Barton County democrat. [volume] (Great Bend, Kan.) 1885-1915, 1897-12-23

formulate plan of currency and bank
| reform that will be satisfactory to the
business and commercial interests of
| the country, While he has been CIV
ing particular attention to this subject
of late, Prof. Laughlin recognizes that
business men are not the only members
of the community in need of better
banking facilities. He appreciates the
need that persons OF small means have
for safe places of deposit.
When asked for an expression of
opinion on postal savings banks Prof.
Laughlin said he was greatly in favor
of whatever tended to encourage saw
ing and habits of thrift. He spoke in
praise of the savings banks of Mas
sachusetts, and said the system in use
there and in few other states was
very satisfactory. But many states he
believes to be sadly deficient in savings
facilities for the small depositor. The
very fact that in some states the saw
ings institutions are all trustworthy,
while in others many of them are not,
is, in Prof. Laughlin's opinion, a
source of confusion to dePositors that
is likely to cause them loss. A work
ingman moved from a state like Mas
sachusetts to another state in which
savings banks are not so good is likely,
as the result of confidence already es-
tablished in savings banks in general,
to be caught in the downfall of unreli-
Fable concerns that promise better than
do the we'll established banks.
Prof Laughlin would have the post
| Offices made use of for the purpose of
collecting the small deposits But the
| work of caring for and investing the
funds he would leave entirely to a com.
mission of high-grade men, to be ap-
pointed by the president. This com.
mission would be to the postal bank
| what the board of trustees is to saw
ings institution organized under the
| laws of Massachusetts. 1t should be
simply the agent of the deposItors in
| handling the funds, and could with pro.
| prIety invest them in other than govern
ment securities, the same as do the
| trustees of mutual savings banks, or as
| do the managers of life insurance CON-
panies. The rate of interest to depos.
itors would not be fixed, but would be
whatever the profits from investments
made possible. The payment of
neither principal nor interest, under
this plan, would be guaranteed by the
government.
Prof. Laughlin thinks no president
would dare appoint other than high
grade men upon such commission,
and that the public scrutiny would be
so close that it would be very difficult,
indeed, for a commission to go wrong
in its management of the funds, when
the loss would fall upon the poor de.
positors of the country. The unpopu-
larity of mismanagement would be so
great as to ruin in the public estimation
the administration responsible for care
less use of the funds. In this connec
| ton Prot. Laughliu made the com.
ment that the administration of the
affairs of the treasury department,
with possibly single exception. has
always been in good hands, and at no
time has it been tainted with dishon-
esty.
The postal bank plan as outlined by
Prof Laughlin would be the Massa.
chusetts savings bank on a larger
scale, with the postoffices of the country
serving as branches for the collection
of the small deposits. The essential
difference between the two, aside from
the tremendous difference in scope and
magnitude, is that the postal bank
would be managed by a commission
created by the federal government and
named by the president. while a Mas.
sachusetts savings bank is managed by
a self f-perpetuating body of trustees
who voluntarily associate themselves
| together under the laws of the state
for the purpose of carrying on this
benevolent work of caring for savings.
The government savings-bank system
of Belgium IS managed by board of
twenty four commissioners appointed
! by the king. The only essential dif