Macon beacon. [volume] (Macon, Miss.) 1859-1995, 1894-12-22
MINORITY REPORT

From the Ranking and Currency Commit
tee Repudiating the Carlisle Bill and
Declaring that, II Enacted Into Law, II
VIII, within Twenty Days, Precipltate q
Panic Far More Severe than That Of
1898.
WASHINGTON, Dec. 1.-THE report Of
the republican members OF the bank
ing and currency committee on the
Carlisle banking bill, begins with the
statement that the signers "most
heartily and enthusiastically join with
the democratic majority of the, CON-
mittee in repudiating the measure"
The report states that the whole ac-
tion of the party majority of the com
mittee was most extraordinary. and
not approved by its voting majority.
The bill was only read in committee in
part, on one occasion, ALL an oppor-
tunity to consider or amend it was re-
fused both to the democratic and re-
publican members. The report con-
tinues that it is the opinion of num-
ber of most clear-headed and eminent
financiers in the country that if the
Carlisle bill is enacted into law, it
will. within twenty days, precipitate a
panic far more severe than that of
1893, as it would compel the forced
sale upon the market of nearly $780,
100000 worth of United States bonds
within six months.
This haste to report the bill is all
the more inexplicable," the report
adds, when it is remembered that
Secretary Carlisle testified that this
bill, which he had drafted himself for
the relief of the treasury, would not
in any event relieve it for five years,
and might not for twenty years"
The report calls attention to GER
tain sections of the bill and sharply
critlcises them. The shortcomings in
the Carlisle bill, from the minority
standpoint, are accounted for by the
probable haste with which the bill was
drawn, inasmuch as Secretary Carlisle
informed the committee that he had
dictated it hastily to his stenographer,
when it is the opinion of many that
there is not man in the country who
can draw any bill to accomplish what
the secretary has attempted without
spending nearer month than week
in studying the far-reaching effects OF
its provisions, in order to make it safe
to enter upon legislation of such mag
nitudc."
Whatever legislation is had with
reference to the finances of the coun-
try or banking, in its effects upon ma
tional banks, should be permissive and
not mandatory as to national banks
while their present charters continue.
To provide, as in section Z, that every
national banking association hereafter
organized and having bonds on deposit
to secure circulation shall, on or be-
fore the 1st day of July, 1895,
withdraw such bonds and deposit with
the treasurer of the United States a
guaranty fund consisting of United
States legal tender notes, including
treasury notes. cannot be justified
upon any principle of safe legislation.
As has been before stated, it could not
fail to produce a panic and the rrcll-
lessness of such legislation would star.
tie not only fnanciers in this country
but Of the world"
In the opinion of the minority, the
provisions Of exemptions as to state
banks would drive every existing ma
tional bank that desires to take Out
circulating notes into the state bank
system If the bill were enacted. The
taxation of national banks woult
amount 10 S5,oo0,oO0 annually under
the present bill, which there is no rea
son to believe would be imposed upor
them under the state system.
Furthermore, the states, even The
most conservative among them, woult
be far more liberal than the United
States as regards bonds. or any Other
security or redemption funds, for they
may require the deposit Of no bonds
whatever"
The minority cannot believe it wa,
the intention of the trainers of tn,
Carlisle bill to discriminate in favor o
state banks or to force the nationa
banks to operate under state charters
Yet such, in their opinion. would b,
the inevitable effect if the bill became
a law in its present form.
The report directs attention to til,
fact that all of the witnesses who ap
peared before the committee obiecte,
seriously to the bill, and those VIII,
did not, repudiated many of its sec
tions upon cross-eXamination. 9Th,
gentlemen who appeared were th
report says, eminent as tinanciers an,
as unpreiudiced as any men are liliel,
to be: yet there are scores of othe
fnanciers in the country equally emi
nent, who would gladly have appeare,
and spoken in tones that would hav
given pause to any such legislation.
, The chairman, Mr.. Springer pre-
sented a letter to the committee, rea
/ it, and proposed to put ii in the record
approving the Carlisle bill, from
western banker. and when asked if h
. had other letters from bankers con
cerning the bill, he replied YES
many, fifty and when asked If the
all approved of the bill, his reply wa
No. only this one. ~
: The passage of the Carlisle bill ma
meet some political cxigency of whic
! we do not know, but we do know tina
its passage will aggravate rather tina
relieve the perplexities of the financi,
I; situation and especially that of tn
: United States treasury.
We recommend that considerable
!, be indefinitely postponed.
The report is signed by j. II. Wake
!, Mississippi; NJ. Brosius. Pennsylvania
Thomas j. Henderson, Illinois,; Charl,
A. Russell, Connecticut; Niles
Haughen, Wisconsin, and Henry |
johnson, Indiana.