. - the "ins" select the only set Conduct of elections (a) Raising funds G. - Privately: Teapot Dome a scandal C* - Corporate treasury for the "ins", privately for the "outs" Legitimate recouping of costs to J million for large corporations Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis (b) Voting the floaters J G. - The gang C. - Brokers, noninees, intermediaries e.g., Rock Island 27/30 ls lar^eot V.'hy not refuse vote to floaters Adjourn meetings B. Control 1. Througn complete ownership 2. Majority control 3« Control through legal devices (a) Pyramiding (b) Non-voting stock Dodd? Brothers 1925 Cit^SeTVice - H. L. Dougherty Stanaard Gas and Electric (c) Voting trust U» Minority control Proxy committee J. D. Rockefeller versus Col. Stuart 5• Management control 200 largest Types of control By number By wealth Management kU 58 Legal device 21 22 Minority 23 14 Majority 5 2 Private 6 4 Receiver __1_ ,-JTT. 100 100 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis Conflict of interest 1. Loft Candy '¿. Bethlehem Steel Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Karl R. Bopp (1943, December 6). Regional President Speech. Speeches, Federal Reserve. https://whenthefedspeaks.com/doc/regional_speeche_19431207_karl_r_bopp

@misc{wtfs_regional_speeche_19431207_karl_r_bopp,
  author = {Karl R. Bopp},
  title = {Regional President Speech},
  year = {1943},
  month = {Dec},
  howpublished = {Speeches, Federal Reserve},
  url = {https://whenthefedspeaks.com/doc/regional_speeche_19431207_karl_r_bopp},
  note = {Retrieved via When the Fed Speaks corpus}
}