The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1894-12-27
FIFTY-THlRD CONGRESS.
DISCUSSION OF CARLISLE'S BILL
IN THE HOUSE.
Mr.. Springer Opens the Ball in Favor of
The Bill--Nr. Walker Criticises
III, 1:l-ArEeXation of
Canada Discussed.
House.

when Speaker Crisp dropped the gave
the attendance in the public galleries wa
very light.
The committee on rules had prepared
special order under which the hous
should operate but had decided in viey
of Democratic opposition to the meas
ure not to offer it Mt present but ALLOW
Mr.. Springer to call up the bill by virtu
of its privilege.
Immediately after the call of commit
tees for report thereon the chairman o
the banking and currency cOmmitte,
moved that the house go into commit
tee of the whole for consideration of tn,
measure.
The motion prevailed without dissen
and Mr.. Richardson DEM then tool
the chair
Mr.. Walker Rcp., Mass, in charge OF
the opposition to the measure, gave 10
tice that at the proper time he would of
fer n substitute.
Mr. Springer, before entering his argu
ment, attempted to effect an arrangement
by unanimous consent for setting the limit
of debate. He asked that general debate
should be considered closed on Saturday
next when the holiday recess would be
taken. He said he felt convinced that no
member would discuss the measure in
other than II serious manner. The sub
ject was too grave. 1t could not be tril-
ed with. Mr.. Springer's request was re-
ferred.
Mr.. Simpson Pop, Kan.) promptly OBJ
jectcd.
The efforts to reach an agreement hav-
ing failed, Mr.. Springer took the floor and
delivered the opening speech in favor of
the currency bill. The great Importance
of the pending measure, he began, could
not be more effectively emphasized than
by referring to the report of the commit
tee which shows that last year there wer,
$S,000,000 deposited in national banks
having a capital stock aggregating $164,
100000. Their deposits amounted t
1920, 100000. Mr.. Springer declared
that the committee had given the sub
ject the most careful consideration. II
had carefully examined the recommen
dations of the president and the secretary
of the treasury had called before it some
of the ablest flnanciers in the country
and the result had been the presentat
ion of the pending measure. He did not
pretend that the bill represented the
views of individual members of the com
mittee. 1t was compromise. Mr..
Springer then proceeded to detail at
length the scheme of the bill, reviewing
much of the ground covered in his re-
port, which has already been printed.
Mr.. Sckles (Rcp, n. " interrupted
Mr.. Springer to ask him how he recon-
ciled the second and fifth sections of the
bill. The second provided that note hold
ers should have a fifth lien on the assets
of the bank issuing them; the fifth gave
the designation of the banks contributing
to the safety fund first Lien on the as
aSets.
Mr.. Springer replied that he proposed |
act gave the bill holders the first lien on
the assets, the banking designation a |
first lien on the remaining" assets.
But the word remaining is not in the
fifth section" said Mr.. Sicklcs.
"That will be the effect of the law"
remarked Mr.. Springer.
at is not law yet" rctortcd Mr.. Sick
les, you must vote it through first"
Mr.. Springer finally admitted that he
word remaining" should have been in
corporated in the fifth section, but said
this was one of the slight defects of the
bill that could be remedied.
SIN case of u panic, if half of the
banks in this proposed system" inquired
Mr.. Mahon Rep., PENN, "should fail,
would the other half be assessed to re-
deem the failed banks notesE
"Certainly."
"That is the solvent banks would be
bankrupted to aid the insolvent"
"There would be no such result" re-
piled Mr.. Springer. "If all the banks
should fail, under this system the note
holders would be secure"
In answer to an inquiry Mr.. Springer
admitted that time alone could determine
the amount of circulation which would be
taken under any law, but as far as the
amount of legal tenders was concerned,
for every dollar deposited in the treasury
the banks 81 circulating notes would be
issued.
While Mr. Springer was discussing the
provision looking TO redemption and re-
trement of legal tenders, emphasizing
the necessity for this by pointing out
that the treasury mad twice within Il
year been forced to issue bonds to protectl
their redemption, Mr.. Cannon, Rep., lid
asked whether il was not true that $780,
100000 borrowed to maintain resumption
had been in reality used to pay the cur
rent expenses of the government.
There is nothing in this bill on that
subject" responded Mr.. Springer.
Mr.. Springer gave notice that at the
proper time he would offer sundry amend
ments looking to the perfection of the |
bill; among them one permitting the de-
post of currency certificates issued under
the act of 1872, $54,000,000 of which are
outstanding.
Mr.. Dingley rep, Me) chded Mr..
Springer for inconsistency in not support
ing bill which contained provision Tor
the repeal of the 10 per cent tax on state |
banks, a measure which he had earnestly |
opposed less than six months ago.
Mr.. Springer insisted that he did not
oppose the repeal of the tax on state
banks rs separate measure, but then.
made Il part of the general system of |
financial reform, he considered it safe, |
although he was frank to say that he |
would prefer simply national bank cir
culation.
Mr.. Walker Rep.. Mass.), who was in
charge of the opposition to the measure,
then took the floor. He began with q
statement of the essence of the Balti- |
more plan. The beginning and the end
of that plan. he said, was to give the |
national banks power to withdraw their |
United States bonds from the treasury |
and issue circulating notes on their as
sets up to 80 per cent. 1t afforded not a |
shadow of relief and did not deserve a
moments consideration. The bill pre-
scented by the secretary of the treasury
was an amazing scheme. The bill did
not possess a feature that could be en-
acted, except after remodeling, without
endangering the financial interests of the
country. This undisguised scheme of the
secretary had been thrown into the house
without q single change. Mr.. Walker
spoke of his own bill and its superiority
over the Carlisle bill. He expressed his
hope that the bill would be passed IN