The times. [volume] (Richmond, Va.) 1890-1903, 1900-03-27
4 SENSIBLE BANKER. i

we take the following. from The Manu-
facturers' Record:
..The act of Congress allowing the es-.
adjustment OF national banks with a
minimum capital of $4,000 Is receiving
earnest consideration. in financial circles,
and already several State. banks are re-
ported as about TO secure the charter
under the new law, while it Is under
stood that several national banks in Va
rious Southern cities will increase theli
capital
The paper contains thss interview with
Mr.. John L. Williams, of this city:
.-As far as can learn. the national
banks are disposed TO make the exchange
OF their government bonds into the new
two per cents and avail themselves os
theIr premiums for active business pur-
poses. exceedingly doubt whether lhere
will be any considerable number OF small
banks that will care TO avail themselves
Of the national-bank feature. see noth-
ing In the act to invite capitalists into
business on that scale: The South wants
local currency. A national bank is not
maker of currency or secretor OF tne
lubricant of commerce. 1t does not ado
a dollar to the money of Its neiGhoor-
hood. National banks were In their origin
conceived and formed to force the peo-
pie to lend their money to the govern.
ment. They were not 4 growth or a
necessity Of peace and commerce and
legitimate trade. They are suggestive OF
the financiering of Joseph in Egypt. They
have resulted in government control OF
banking and currency, and have been
source of corruption and financial demor-
alizadon. In the last ten years conGes-s
lions. panics and paralysis have become
familiar through the evil Of their ex-
istcncc.
1.-The utilization and mobilization Of
wealth, character and credit are the great
business Of banks Banks of issue can
alone give US commercial freedom and
health National banks served a special
purpose in an emergency. Their whole
nature is force and restriction. The sys-
tenn cannot be reformed and modified on
its false and despotic principle. 1t must
be reformed altogether. All efforts to
retain the national-bank system in our
present condition will prove to be only
patchwork and auackery. AS long as 1t
continues the cry for free silver and
greenbacks or some other specific will
continue. Our great country wants free
dom in all things
Mr.. Williams is perfectly right in all
he says here. The petty tinkering with
the national bank law that the recently
passed currency measure has effected will
do nothing towards giving relief to the
millions of countymen who are now
starving for want Of a medium of eX-
change. There may be a few national
banks with $4,000 OF capital organized in
the villages, but the national banks are
not suited to rural conditions, and not
many of them will be found. But if they
put out their notes. all of them being
endorsed by the government will go to
the commercial centres and the country
people will have no more currency than
they had before. The relief, and the only
relief, is to allow banking to be perfectly
free. Then each locality will Issue notes
for the property that it has. The banks
will be sound in fact. but New York VIII
have no means Of knowing that. SO that
Wall Street will refuse to have the notes
and they will stay in the neighborhood
to answer the purposes of those living
there, who will know that the bank Is
sound, and its notes will therefore an
swer their purposes as we'll as gold dol
lars. It is strange that this obvious
truth should be unknown to so many
men.