The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1897-08-18
PINGREE'S TALK
Welcome to the National Bankers
Association Now in Ses-
sion at Detroit.
Ollum Attaching to Corpora
tions in General and How
to Remove 1t.
National Bank Organization a
Model--Responsibility Of
Stockholders.

/ DETROIT, Aug. 1S.-Every seat in tho
Netroit Opera House was occupied
Ahen, at little after 10 o'clock, Presi-
dent Robert j. Lowry called to order
the 23d annual convention of the
American Bankers association. The
presence of many ladies testified to the
great interest taken by Detroit in the
proceedings of the convention, and the
elaborate decoration Of the opera house
gave further evidence of Detroit's hos
pitality. Mayor Maybury welcomed
the delegates to Detroit i'll an address
more than usually happy and felicitous.
Governor Pinyree was late in arriving,
but when he came forward he was re-
ceived with generous round of ap.
plause. He welcomed the delegates in
a short speech. He pointed out the de,
STABILITY of greater supply OF final re.
demption money, and suggested tax
OH gold used III the arts as a means of
promoting it's coinage as money. Turn.
ing his attention to banking, the gov.
ernor said:
4 Model for Corporations.
''The liability Of the stockholders to
the amount of their stock, in addition
ITO the amount invested and the strin-
2 gent holding Of directors to watchful.
ness and duty makes national bank
perhaps the best model of corporation
that has thus far been worked out.
One great cause of complaint against
many of our private corporations is that
the laws tempt the people to organize
them for the very purpose OF escaping
responsibility for the debts that are to
be contracted. Many Of these debts are,
in conscience, individual obligations.
They ought to be the same i'll law. A
corporation is organized ostensibly SO
that men who would otherwise be in
partnership, can continue business
without it becoming entangled with the
estate OF a deceased partner. But if the
business becomes failure, except as to
certain debts, the stockholders are not
generally liable to the creditors. Laws
of this kind sap the individual character
of our age. They
Lower the Standard Of Honesty
until people are taught to think that in
a collective capacity, as stockholders in
corporation, they may be less honest
than as individuals, and arc relieved Of
individual responsibility to those with
,.nom they deal. Now, if the principle
OF reliability on the part of stockholders
and directors of national banks were to
extend to other corporations, the stock
holders would stake their individual
regulations as we'll as their money on
the result of the business. Large busi.
ness interests would be in the hands of
men who intended to pay, and they
n would be released from illegitimate
competition of those who by intention OF
recklessness go into corporate business
by which creditors must lose. Progress
will doubtless develop other means fol
making corporations honest.
Would he Relieved Of Odiuln.
'.But I believe we ought not to stoI
until the responsibility to be honest
resting upon corporations which exists
by virtue OF franchises granted by thu
nublic is as great as that which rests
upon first-c]ass, honest business man
If something in the nature Of response
bility imposed by the national banking
law upon banks could be applied to al
priyate corporations, I believe tina
much of the odium which now attache
to corporations in general would be re
moved. AS regards the taxing of bank
inc capital: AS long as we apply tn
principle that all property, in whateve
shape it may be-, whether real or per
sonal. shall be equally taxed, propert!
in the shape Of money should certainl!
hear its just proportion of the publi'
burden. and hence banking capital