New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-10-21

nevertheless they do furnish customers with al naonh
bank notes asked for, and In the national bank
do hold ont, they viii. in violation OF good
faith to brotherhood that IT, the Clearing house Asso
citation furnish customers with greenbaoks, preferrnP
violate Clearing house resolution 10 violating an
act OF Congress
O. The stronger banks are then becoming tired OF the
'poOling" prOcessi A. Why. II is quite apparent sou
banks that furnished 0O0oO on loan cerheates
In order carry weak banks through the panic
should now he quite Disguised at being compelled l"
share with those banks their greenbaok reserves III
strongly suspected already that they manipulate their
greenbacks, and them into gold and national oahk
notes, which quite as popular with the pnpiic Hs
greenbacs rather than have the pooling suction 1ofeeu
upon them day by day
DRIFT CURRENCY.
The President Of another OF the largest banks IN the
city said his bank and most OF the others are at
present discounting far as possible, ana giving
accommodations freely 70 merchants where there any
evidence Of need Of t. The merchants IL must be said
demand very little considering the general strngency
nd seem certainly no harder pressed than the banks
The currency is coming in pretty freely from the
country though in large enough quantities to enable
the banks TO put it out very avishly formal re-
sumption by all the banks is probably still distant ior'
though the volume of currency coming in is continually
increasing there is that OF course has TO go OUT
aud pretty soon shah have TO begin sending II on 10
the South 10 move the cotton crop. Then, when we
have to pay up the s2OOOOO for the loan certificates 1t
viii get very stringent again. though we do not expect
to have to pay that until we get well prepared
O. DO YOU know what reforms in the banking system
the Committee Of Nine contemplate A. No; they are
not 20 report until January, and what they VIII suggest
] do not know.
O Have Won heard OF any unfair dealings among the
Clearinghouse banks ~ the greenback pOoi A. have
heard Of none and should be sorry TO suspect any
think that was a mutual arrangement which all the
banks are carrying out strictly and faithfully
O There are statements made of the fraudulent use OF
American letters OF credit in Europe Have you heard
OF tbeml A. Yes. The statements are probably true
The remedy suggested advising foreign bankers OF the
letters of credit drawn them to be the only
one and yet that is hardly feasible Credits are pay
able nearly anywhere in Europe, and hall dozen clerks
would hardly be enough 10 advise all the banking houses
there Of each letter drawn on any one OF them Inc
bankers there. know OF my personal experience usn-
ally pay readily any amount demanded ON letter OF
credit without any OF the usual guarantees such as per
sonal Identification We could not afford TO carry on
business in that way here.
Mr. Robinson of Drexel. Morgan Co. SAID currency
was coming very wen, and the banks seemed inclined
TO accommodate everybody very literally. As TO the
alteration OF letter of credit issued by Drexe Morgan
Co.. he said il possible TO execute frauds on their
letters Of credit by chemical processes doubtless just as
on any notes The firm always advised the houses on
which the credit rs drawn but It would be impossible to
notify every house to whom the letter might be pre-
ecnted 'ef's .--1+
VIEWS OF MANAGER CAMP.
Manager Camp Of the Clearngh ouse, when questioned
as to the prospect of the resumption OF currency pay
mcns by the banks said that there lad been c0nderd
BILE discussion that subject among bank officers but
NO definite time for resumption had been fixed or even
proposed He had in the public prints statement
that the banks would pay out currency IN answer TO al
demands and after Monday, oct a. bnt he knew OF
no foundation the assertion There need be no haste
the matter for there u no trouble now ABOUT getng
the currency needed for legitimate business The banks
not only pay out currency ~ small sums but also IN
They will not pay II ont for people 10 hoard nor at any
time Is IL legitimate to draw money from the banks SIM
ply 70 hoard H. Confidence Is increasing az present te
banks are gaming strength and viii soon be prepared
and the limitations on their payments OF currency,
II II thought desirable. The amounts Of legal tender
to arge drains every week by manufacturers and others
who want money 10 pay the weekly wages OF those EN-
ployed by them. Probably the NewHOrk banks are
paving out much 100000 this account, on Sat
urdsys and Mondays Tue time for which the plan OF
pooling" greenbacks shall be continued Is indefinite.
The system is Of little consequence TO the stronger
banks The amount involved by IT is not than
the New-York banks Those banks which have large
deposits from the country subject TO sudden Wlhdrawa
aided by the system also few OF the weak
or its aSoiuon makes httIe dinerence some BANKERS
think when 1t is given up that people viii make deposits
readily, bat in Mr.. Camps opinion there would be
little change in that respect With gard the
mediation o. merchants by discounts, said that
banks doing all in their power TO help legitimate
business. The amount o. discounts daily increases but
with S2OOOOOO Of loan certificates out, the banks
obliged 10 exercise caution.
Mr.. Camp was then asked about the work Of the Com
njttee Of Nine which appointed by the Bank Asso-
citation considerable time ago, 10 consider what reforms
are needed in the present banking system ana TO report
To the Association. He answered that the Committee
at work with elaboration and case Thoroughly
matured report would be presented The time when the
report would be made not fixed II may be read
the annual meeting of the Bank Association, which will
take place the first wednesday In January having been
postponed from the first Tuesday in October,
among those engaged banking that certain reforms
are mperatVely demanded In regard to the nature OF
those reforms there may be divided sentiments, and
one man cannot speak with authority for the rest
REFORMS RECOMMENDED.
President Tappan OF the Gallatn National Bank said
that discussion among bank officers the time when
currency payments shall be resumed and the pooling
Of g1eenbscks given up going actively party
favorng early action that end another party desiring
put of Some claim that there has been suspen
sion. The time when resumption will be easy is draw
ing with the healthier tone Of feeling aud the in
oreasIng strength of the banks probable that
by the first part OF next month the step be taken
Inc pOoIIns VI EIeeuo"ohs whit ol course cease
would be favorable, and, In Mr.. Tsppan's opinion,
would have marked iaiueaee IN encouraging
the discount business the banks doing
Mr.. Tappan said that the transactions IA re.
discounting. renewing Old discounts and making new
ones, are now large, having expanded considerably
merchants as far as in their power As member Of the
Committee Of Nipe 10 report on needed reforms in the
meeting yet because of them also members of
the Loan Committee and have been too busy during the
would meet dt early day, aud make their report
soon as thorough consideration Of the subject would
allow Changes In the plan OF certifying checks which
was IN pracce before the panic and in other methods
of business between banks would probably be recon-
nitee win report that system Of allowing interest
deposits should be abolished AS TO other reforms
there might be difference OF opinion but there would
be about the necessity Of thus change
said thai he had understood that the Committee ON
banking Reform had done nothing yet, but would hold
a meeting this week. The time when their report will
ne AS TO the prOprety OF the