New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-01-29
VIEWS or CONTROLLER ECKELS.
HE TALKS on BANKING AND CURRENCY
PROBLEMS TO THE HOUSE COMMITTEE.

PROBLEMS TO THE HOUSE COMMITTEE.
Washington Jan. 2s.-Controler Eckes to-day
addressed the House Committee Banking and
Currency on tine bills referred him. Ii was adj
mitted everywhere. he said that something was
wrong In the financial condition OF the country,
which should be remedled. The general public at
tributed II the lack OF financial legislation
than it should A great deal Of the present de-
preston had been brought about by overtrading.
unwise credit and unusual extravagance pubic
and private Affairs had been brought TO a head
by lack OF or bad financial legislation There should
be such legislation would clear up the currency
difficulty and give banking law when would
furnish proper banking facilities Tor the whoi"
country. More importance was attached 'especidHy
in Congress) to the volume OF the currency imam 10
other matters more essential. The National credit
should be put in such condition thin II woud ho'
be a matter OF discussion anywhere. The solution
OF the questions OF money and standards wohld
come through proper banking bill.
The greatest trouble the Treasury hah 10 YEA.
with hes asserted. the current redemption u
the demand obligations The cancellation OF these
Il was agreed by all. was desirable nut by "na'
method there was "A great difference OF OPINION
The great drain on the gold reserve was caus'" ny
fear on the part OF the public that the Govern
mani could not meet it's demand obligations Inc
outcome of the late election. he said mad gone Id,
toward stopping the presentation OF these ue'"'"
obligations for redempti IN. Unless they WERE ~
deemed and cancelled it was in the power Oh uie
holders TO drain the Treasury ar any Vim" in uav
legal tenders could he gradually retired III W.
which would contract circulation II ,le p par
OF Secretary Mccuoeh NJ Erred the late
trouble would never have occurred ne " h 80
nj. and no bank would contract it, circulation II
bv so doing II would disturb or derans' ni -
matters on the other hand th' p'""' "'''' Wv
all in their power to avoid panics. ,. ,t,iao,ior
Mr. cox a,ad II there wa any serious o"J ',o'
them bonds were no" uSeu anu III ' w.
keep Them away from The Treasury ,-, -,
Mr. Eckel- replied that TINS wouId S'nlp'y tn -,
nrison them for lie instead Of direct execution
bonds were l-sued for definite period OF time
'ef fn reniv .o a question by M Johnson he said
that in his opinion banking against bonded se9"r,,
something besides its demands. TIE demand TOT
gold began shortly after the passage OF ne SIR
heforc i;s final passage by foreign financial papers
and one German writer had predicted exdctI} VIA.
made with the syndicate the Treasury had only
$4,000 in gold coin It was no wonder r,g Peopio
place itself in 4 position TO be AZ the mercy OF out
side persons 1t should be on ne same footing -
currency they should determine how micn they
wouid Keep out nn.y W. srr yb no 3s
A hard and fast line "a 70 the ISSUES the banks
should make would defeat rs own purpose-rsupP ply,
step was 10 retire tho legal tenders ana give TO
ba rks the right issue nd place on them the
duty OF redeeming their issues in gold. lie would
have the Government do only what could not be
properly done by private persons and corpora
Mr. McClea-y asked why banks could better main
tain gold payments than the Government.
Mr. Eckels replied that the banks had the ma
chnery and the Government had not.
Mr. Newlands asked II Mr. Eckels proposed 10
axe bank currency legal tender.
Mr. Eckels replied that he did not. Their circu-
lating notes would simply be promises 10 pay
The committee adjourned until Monday. when
Mr. Eckes will be further examined. At A brief
executive session after the hearing a resolution
adopted requesting Secretary Carlisle to appear
and give 10 the committee the benefit Of his views
on banking and currency matters.