Evening star. [volume] (Washington, D.C.) 1854-1972, 1893-09-09
The Senate and House Both in
Session.
Mr.. PETER SPEAKS ON HIS RESOLUTION
His Ideas as to the Causes of the
Stringency.
A BRIEF HOUSE SESSION.
THE SENATE.

There was a very slim attendance when
the Senate met this morning. about twelve
Senators on each side of the chamber Mr..
Voorhees, QndD was in his seat, however,
and carrying on a conversation with Mr..
Faulkner CIV. Va)
Mr. Hale (Me) was also in his seat as
II to disprove the statements made yes
terday In relation to his frequent absences
from the chamber.
The resolution offered yesterday by Mr.
PETER Rans.l In relation to national banks
of New York, Boston and Philadelphia,
their reserves. their refusal to pay checks
In currency &C.. was laid before the Senate.
An inquiry was made by Mr.. Mcpherson
On. j. as to how the resolution had been
taken from the calendar--he assuming that
1t was the resolution offered by Mr.. PETER
on the same subject a week ago. Having
been set right on that point he moved to
refer the resolution to the committee on
finance. He was informed, however, by
the Vice President. that the Senator from
Kansas had the floor.
Mr.. PETERS, Remarks.
Mr.. PETER then proceeded to explain and
advocate his resolution. which he said he
had offered, not out Of hostility to the
banks. but in the public interest
He expected to show that the national
banks OF the country were the pets Of the
government, and had been over since their
institution in 1873. He desired the informa-
sAoh HiS AcSOlutlOn called IOr so tnat
II there was to be any Improvement, a
modihcation Of the system. II could be had
with full knowledge Of the facts He as
serted that the national banks of those
to accept. under the most distressing cir
cumstances. securities In the place Of law
1ul currency and the business of the " hole
country had thus been placed at their
mercy. 1t was time. high time. that the
people should understand all about that
matter.
II was the business Of the controller of
the currency to know every month, every
week and every day the condition Of every
national bank, and If any of their reserves
fell below the legal limit and its reserve
was not made good after due notice It was
his duty to close up that bank and appoint
a receiver to wind up its affairs He ac-
cused the national banks Of the country
with having withdrawn from circulation
in the six years between 1884 and 1890 $751;
e00,0O OF currency-wrongfuily and without
any reasonable excuse, either in morals or
in law-nothing except what was some
times called organized avarice, and he said
that during that period new banks were
being established. so that IL all the banks
had issued the notes which they were eu-
thorized to issue the aggregate amount Of
circulation would have been nearly $780,
100000. He did not know how to character
lie a proceeding Of that kind with sufficient
force to show Its enormity. He could only
refer to what had taken place in the de-
probation of property as one Of the results
Of that nefarious proceeding on the part
of the national banks. The small national
banks throughout the country were not re-
sponsible for the evils that he complained
Of any more than the small railroads were
responsible for the railroad management
of the country.
At the close. of Mr. Peffer's remarks Mr.
Mcpherson dem. N. J.) moved to refer the
resolution to the finance committee.
Mr. George dem. Miss.) said that the
finance committee had not yet reported on
"a harafnfnra on hxy hn
Senator from Kansas on the same subject.
and the Senate had no information that 1t
would report 1t. II the Senate and the
country had to wait until the finance COM
mittee had time to report the information
would be unduly delayed. He therefore op-
posed the motion.
Mr.. Mcpherson, who Is a member Of the
finance committee, said that that commit
tee would proceed to investigate the matter
as fast as 1t could; and he was sure that the
chairman Of the committee would report
promptly. He did not undertake to say that
the national banks of those three cities, and
elsewhere, had not at some particular period
of time allowed their reserves to fall
below the lawful limit. But ne did believe
that the v had done everything in their pow
er to grant accommodation to their deposit
tors and to the business interests Of the
country, and had done it in q perfectly safe
and legal manner
MIR. TeIler's Question.
Mr.. Teller (Col.)-Does the Senator under
stand that these banks have now the neces-
sary reserve under the statute?
Mr.. McPherson-I think they have II
they have not, l want to say that at this
particular time-believing as l do and the
whole country does in the soundness Of the
banks of these three great cities. which
came to the aid of the banks Of the country
when aid was needed do not think that
the Senator from Colorado or any other
Senator should undertake by resolution to
produce more CONSERVATION than exists
today.
Mr. Teller-I have no such idea.
Mr. McPhersOn-In a time Of great inter-
national peril / think that every Senator
and every member of the body polite ought
to do everything in his power to aid in the
passing Of these difficulties.