The times. [volume] (Richmond, Va.) 1890-1903, 1890-11-27
TO RELIEVE THE MERCHANTS.

At a special meeting Of the Board Of Di-
rectors OF the Fourth National Bank, New
York city, held Tuesday, the following pre-
amble and resolution, offered by Mr..
Charles 5. Smith, president of the Cham
Der of Commerce, and seconded by Mr.. Cor
nelius N. Bliss, were unanimously adopted:
Whereas 1t Is of the utmost importance
that the financial stringency which has pre-
vailed among the bankers and brokers Of
London and New York should not be al
lowed 10 seriously affect the mercantile
community of this country; and
Whereas the Fourth National Bank has
had during the present month of November
1920, 900 Of commercial paper fall due, all
OF which has been promptly met at maturi-
ty, thereby showing the merchants TO be in
a prosperous condition; and
Whereas the stringency in the money
market has substantially stopped the pur-
chaSe Of commercial bills, and thereby de-
prived the mercantile community of its ac-
customed facilities; therefore be it
Resolved, That the officers Of this bank be
requested 10 buy freely of first-class com
mercial paper, and they are hereby authO.
rized to take out, II necessary, a liberal
amount Of clearing house certificates for
that purpose.
The above action of the Fourth Nation al
Bank of New York is a most commendable
one. and we think the banks here should
take some steps TO aid and protect their
customers and the community in times like
the present, when, through no fault or
failure OF their own, but from causes wholly
extraneous, they find themselves cramped
by a stringent money market. Our bankers
have as much force as those in New York,
and they should have as much effect, and
our banks are as essential to the prosperity
OF our commercial and manufacturing COM
munity as they are anywhere, and should
be managed accordingly.
Richmond, so conservative, should have
been saved all distress in the recent panic,
though the South, in the midst OF her busiest
season, was threatened with congestion,
and did suffer in yielding price,. We should
Zee that the danger is minimiZed when the
trouble Is from without. Returning from
general TO a special treatment Of the sub
;ect, our idea Is that the banks at all times
should practically maintain a merchants
line Of credit. They should protect them
selves, but not wait for q weak mar
ket TO exercise an unnecessary dis
elimination. When, in the judg-
ment OF the banker, the customer
IL solvent and his demands legitimate, his
wants should be supplied, and if the aggre-
gate OF demands exceed the immediate re-
sources OF the bank, the banks should act
ne an association and render assistance to-
gether, as they have done in New York. We
do not charge that our banks have been re-
creant, but we only desire to urge that they
20 further, and look into and accept the inn
proved methods OF fnanciering, and not
only will our people prosper, but Richmond
will soon do a large proportion Of the bank
proceeding which should interfere with the
closest scrutiny Of credits. On the con-
trary, when the banker feels responsible TO
bis customers be selects them with greater
care.
An interesting view Of the resolution
which heads this is that the president Of
the Chamber OF Commerce comes forward
and pledges for the solyency OF the mer-
chants with the banks. President Purcell,
Of CUR Chamber, could make the same as
sursnces Of his people here.
The mercantile community is under OBJ
LEGATIONS to President Smith for exercising
the panic from merchants, and locating 1t
with the brokers.