The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1884-06-18
PROCEEDINGS OF CONGRESS-.
THE SENATE.
The Question of Providing Additional Safe
guards for Banks.

guards for Banks.
WASHINGTON June 17-Mr. Sherman. in
calling up Mr. Buffers resolution of inquiry into
the condition of the New York banks, made a
verbal report from the committee on finance.
After reviewing the circumstances attendant
upon the recent financial troubles in New York
CITY, Mr.. Sherman continued, saying that all
that had been done to prevent panic had been
done by the banks themselves The govern
ment Of the United States had no lot or parcel in
it. except IN SO far as the Secretary of the Treas
ury had called in bonds-an ordinary transaction
The committee on finance, to which was referred
the resolution heretofore introduced by Mr. Nor
gan, had called before them the Comptroller
of the currency, who was familiar with all
the facts, and examined him and secured
from him all the information possible at this
time. They were still examining the subject.
Decentralization, the committee believed, had
been practically stopped, and there was no evil
dence that any banks had overcertihed checks,
except those that had got into trouble. Mr..
Sherman submitted statement showing the
condition of the associated banks Of the city of
New York, by weeks, from May 81 to
June A. 1884, which would give the Senator
from South Carolina almost all the information
called for by his resolution. Mr. Sherman felt
satisfied that the normal condition of affairs
would very shortly be resumed. There
was one thing, however, ne WoulQ per
sonally suggest namely that there
should be a severe and stringent law prohibiting
bank officers, other than directors, from dealing
in speculative operations. He would not extend
such prohibition to directors, because they were
generally business men, Whether law on the
subject would be effective he did not know. he
read resolution proposed by John G. Emo to
the directors of his bank in December, 1883. and
unanimously adopted expressing their emphatic
disapproval of the practice of dealing in specula-
tive ventures by officers of banks and expressing
determination not to employ an officer any
person guilty of such conduct. AT the very time,
apparently, that Emo had drawn up this FesolU-
ton, he was himself engaged in the very things
he was denouncing. The substance of such a
resolution should be embodied IN the law, and
bank officers should be punished for infraction
Of that law.
Mr. Beck said the papers exhibited by the
Comptroller of the Currency to the Senate coma
mittee on finance, this morning, not only
showed that he had vigilantly prosecuted
the offenders, but that from his possession
of papers, the contents of which the Senate
would not desire, in the interest of JUSTICE to
made public, he thought that officer was
doing all that could be done.
The matter went over, and the Utah bill was
placed before the Senate The question pending
was on an amendment of Mr. Vest, providing
that in no case shall a lawful husband or wife be-
a competent witness. except to the fact of a law
full marriage having been contracted. Rejected
is to 3d.
Other amendments were offered and rejected,
and the Senate adjourned A vote will be taken
IN the bill at o'clock tomorrow