New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-04-16
OPPOSED BY MANY BUSINESS MEN.
IMPORTANT HEARING ION THE TAX LISTING
BILL AND THE BILL TO REDUCE TIE
RATE OF INTEREST.

RATE OF INTEREST.
Albany, April Is (spccaD.-rhere has not been a
hearing before legislative committee In many years
in which so many influential men appeared ana III
which so many leading business houses were repre-
sented ne that at which Senator Erwin's Tax List
inc I'M, and Assemblyman Camerons bin reducing
tho Local rate Of interest from per cent TO per cent
,vor considered before the Senate Committee on Con
oral laws this afternoon. The New-lork delegates
wore headed by Charles S. Smith, president Of the
Chamber of Commerce There appeared to represent INC
New.York Clearing House, J. Edward simmons
Among the Yew-York drygoods firms represened were
II n. ClaAin & Co.. Durham, Buckley d. Co., Tent
weller a. Co. .sweetser Pembroke q Co., and A. d.
.Iuiard & Co. The first speaker was j. Edward SIM
mons, who said in part;
Tho object which this bill seeks TO accomplish Is an un'
wise discrimination IN favor OF the borrower OF money as
against the lender. DO you suppose tha' Inone' WI" ~
investment in the State Of Newfork az per cent inter-
est when obtain employment at per cent On equuy
as good security in every other State OF the ohohf mas
his STAT, enough home capital enable 1t TO meet tho
necessities Of our tradel Surely no one VIII DO oou
enough 10 answer this question In the amrmssNe' "a"
VIC obtain enough money from our neighoors d. e Pcs
ent legal rate OF interest," per cent to satisfy inc ae
nds that are now made upon by the borrower hnK
that every banker to-day will say that the ueau o
money in this State at the present moment Is greater ~
the supply H. then we are not able 70 ge' ehousn
money at the present legal rate OF Interest 10 meet inc
.s,Io ., onr ncople how in OF common sense
ran We expect to increase the supply Oh money We
lower our bid from TO per cent? a., -,
70. rs 500 (. the farmer would really be benefited by
the enactment Of this Law. In the Guy Oh ~
mortgages are placed on the best lmpro'eu .,y 10
a. ner cent Five per cent is the prevailing rae anu
whore over rate is obtained It L. upon eNeepuohay
good security at unusually wide margin III eIo ouS
skirts OF the city, and in the neighborhg V""'' |
cent is the. rate Now the securi'! " O'e9' . "a
casy and quick SALE Of continuous MARKET anu
ccnseoutly loans Of this character are more ATTRACTIVE
TO the loaner Of money than farm properly "ei
safe is difficult and slow Of SALE DO you suppoSo ~
tie farmer under these conditions would DC succesiu
cor,netitor for 3 per cent money! doubt IL uhuer
c, ,n,erost law he would able to obtain money as
cbeaply as he IS borrowing it to-day Tor WIN no ne"
order OF things money would flow from the SOe rather IMAM
to It, and as the supply diminished the rate wouo
The inevitable effect OF the passage OF uS Dill "ouiu o
In my opinion impose additional 6urdeh' upon 'e po0
whose condition 1t seeks to amenoratc'
We see by the last quarterly statements OF the banks
issued under date February 90 1891 that we had on
deposit at that the city Of New-York sl7OOOOOOo
which was reported 'due to banks" thhk We
have to-day sum equal II not greater than that ms
money-the larger part OF -beongs to the banks and
bankers OF States, and 1t is attracted TO
by the satisfactory rate Of interest we are able 70 pay io
IT, II this Cameron bill should become law the financial
strength OF New.York would be seriously weakened and
M ability to handle large enterprises would be dsastrousy
affected.
The Clearing House Association Banks Of the City
NJ NewYork represented here by It's executive committee
earnestly vigorously against the passage Of
this so-called Cameron BILL
Mr. schoonmaker especially attacked the bill to re-
duce the rate OF interest from per cent 10 per cent
He showed that in twenty four States the rate OF
per cent prevailed, per cent in ten States and Terri
tories per cent in four States 10 per cent In foui
States IL per cent in State and the rate OF !
per cent I'm only one STATE Louisiana, which ais
authorized an exaction by mutual agreement OF pc
cent Mr.. schoonmaker argued that necessary e.
feet of reduction OF the rate Of interest in this stae
must be to close many money institutions that row az
commodate the public and are of great convenience
and utility.
President Smith, Of the New-York Chamber Of Com.
merce thought that the Interest bill could be termed
a splendid scheme Of the State to drive out OF New
York all the money IN the State and send it 10 New
Jersey.
A. E. Orr, of Brooklyn, said that the banks Of
Brooklyn Endorsed every word said by Mr. Simmons;
and he added that the savings banks would be largely
injured.
ARENAS Holmes, representing the dry-goods and
other commercial interests In NewYork City, opposed
the Interest BILL because it would injtre every mer-
chant In the State. Large sums OF money
were needed i1 New York State to avoid crises, and
this bill would drive every cent Of floating capital
Henry r. Kneeland, Of the New-York Produce Elk
change, opposed the Interest bill.
F. J. Mcguire, chairman of the New-York State
Knights of Labor, favored the BILL He thought That
the very appearance Of all the bankers and none OF
the people argument for IL. ,
Senator Brown made brief speech, asking MI.
Mcguire why lie had not presented some reasons The
people OF the State had not asked for such law Farms
paying better interest than their value In dollars
| was paying in the banks. The gentleman who had
| spoken did not look like workingman.
There several other speakers, among them As
sembyman clifford, who is president OF the Farmers
| state Grange, and who favored the bill.
| The committee adjourned without acting upon tln
| bill.