The Montgomery advertiser., 1901-07-17
lFFlcIAI REPORT OF THE PROCEEDINGS OF
 TIE CONSTITUTIONAL CONVENTION 0F ALABAMA

ike we would like to make it, So gentlemen. if you do have this exami- na ton of State banks, you will fnevtta- bly, drive the private banking insutu- tions of the State out of business, ana the State banks will change their charters and go into the national bank ing eystem, because 1t Is a very easy matter to make such change. Do not deceive yourselves at all with the idea that this system of examination bears any resemblance to the system or ex- animation of national banks Tn this State. They are just as different as night Is from day. m one ease the government of the who look into the sol-ency of the in- stitution and reports to the Comptroi- Ter of the Currency at Washington. In the other case you send a man who takes up the private affairs of the banker or banking institution. and find out the number and amount Of depos- it's in the bank. and submits 1t to the Governor. We have no laws upon the subject of banking institutions in the Stats of Alabama, except a general provision that banks may constitute themselves into corporations to do buiA- ness Then what is the sense of put ting this ordinance in there. unless you connect 1t with a general systemF submit that this Is purely . legislative matter, and should be left to the Legis- lature of the State of Alabama.
 Mir. Reese-Will the gentleman allow a question?
 MT. Rogers (Sumter) - With the greatest pleasure.
 Mr. Reese-Would not it be a good idea to make the county tax commis- sioner CT officio bank examiner?
 MT. Rogers (Sumter)-lf you want to have 1t SO that a man can go Into the private affairs of everybody because he is an officer. 1t does not make any dif- ference what particular officer is cloth. to the Sheriff or the Probate Judge. or to any other officer. was going to say MT President. something has been said about arraying influences against the adoption of this Constitution
 Mir Barefield-I would like to ask the gentleman if a man has thousand dollars on deposit in . bank and man has forty acres of land. why tax his land out here. and allow the man with the thousand dollars to escape tax ation?
 Mir. Rogers (Sumter)-I am afraid that the gentleman from Monroe is PldJIuk u luS 66itCiACS thlS ikAothhkos ! am not in favor of the thousand dollars escaping taxation. but I say this. If you tax 1t in q State bank, or a. private bank, the man will withdraw 1t and put 1t in the National bank, where it will escape taxation. That is the proposition and not a proposition that anybody that has got money should escape tax ation.
 Twas going on to say. it seems to me that we have said a great deal in this Convention here about arraying infiu- ences against the adoption of this Con- stitution. am not in favor of keeping out. or putting anything into this Con- stitution merely upon grounds of ex- have to submit this instrument to the people of Alabama for ratification>an and tell you you can look we'll towards putting any proposition in there which will submit the citizens of this State to annoyance. What private bank is go- ing to gladly and willingly and cheer fully accept a provision which he knows is going to put his competitor in the National banking business on the op- posite side of the street to him at a great advantage? Why, in the city l of Tuscaloosa. where one of the mem- bers of this committee resides, who fla
 
 which has been established there for 50 years; it is private banking institu- tion. and if this machinery Is put into operation, it will work greatly to the disadvantage of that private institu- tion, Down in the city of Dothan, if you please, there are two gentlemen, one who has just retired from the State banking business. and gone into the National banking business, and his competitor across the way was going to look with approval and glad wei come upon provision which this gen. tleman fought himself when he was in that business. and now approves? tell you we are going outside the rights of this Convention. We are going into | the Legislative Department, and I hope that the Convention will reconsider the proposition, which at least bears all the ear marks of private interest which is desired to be perpetuated in this Con- stitution. the great fundamental law of this State.
 Mfr. O'Neal Gauderdale)-The gen tleman from Sumter says this is purely @ legislative matter. If this is a matter entirely within the domain of the Le- gislature. 1t Is very singular that body has never given the people of Alabama any releief in reference to this import ant question. We know that for over a quarter of century there has abso- lutely been no examination of private banks in this State. We know that one reason that private banks have not prospered in Alabama is due to the fact that there is absolutely no protection afforded to the depositors in those in- stitutions.
 Mir Rogers (Sumter)-If the gentle man will permit an Interruption, the reason why National banks have sue ceeded in this State as opposed to the private banking institutions. is because the government of the United States permits the bonds of the United States 10 draw interest, while deposited fol security. and he thereby gets double | interest upon his money.
 MT. O'Neal - Yes, but the private banks have a great many powers whici the National banks cannot exercise They can lend money on bonds and SC curities which are absolutely prohibited to National banks. and say I bu voice the sentiment of every citizen O the State. who has had connection with these institutions. that sufficien | safeguards are not thrown around thu deposits, and those wao nave dealing, with those institutions
 Mir. deGraffenried addressed tn, chair.
 The President-Does the gentleman
 yield to the gentleman from Hale?
 Mir. O'Neil-I will in a moment.
 questions every second. Let me finisI
 the argument.
 Now suppose an effort Is made in tn, | II al fYtrA to t0 h0 y.lr