y announcement, "Serial
No. C 10938," as follows:--

"With reference to the recent announcement in the Press that all
applications for Treasury licences must be made in writing on a
form obtainable from the Secretary of the Capital Issues Committee,
Treasury, S.W. 1, delay will be avoided if intending applicants will
state which of the following forms they require:--

"Form No. 1. Issue by a proposed New Company to start a fresh
business.

"Form No. 2. Issue by an Existing Company (other than for the
purpose of capitalising profits).

"Form No. 3. Issue by an Existing Company for the purpose of
capitalising profits.

"Form No. 4. Conversion of a Firm into a Limited Company which does
Not involve the introduction of fresh capital.

"Form No. 5. Conversion of a Firm into a Limited Company which Does
involve the introduction of fresh capital.

"If none of the above Forms appears to be applicable (as, e.g., in
amalgamations, sub-divisions of shares, etc.), a statement of the
facts should be submitted in writing."

Before we go on to consider the new regulation, 30 F, let us try to
see what is the real effect of the document above quoted. It was
evidently intended to be a relaxation of the control of finance.
This is shown by the sentence which says that the matter was to be
reconsidered "in order that no avoidable obstacle may be placed in the
way of providing the capital necessary for the speedy restoration
of commerce and industry, and the development of public utility
services." And yet it was thought necessary to give legal force and
attach penalties to regulations that have worked during the war quite
sufficiently well to secure a much stricter control than is now
required. The explanation of this apparent inconsistency is probably
to be found in the desire of the Government to meet a grievance of the
Stock Exchange. Hitherto the only penalty that befell those who made
a new issue without getting Treasury sanction was that the securities
issued could not be dealt in on the Stock Exchange. The practical
effect of this was that those who acted without Treasury sanction
could only issue securities subject to this serious drawback, and
so an effective but not altogether prohibitive bar was put on the
process. If this bar was not strong enough in war-time it ought
clearly to have been strengthened long ago; if it was strong enough,
then why should it be strengthened now?