New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-10-12


verted into National banks by conforming 10 'he
requirements of the National Bank act IN any
state OF the Union. and. per contra. any Nauohai
bank may change to the state system IL Is OF "o
consequence from what authority bank recei Eve
its charter 1t is Of first importance uidei iass
bylaws and statute laws ii conducts us Dus,es
can be no objection to a State bank receiving cir
cuaton, browning that as cotutloiti ~ t,, H.
they made to submit to EXAMINATIONS 10y we
required annually by him OF National pa'ks, hecp
stockholders submit to all supervisory resuatohS
and conform to all requirements 80 as TO place
the circulation issued to State banks eXactly Oh
par with respect to safeguards and security WIN
circulation issued National banks. II were bet
say you: think but can see no op!ectt.o,i, ="
their receiving circulation providing ma i ,h
safeguards OF National currency The duai SUPP
nc , 'o OF good resuts The value Of currency
depends upon the area or extent OF coi,,rt
territory in which it will be accepted tn satisiac-
ton OF debt Confine its power To single stare
ana you depreciate its value. The danger mat a
single state may exploit unsafe currency VIII con- ,
rol the scrutiny Of all will police our country with
money changers. and handicap indl'lduals an"
commerce with a wholly unnecessary ehDaii ass ass
rlcnt. II is not enough that TN be good WITHIN
tn" state and sure OF rchelnpu2Tnh; tsiness of
banking consists OF swapping well known creii.
for css-known credit II the "eii-Nho"H Tte 'ir
pose and within business circles. II the "il-kno"n
credit be- in form and semblance OF n nonr aT d
money throughout IA" United states.
X,i,j,nai c,rrencv' under National control. Neither
reason nor experience nor convenience nor puo.i'
let MS examine the application OF this proposed law
There were s3i6Sl.0lS of gr'enhacks ana A2iW,'-'s
National bank notes IN circulation and in the Treas,
ury on october !; total. So'.'s ~! me Natl2ht,'
Hence under the proposed law. allowing circulation
equal 80 per cent Of capital. lhe banks Cohiu d.i
fh.v by conversion u the National system or otn"r-
WIS.,. tax. oui circnhi.n II M1ni nnI nj and
nens ,tsui , ' H. H. bank II issue whenever re
."r,r,.i'u NAV b. prevented by increasing the
percentage OF bank note circulation All experience
AMI 40. statistics prov" currency ISSUE tlutl ~
mr. - urinr.lrel capital is absolutely safe by
mean. OF an eXtcnsll- correspondence with every
rons lcrab!r place Ia the country, obtained stats
lis which ils.,fy the estimate that during the
CURRENCY famine u 1879 there were issued clearing
house certificates To- be used in sttting balances:
heok Ks in round amounts intended to pass As money
,luc bills from manufacturers ana Other employ
OF labor. ana also clearinghouse Geri.heaies IN
roInI numbers On Instances "a small As = ceniD
all designed T. perform The function OF none I,
credit and circulated a. money upon the re or
he party issuing the same. In other words. the
partially supplied The Government was po"eress
~ tb. wants of the trade A. the PyramlI OF Cheops
Some banks borrowed United states bonds rom say
cuia,ion Rut no banks could buy bonds and take
ont circulation without aggravating instead o. re-
THE LEGISLATION NEEDED.
We want legislation tha' will enable the banks 10
H., under proper restrictions AMI wholesome safe
guards. what private nrns and manufacturing cor
porations III 10 without restriction except the pos
4hlc LIABILITY 70 the 10 per tax The issuing OF
currency is banking prer ,gAtve am the Interests
Of the public demand legislation mat VIII ehtn'
the banks 70 AFFORD such relief when necessary
This reasoning brings MS To the conclusion that our
which are the substance u the plan proposed 10y
tn bankers Of Baltimore ......
First-A currency 10 'erve public ana private
meets must Doe Nat'onal
second \ perfectly safe currency be provided
without stock or bonds security.
Third ~ currency can be elastic tha; is secured
hy bonds slice the cost ~ The bonds exceeds the
amount u currency that can issue .,.,.. o, ,,,,
Fourth The cxpericnce % ne Dominion OF an
ing system during period Z tnriy-one years In his
country show r1nciusiVely mat the ms zen upon
hllfv together with moderate safety fund. affords
ample protection 20 hllholi'rs
Mr. rIcphurn's address was listened 70 with the
uses, attention and frequently applaudeI The
delegates. were seemingly Avnrably inclined l.
OBJ. speakers view q the currency problem.
y ! Lowry. president Z ;he Lowry Banking
Company - Atlanta Ga. delivered an address
on th- subjects - currency AM state banks.
THE PLAN DISCUSSED AND ADOPTED
q. l.. Christian, president Of the Virginia
National Bank II Richmond read paper on
the subject ~ the proposed amendments
t''''
that bankers had at last taken up the subject Of
finance iu earnest, The masses Of the people
ala not understand the financial system. and
were no moro capable 4 taking charge II the
fiscal arrangements II the country than land
lubber is ~ directing the management IL an
ocean n, yhlund ia storm at sea. The I'M
disciplined publ. wanted one thing to-day and
demanded another tomorrow lie had every
confidence that II tho bankers Il the country
would try they could have The law amended
So As to make II as near perfect possible.
J g Hendrix 81 Ncw-York struck a popular
chord when n" said that bankers have been
mallgned ard traduccd long enough. H. for one
intended hereafter 10 strike back at his ira
ducers. H." favored the Baltimore plan" as It
had been called and said that II was An excel
lent starting point from which beneficial action
and legislation might be- expected
The Baltimore plan VAS further discussed by
several Delegates They got into a wrangle over
a constitutional phase II the subject. hut the
proposed amendments wcrr finally adopted an
tho following committee II nine was appointed
10 present them to Congress: G. G. Homer. Ralt |
more: \ T. Hepburn. New York: Charles Par
sons. ST Louis: Skipwith wilmer Baltimore: G.
l.. Christian. Richmond; j g. Hendrix. New
York. Horace White, New-York; r. J. Lowry
Atlanta. and W r Baker. Of Chicago.
Tho Nominating Committee presented its re- |
pori with Douglas H. Thomas president Of the |
Merchants National Bank Of Baltimore. rs It's |
choice FOR president Of the association. John C. |
Ncalv. II Chicago. was named for first vice |
president. T.. ~ Illl"n. ~ New plk l'l 'IdII-
man Of the Executive Council. and Henry w. |
Ford Of New York. secretary.
Immediately there was a scene OF confusion. |
and delegates were on their feet In every di- |
rector II was declared that by all rule and |
prro cdcnt J J = Odcll first vice prcsident Of the
Iankcrs' Association. was entitled t. IN" presi- |
doncv. An amendment was finally adopted g!v- |
ing the presidency for tn" ensuing year t. Mr.. |
OdcU who Is president Of the Union National |
Bank OF Chicago Mr.. Thomas was selected
first vice prreidrnt The other rccommenda- |
- to- /
TO- including the following members Of the i1xe"-
utINc Council for three years: Myron r. Her |
rick Cleveland. Herman .Iusti. Nash Vile: !
Thomas 4. Healc. Boston: Henry w Yates. |
Omaha: n W. Wheeler. Seattle: j Edward !
Ncw-York; w G Cornwell Buffalo. |
The convention then adjourned.
At Mccoy Hall tonight the delegates TO the
with their wives and daughters were
entertained BY the Baltimore CLEARING House