New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-11-17
BANKING REFORMS CRITICISED.

DIRECTIONS TO THE REPORT OF THE COMMITTEE OF
..., THE CLEARING HoUsE ASSOCIATION.
The proposed banking reforms recommended
bv the COMMITTEE OF Clearing Association are
az present the object of general discussion and criticism
among the officers the associated banks. The feeling
IN reference 20 their justice and eXpediency varied
and is IN the instance of many bank officials, colored
by the effect which, the proposed reforms may
have upon their Individual banks. But strong argu-
ments are used by those opposed to the adoption
OF the reforms, however much their views may
be affected by their personal interests. ana there
is every Indication Of stormy session when the asso-
ciated banks finally 20 dispose OF the report It's
stated among bank officials interested that at tue
meeting when the report first suDmtted'a DISPOSE
ton was eiuced by the Special Committee 10 force the
report upon the the feeling Is partly that Of In
dgnation at the method well opposition to the plan
proposed Of reforming the business system Of banking
The President OF OF the strongest national banks
IN the eity In giving his individual this subject
to TRIBUNE reporter said that the reforms proposed
were very radical In tue present exgencie ana un der
the present OF necessity for reform they may he
adoped but In ordinary business times they would not
be received with favor. For instance, they propose
that no bank pay to be paid Interest on
depos,ts The result Of this will be that people who
have money lay aside will send II where interest will
be paid upon 1t. Philadelphia, Boston, Albany Will
carry away immense part of our treasure, and here
ia the city, private banking concerns viii attract
great portion OF Inc Iunus that arc ho"
I'm NO by the associated banks, while strong
banks outside OF the association will reap
great benent from H. They no check shall be GER
ted until the full amount Is rs deposited and that ~
very excellent provision. for over-cerhcation has
threatened the Of several Of our apparently strong
eat balks But there two Sides even to that Bay
that We have account with man for and Know
him 70 DO worth 100000 He sends check to be ceru
fed amounting s9o0o. Even delay ON our part won
uiure him. and refusal altogether would probably drive
him 10 Withdraw his balances. Our bank never ovei-
certifes but there instances where bank should
have the right TO its discretion in the matter
Tho third reform IL 10 the effect that checks
upon associated banks only shall be received
ON deposit That makes the association q close oorpo-
ration at once with it, hand against every bank, and
consequently every banks hand outside against IT, 10
WILL at tho very least, drive the nonassociated banks
into stern rivalry instead OF cooperation with u.s. The
fourth reform proposes that checks upon places outsde
Of New York shall received at rate OF discount 10 be
rea BIZ the Clearing house That proposition would So
cure very hand income TO the banks but evidently
IL would not be the generous pof5y which we are
oil recommended 10 pursue toward the merchants ine
other reforms have not received much Affection pre-
sumo there wiIpbe full discussion Of the prooosf"ns