New-York tribune., 1900-01-13
CHICAGO VIEWS OF GAGE.
MANY BANKERS FAVOR HIS COURSE IN
DFPosrTING GOVERNMENT MONEY.
=. svN-TqAfF,NT IN HIS HOME CITY
AGAINST TT-oPINIoNs OF CHICAGO



chicago. Jan. L (speeiaD-opinion in Chi
-, -ersrding the course OF secretary Gage Is
s,.a,s uniform. When the question Of
= .ctiens first came up. public sentiment and
=. ,ieu-s Of the bankers were almost unani-
,zrs-sa 70 the Secretary OF the Treas
-, a few weeks consideration has given
- ,.,t-srs time and experience on which TO
-. ,bair views. and many OF them now
s-~rf -he course OF Mr. Gage. while public
.t;,,ent II anything. is more averse TO his
course than previously
I. wss 70 be expected that Mr Gage would
ID mare supporters in Chicago. his heme than
.rssvbere but such is BY no means true in this
+.7cs HIS position here prior to his ac-
oanting the portfolio IN President McKinley's
-sbinet was such as to make him the Nestor OF
financial circles. The First National Bank Of
which ne was president, is one OF the largest in
zff-u-fors IN the country. and Mr.. Cages per
sooal fitness and experience well as his
t,oEIedEe in finance. made him a local author
I-v On all questions pertaining TO financial af-
fsirs whether corporate, State or Federal
Therefore il might have seemed that unqualified
support Of any course he adopted in the Treas
,x Department would come from Chicago fnan-
cial circles.
Such however has not been the in the
,,-esent instance and on a previous occasion
First National Bank came Up. Chicago bankers
we're largely against the principle involved in
-,,,h : course though they exonerated Mr.
cage from any intent Of wrongdoing in retain
sng the stock While the Chicago bankers for
ne most part approve the plan OF distributing
-bA receipts OF the Government among the
bsaks of the country that qualify as such de-
posftories they disapprove the plan Of making
one institution the main artery OF such distribu-
tion although they offer no plan TO overcome
TIE legal obstacles otherwise involved
REMEDIES SUGGESTED
About the only means suggested OF overcom-
ing the difficulties Secretary Gage points out as
being responsible for his course in selecting the
National City Bank OF New-York is that in each
section or district where funds are being
deposited one principal bank should have the
distribution. and when the accumulation for
that particular district exceeds the bond deposits
q all the banks IN the district the surplus
funds should be sent into another district, this
process 70 be kept up till the really surplus Gov
eminent funds over bond deposits for the whole
country are sent 70 some Sub-Treasury. IN
some such manner as this il is felt by Chicago
bankers the evil OF having institution
handle ali the funds for the whole country could
be overcome. It is. in fact. some such plan as
this that the Treasury Department has now
adopted
The bankers. on the whole are not very will
ing 70 discuss the subject, and what they do say
they do not care 10 have attributed TO them
under present conditions Therefore, the broad
question Of whether It is a correct admins
tration Of public finances 10 lend the money
back 10 the people is little touched upon.
Whether the bankers have any personal views
OF the matter il is impossible 10 say. for none
have been found who would express any. They
apparently receive with satisfaction the plan Of
having the Government lend its surplus funds
70 the people through their banks so long as the
Government and every one else party TO the
transaction are secured as well as they are IN
der the present arrangements.
With the public and the newspapers. however
Mr.. Gage has little support or sympathy in his
selection Of the National City Bank Of New
York as a Government depository or in the
scheme Of lending out Government funds TO re-
Ieve what the people regard as a stock specu-
Iation condition. and one that has not arisen as
the natural result OF trade commerce. More
over, the condition is not widespread enough 10
make the people Of the West feel the shortage
OF money at all Apparently at every other
point except New-York and one or two other
Eastern centres. funds are 70 be had in plenty
for al the ordinary requirements Of trade.
Therefore natural sympathy was 10 be ex
the innovation necessary in the opinion Of Sec
retary Gage
WHAT THE NEWSPAPERS SAY.
There are some exceptions TO the public con-
6ennation OF the Secretary Of the Treasury.
and some individuals and newspapers support
his course. The Tinnes-HeraId'' Ind Rep),
for instance. said:
The offer Of Secretary Gage to turn over the
receipts 70 the repositories was general. though
Il was prompted by the signs Of an approaching
speculative panic in New-York. Any properly
oualihea bank could accept il II II so desired
But naturally the local conditions caused il 10
be taken up more quickly in New-York than
elsewhere because the stringency was greatest
mere. and the question is asked. Why bolster
up those Wall Street brokers'" The idea how
ever. was not 70 bolster up brokers. but 10 as
sure the business world that money was pIenti-
1ul. and 70 prevent q mad break IN the markets
which might affect injuriously many legitimate
commercial and Industrial enterprises Il was
the Indirect results that the Secretary had in
needed and the cure was effected with a mar
Wellous raPidity for which the country has every
reason 70 feel thankful
The Tribune" lRep) spoke as follows.
The Tribune" does not indulge in rash or
has1y criticism Of the Secretary's action nor
does Il mean IN any way 10 impugn his good
th 1slth when il expresses the opinion that both
the proprtety and The expediency Of his order
Wl4 De 50 sharply challenged throughout the
country that i VIII be found necessary 10 undo
promptly what has been done foolishly lest
me enemies OF the Administration may have
that issue which they have been industriouslv
seeking Tor II viii be difficult TO convince the
p1Dilc that II IS necessary 70 aggregate in any
oEie sals Tor purposes CT distribution. the daily
Try. - '--'S 74' '0u'i-
The Inter Ocean" tRepl saws:
The are f-,-o--a