HC Deb 14 June 1938 vol 337 c7
8. Mr. Pilkington

asked the President of the Board of Trade whether he will take steps to protect uninformed members of the small-investing public who invest their money in gold-mining companies, often as the result of information which, in the light of later events, frequently turns out to be incorrect, so that their money is lost while at the same time large fortunes are made by the promoters of such companies?

Mr. Stanley

I see no ground for special measures such as my hon. Friend suggests. The small investor has open to him many fields of investment which are not attended by the risks associated with gold mining enterprises, particularly in their early stages of development.

Mr. Pilkington

Is the right hon. Gentleman aware that there is a great deal of undeserved distress owing to this inaccurate information, and cannot he do something to give the public better information?

Mr. Stanley

The amount of information that is to be set out in the prospectus is provided for in the Companies Acts, and I think it is sufficient for the purpose. Of course, as hon. Members know, certain parts of the public will remain gullible.

Mr. Graham White

Do not these unfortunate occurrences mean that the public take action in the absence of information?