New-York tribune., 1902-05-14
BANKERS IN CONVENTION.
DISCUSS BANKING LAWS AND THE AD-
VANTAGES AND DISADVANTAGES
OF BRANCHES

Kansas City, May l3.-Several hundred bank
ers are in the city to-day TO attend the conven-
ton OF the Bankers Association of Missouri
Kansas and Oklahoma and Indian Territory Three
separate gatherings in session this morning
the Kansas bankers meeting in Kansas City, Kan
and the Indian Territory and Missouri bankers con-
Vening on the Missouri side E. A Kelly, Of
Leayenworth, Kan, made interesting report to
the hansans on the conference in New-York on
bank money orders Gordon Jones, of St. Joseph,
president OF the Missouri association delivered his
annual address to that meeting and Thomas B.
faton. of New-York. Editor of The Banking Law
Journal delivered an address on The Evolution
of Banking Law"
Mr.. Patton spoke the laws that govern the
business dealings of bankers-not so much those
that govern the organization and powers of bank
ing corporations as those that govern the nstru-
mehtS OF trade in which bankers deal, tho bills.
notes, checks and other Instruments representing
money. and the documentary securities represent
ing property values, which constitute the bone and
SInGW M OF the mercantile wealth of the country. and
IN WhCh II Is the peculiar office of the banker to
deal and to make effective.
In the afternoon all the associations met in joint
session on the Missouri side The topic considered
was Branch Banking and Horace White. Edi-
Tor OF The New-York Evening Post and Henry
w Yates, of Omaha, president of the Nebraska
National Bank made addresses.
Mr. White said in part:
The advantages of branch banking are briefly
tthese; tirst-Other things being equal, two banks
51ned a together are stronger than one. and three
SeSc99nd-For this reason the public have greater
CUnIdence In a union of banks than in the same
HuIlper or banks taken separately. Branch bank
haDl YOU'D theretore, improve the credit of the
nduhS so allied and increase their deposits. This
IuNautaSe would accrue more particularly to the
nIdhch hank or the small country bank taken into
inc system. than to the parent bank in the city.
IHfd-BIanch banking would reduce the total
ifApeiise or banks, and this saving would, in the
!3hg run, be shared with the banks customers in
the form OF lower rates of interest.
Fourth-Branch banking would tend here, as in
InT tween f&gnfes fBe tries & to uniform rates Of interest be-
Fhth Branch banking has the advantage that it
can be extended to places small to support a
regular bank. which requires a full complement Of
sixth Branch banking affords facilities for COM
nunlcatlng knowledge of he relative needs of
them.
These are the principal reasons why I recon-
mend branch banking to the gentlemen who have
done me the great honor TO listen to this address
Another reason is that branch banking is bound 10
come, and that you cannot stop it,
Henry w Yates of Omaha, spoke in opposition
to branch banks, saying In part:
We are all conscious of the weaknesses which
prevail in our banking system. and we are de-
sirous of having them removed and the system
I StreHshhfned S ana improved in any manner that
Eood judgment and wise experience will dictate
But II does not follow from this that We should
conclude that your banking system is 50 utterly
pad that the only remedy for the situation is its
entire extinction and the creation In is place of
another system. This is what ! believe would re-
suit from the passage of law which would estab
Gus branches.
Judged by the actual work performed and SER
vice rendered the conclusion is inevitable that the
American system OF banking is superior to any
system OF banking in the world. The passage OF
the pending bill, by destroying the harmonious
latons which now exist in banking world,
would not Only be disastrous to the banks
cerned, but would be national calamity.