The Athens post. [volume] (Athens, Tenn.) 1848-1917, 1869-07-09
Bank OrganizatiOn--Pre-
paration for the Coming Conflict.
From tho Nexv " orl, II.rald y ,.. u

Bank OBSERVATION-DISCLOSURES
paration for the Coming Conflict.
(From the New York Herald.) o. "l
A movement of significant impor-
tance to the general interests of the
country and pregnant with results of an
economical and political character to |
the entire community has been consum-
mated in this city during the past week,
FOR the last six years efforts have been !
made by skillful and designing men to
organize general association of the ma
tlonal banks of the country for the pur
pose of enabling these institutions to
act as unit in matters of common con-
Germ to them. During the past week
this aim has been attained through q
convention held at Che St. Nicholas Ho-
tel, at which delegates from national
banks in nearly every State in the Union
were present, and the association is
now organized and in full operation for
good or for evil. 1t assumes to be a
voluntary organization, but it will be
readily seen by every practical man that,
as soon as any considerable number of
banks begin to act together us unit,
the other banks must como into the or
ganization and obey its behcsts, or be
ruled ont as "rats" that are not to be
permitted to participate in the business
and exchanges Of the country.
Very few figures will suffice to show
what q power this organization will
possess in the land for political or other
purposes. According to the report of
the Comptroller of the currency pre-
sentcd to Congress at the opening of
the last winter session the total num-
Der of national banks at that date was
1929. The amount of loans reported
by them was a fraction over $,33l ,OOO,-
600. This sum was distributed in 1,755,
2S3 distinct loans, and if we suppose
that only two persons on the average
were interested in each loan we find
that an aggregate of 3,500000 persons
are affected by the policy of the banks.
Many of these loans were no doubt
made to parties who were already bor-
rowers, and the number is fctitiously
great; but, on the other hand, as the
policy of the banking interest affects
many persons who do not appear as
borrowers on their books, we may safe
ly assume that three and quarter mill
lions of men, filing the most active
circles of trade and manufacture, are
bound, for veal or for woe, by the
pocket nerve to the car of the National
Banking Association. TO this element
Of power we must add the significant
fact that every Senator and Representa-
tive in Congress, in fact or in aspiration,
is probably either a stockholder or di-
rector in some one of these banking as
sociations.
X * II
Expressed in short and plain terms,
the acknowledged object of this bank
| ing association is to save themselves
during the coming convulsions that will
attend the transit Of the country from a
paper to a specie currency. All history
shows that when great financial changes
occur, the banks are the first to take the
alarm and to protect their own interest
by pressing their customers to the wall
That we are approaching u period OF
great financial changes no sane man
doubts. but what events will hasten OF
delay, their development is one of the
secrets Of the future. Mr.. Spauldine
evidently thinks that the decision Of the
Supreme Court in the Kentucky case
which has already been argued and sub
mittcd, may bring them about at al
early day. All human decisions, no
ICNNCljllHS CNCH tlOSC VI liiO JVpI Shi'
Court, are more or less influenced by
the emergencies Of the hour, and prin
ciplcs bow before the needs of ever,
community. Does it perhaps occur il
this connection to Mr.. Spaulding that ;
President representing sixteen hundred
organized national banks, might be list
ened to by Supreme Court?
E The fact is we are approaching q grea
financial and political convulsion, il
which the old stormy discussions Of til
Jackson and Biddle period are to be re
peated when the artificial contrivance
!. and schemes of the bank managers t
plunder the merchants and the peopl
will be laid bare; when the politics
corruption that now feeds on bankin
! and railroad jobs, legislative conces
sions, land grants, tax levies and the il
Vulnerable paraphernalia of lcgislativ
halls and lobbies will be brought to az
count, and whoever shall be found
: blame for any portion of the now grow
5 ing evils will be assailed and swell
away with all their proud franchise
. and privileges. AS for the nationG
banks, they already are obnoXions
much just complaint. The eXtraord
nary concessions by which the govern
ment pays them eighteen millions {
dollars year in gold without service t
= the country of any character; thei
I schemes by which periods of artiticit
g stringency and relaxation in the none
market are produced for their own Pre-
9 fit; the facilities and stimulus they a
4 ford to middlemen in every branch {
= trade to monopolize and carry product
for the purpose of forestalling col
sumption and keeping up prices, an
their thousand and one contrivances
make the rich richer and the poor poo
er, are working a steady change in IL
public mind against the present bankin
t system. The new banking organizatio
o is for offensive and defensive purpose
q and will play an important part in IL
y future political struggles of the countr
> Business is the king and the nation
:, banks aim to be the regent of the Ian
4 Vengeance.