The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1897-08-19
MyrOn T. Herrick of Cleveland
Takes Strong Ground
Against Them in a Paper Read
at the Detroit Meeting.
CORNELL'S WARNING.
He Tells Bankers to Not Be
Deceived by Prosperity.
AnnihiIatien Would Follow
Another 1896, He Says.

Detroit, Aug. 19.-At today's session
of the American Bankers association
Mr.. Myron T. Herrick of Cleveland
read a paper entitled Savings Banks
and in it said this:
1T may be said with respect to its
saving bank deposits that the United
States stands alone. European coun-
tries when contrasted with it, make
very Indifferent showing. 1t seems to
me that an argument for government
assumption of the guardianship of the
peoples money must be based on the
promise that the government could en-
ploy the money in carrying perma-
nent debt, as does Great Britain and
other countries, but the debt of our
country is not permanent in its nature
and in prosperous times it has been
rapidly iCuidated- l am confident,
therefore, that in the future, as in the
past, the people will view with mis-
giving any movement in that direction
Besides, this scheme is not consistent
with the spirit of our form of govern
ment. With nations abroad. the ten
dency and policy is to make the peo-
pie subServient to the governmental Our
theory looks to making the government
subservient to the people. The spirit
of individual independence runs
through our whole governmental sys-
TEN and should be fostered rather than
discouraged.
have passed since the memorable year
of 1898 have so little affected the con-
ditiOn of the savings bank deposits, and
have failed to lessen the confidence of
our people in the worth and stability
Of these institutions, the future seems
indeed bright with promise for their
greater usefulness in the wise control
of the savings of the people"
Mr. Harvey J. HOLSTER of Grand
Rapids, Mich. spoke of Organized
Capital; Its Privileges and Its Duties
He said in part:
rs the business that we follow to be
classed among those that oppress-that
make the life of the average citizen a
burden? We are the representatives of
capital, organized in the most far
reaching sense. From the standpoint
of legal privilege, the public has moth
ing to complain of with regard to our
incorporated banks. I should say that
the legal privileges conferred upon the
banks of this country were sufficient.
I know that we are often importuning
for relief of some kind, but under pru-
dent management have we much to
complain about? Are not our ills those
of own making? Do we not war
overnuch, one against the other? Is
not here our weakness? In the siren
uOus competition for business. do we
not overstep the bounds of safe bank
ing? VINO of US can claim exemption?
He that is without FAULT let him stand
up.
1T is our duty to educate the people
as to the real relations we bear to their
material welfare, in what way or ways
we are a means of promoting general
prosperity. No such bitter feeling
could have been entertained as existed
during the political campaign of 1896
had the true relations of the banks to
the well-being of the people been
known.
las administrators of capital, we owe
it to ourselves to so conduct our bust
ness as to command the respect of our
fellow citizens Without their respect
We cannot hope to enjoy their conf
dence, and without their confidence we
need have no expecta ton of success
" nv TT-f1 ar Of N01r
Ga, discussed the question whether
national banks of less than $50. 600 cap
ital would be benefit to the country.
He answered it affirmatively.
Things financial are sadly out of
joint" he said IF Slight amendments
to existing laws will help to right the
wrong, in heavens name let US urge
them If We are to continue the IN
scientific basis of bonds for note issues.
let the banks issue par on the bonds. If
the people actually need banks, let
them demand a reduction of the tax on
the note issuing feature, and allow a
healthy expansion from the 1925, 155. 1855
outstanding July 81, while with only
1874 of the banks in 1872 there was of ma
tionaI bank notes 1886, 600 900. Then
with S25, 600 as minimum of capital
there would be inducement enough to
plant netiOnal bank wherever one
was needed. and outside capital would
greatly aid in this work In fairness,
in business and in wisdom, let our law
givers settle this currency question and
road to riches
VIM. c. Cornell of Buffalo spoke in
favor of the establishment of branch
banks, saying that the system reached
the highest perfection in three import
ant particularS-stabi lity, economy and
usefulness There was only one for
midable obstacle, the political one. He
concluded thus:
My fellow Iaborers. business men of
| the United States, be not deceived by
| prosperity, as you were in 1879. but in
sist that the cancer be cut out by legis-
| lation, that sound currency laws be en-
acted, commercial freedom eSta bliShed
and no chance left open for another 49,
| or worse still, for the humiliation which
| would follow another So"