Letter from J. A. C. Groner of Norfolk, Virginia, Urging President Hoover to Calm the Stock Market Panic

Groner Norfolk, Virginia November 14th, 1929 White House, ofzo THE WHITE HOUSE President, Herbert Hoover, NOV 15 1920 Washington, D. C. Personal RECEIVED My dear Mr. President:- I voted for you for President, and I carried to the polls one hundred thirty-seven voters who had never before voted a Republican ticket in their lives, on account of my confidence in your great and varied experiences. My admiration and respect for what you have accomplished -in the past and my confidence that under your wise guidance, the happiness and prosperity of this country would be safe for another four years. The panic that we are now going through has reached such enormous pro- portions that it is not only ruining the speculators, which you or I have no con- cern in, but it is ruining millions of your people who have never speculated in their lives, but who have carried for many years, what they considered conservative, safe investments. This statement, I assure you, as you must know, is not exagger- ated or far-fetched. From the Atlantic to the Pacific you can hear on every side of people who have never speculated in their lives, who, by reason of this disas- ter, will have to change their whole mode of living. The reason for this is the reports and stories that have been circulated over the country attacking the in- tegrity and standing of almost every financial institution. Where the falling stock prices had no effect, these rumors in circulation have struck terror to the hearts of millions and they have sold their securities for what they would bring, not knowing what was going to happen next. There is another side to this picture. If this panic is allowed to con- tinue to a point where it affects the vital industries of this country and where they will have to lay off men in large numbers or reduce the high salaries that these men have been receiving in the past, we will be in grave danger of a Revolu- tion. We have seen in this panic what Mob Psychology can do. We have had ample evidences in North Carolina of the under-lying currents, as well as in other parts of the country. When the President of the County Trust Company of New York committed suicide at the height of this tension, I was struck with the splendid effect upon the depositors of that institution by the frank and out-spoken endorsements and guarantees of it's condition by Alfred E. Smith and Raskob. I sincerely hope you will pardon my temerity in writing you, but I be- lieve if you will have conducted a quick survey of the conditions of the country, world that could be done at this time. and this survey justifies it, a few words from you to the country based Gimes on the find- ings of that survey, would do more to restore confidence than anything else in the With the deepest respect, I am, Yours very m November 15, 1929. My dear Mr. Groner: This will acknowledge the receipt of your letter of Novem- ber 14th. Sincerely yours, LAWRENCE RICHEY Secretary to the President Mr. J. A. C. Groner, Norfolk, Virginia. jam