200 DEEP FURROWS 



The rules of the Clearing House are very strict. Any 

 firm which fails to report by two o'clock is fined. The 

 Clearing House assumes responsibility for all purchases 

 and sales and, being actually liable, keeps close tab on 

 every firm. Each firm has a certain credit on the books 

 of the Clearing House, allotted impartially, according 

 to its standing, and this credit forms the fixed basis of 

 that firm's dealings. If its activities exhaust the line 

 of credit, the Clearing House calls for "original 

 margins" at once a deposit of so-many cents per 

 bushel for every bushel involved and for every point 

 which the market drops. The amount per bushel called 

 for is entirely at the discretion of the Clearing House 

 authorities and if the quantity of grain reaches danger- 

 ous proportions the deposit required may be set so high 

 that it becomes practically equivalent to cash purchase. 

 To " corner the market " under these conditions would 

 require unlimited credit with the Clearing House. 



When Jones & Brown are " called " for deposit mar- 

 gins they drop everything and obey. They have just 

 fifteen minutes to reach the bank with that cheque, 

 have it " marked " and rushed to the Clearing House. 

 If they fail to arrive with it the Manager of the 

 Clearing House will step into their office and if there 

 were any "hemming and hawing" Jones & Brown 

 would be reported at once to the Secretary of the 

 Exchange who would call a hurry-up meeting of the 

 Exchange Council and Messrs. Jones & Brown would 

 find themselves posted and all trades with them 

 forbidden. 



All clerical errors in regard to trades are checked 

 up by the Clearing House and fines paid in for mistakes. 

 Only a nominal charge is made for its services enough 

 to pay overhead expenses but the fines have enabled 





