The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1897-12-08
BIRMINGHAM BANKERS
TALK ON CONGRESS

Congress is in session. The presidents
message has been made public, and the
people are wondering what congress will
do
The bankers are interested in the Iegis-
lation that may be enacted. "A majority
of the Birmin CHAM bankers agree in the
opinion that the present SESSION will
amount to httle more than nothing as
far as results are concerned.
The question of what legislation CON-
gress should adopt thar would be most
beneficial to th= south, when put to them,
elected various replies.
C. F. Enslen, president of the Jefferson
County Savings bank, said: My idea of
the principal currency reform needed ia
ito let the national banks issue currency
to the full extent of their bonds, with the
privilege of issuing additional currency
to the extent of % per cent of the olig
inal issue, by paying a tax on this issue.
This would allow proper expansion,
but with safe restrictions. Then when
There was but small demand for money,
this extra issuance could be retired. I
do not believe amy plan could be devised
by which state banks could be made a
success. Money of a foreign state would
always be al discount, causing erBdl.ss
annoyance. We would be in the same po-
sition that we were in before the war.
In the part of Alabama where 1 lived
Georgia money was at a % per cent. dis
count. and M sSissdppi money we would
not take at all. The money of all the
southern states was ait a discount in
New York. wIh=re so many of the south's
financial transactions had to take place.
I think the government ought to retire
Its papen currency. Under the present
system the papsr has to be redeemed in
gold, the paper money issued <lgaifn and
again redeemed in gold, and IN order to
do this the government is compellsd to
issue a large number of bonds"
J. H. Barr, cashier of the Berney Ma
tional bank, said: ct favor the adoption
of Mr.. Cages plan as being one wsH
fitted to our necessities and will in
short time give adequate relief to the
south. am not in favor of state banks,
as ;Iher. would naturally be no uniform
ity In the laws Each state would have
different sta tutes governing the issuance
of the notes, and the holders would not
be able to determine what security they
had"
Sig Steiner, pres,dsrt 'cif Steiner Bros.
bank said "It is to be regretted that
congress has met at this present time,
for nothing good can be expected from
that body, and especially from the senate.
My experience has been that agitations
by congress afway bring about d=pres-
sion i'm business and a contractor of the
volume of money I'm and to the centers
from which this section, which is a large
borrowing section, has to hire its money.
Financiers and business men are afraid
of the American "jingo,' and 1T is a mis-
fortune that our lawmakers in Washing
ton, and especially In the senate, are
largely made up of this class of mater
ial. Congress should, however, readjuslt
the financial system of the United States
upon a conservative and sound business
basis, and by that means take the ques-
ton entirely out of politics. Congr SIS
should adopt a measure something on
the plan as suggested by Secretary Gage;
they should Withdraw and retire ths' gov
eminent notes, greenIbacl1sI by an issue
of low interest bearing bonds, and to
prevent by that r:6lrement contraction
of the currency they should permit the
national banks ITO issue circulation up to
the full amount of their bonds deposited;
and, in fact, should, by liberal laws and
measures, and by removing restrictions
and taxes encourage the banks to issue
and increase their circulation, and en-
courage the establishment OF smaller
banks in The rural districts and small
communities, either, as in England, as
branches of larger banks in the cities, or
as independent small national banks, and
by that means discourage the idea of
state bank issues. AS to the silver agi-
tation. this question has been adjudicated
and decided, as far as the United States
Is concerned, by the people at the last
election; and by Europe in the treatment
| accorded Mr.. Wolcott and his associates.
Congress will donoLhing.''
POINTED PARAGRAPHS.