Ottumwa semi-weekly courier. [volume] (Ottumwa, Iowa) 1899-1903, 1903-07-30
IOWA MONEY CHANGERS IN CON.
vENTIoN AT DAVENPORT.
OFFICERS FOR YEAR ARE CHOSEN
The Address by Retiring President
Homer A. Miller of Des Moines is of
Interest to Many-speaks of Runs
on Banks and How to Avert Disaster.
From Wednesdays Daily.

olnlS 1)duhSlS dSSOClcIlO1 OpChCo ySo-
ter with a good attendance. Mayor
Waldo Beck welcomed the bankers on
behalf of the city, and the response
was by Ackley Hubbard of Spencer.
Following this came the presidents re-
view by Homer A. Miller of Des
Moines. ]. M. Dinwiddie of Cedar Rap
ids, secretary of the association, then
gave his annual report, showing a
year of great activity and growth.
The treasurer's report was read by F.
Y. Locke of Sibley.
Election of Officers.
The election of the officers resulted
in the choice of the following men to
serve during the coming year:
President. F. Potter of Harlan.
Vice President-Frank Y. Locke of
Sibley.
Treasured. H. Mckee of Mediap-
oils.
Secretary. M. Dinwiddie of Cedar
Rapids.
Presidents Address.
The retiring president, Homer A.
Miller of Des Moines. in his annual
address, spoke of runs on banks and
the best means to avert failure from
this source. His address is an able
one and af interest to all. 1t was in
part as follows:
Runs on Banks.
During the panic of 1898 l was a
banker, having all of the aches and
pains and experiences that most OF
you passed through but in addition
to this visited over $50 banks in the
capacity of bank examiner, and my
heart went out in sympathy for the
many good, first-class, absolutely SOL
vent banks that were called upon for
money not needed by the depositor
During the years that have followed
my study has been how to maintain
public confidence in times of panic.
Relating an actual experience which
was one of many. l will say that l ex-
amined bank in the spring of 1908
that was as solvent bank as any in
the state, but was called upon a few
months later to Withstand run. 1t
telegraphed to me to come, and l
reached the place early in the morn
ing. We got many of the stockholders
together, and at 8 a. M, as the people
came in, they were asked to make
their checks for their account, and
these checks were Endorsed by their
stockholders and handed back to
them. BY actual count fourteen tran
sactions of this kind took place, and
the rest of the crowd went it's way,
having confidence that there was
something back of the bank.
Clearing Houses.
This thought suggests itself to me
as a result Of the action of the New
York clearing house at that time, and
as means Of heading off run on a
solvent bank: Organize county clear.
ing houses in the country. Have your
officers and committees, and then If
any member is experiencing run he
will be able to get certificates to the
amount of his good bills receivable
which the committee would take.
These certificates backed by his loans
deposited against them and the COM
bined assets of all the banks of the
county, certainly would restore con-
fidence in any community This is
the outline only, briefly expressed. A
perfect organization can as well be
ties as we now have in all of our
cities.
Prevent BaseIess Speculation.
Banks represent the stability of the
business world-regular investments
and legitimate trading. In times like
the last two years, when there was sc
much baseless speculation, banks serv
most important purpose to the state
of Iowa in carefully discriminating be
tween legitimate and wildcat specula
ton and gradually restraining the ten
dency toward the latter. liquidatine
and keeping speculation within
bounds. Although. at the time, many
were inclined to find fault with this
conservatism it is safe to say that
many man was saved from financial
ruin by the firm hand which the banks
held upon the situation. Our associa
ton has in view just such combined
action of the banks as will sometimes
help the public in times like these
ct is becoming clearer year aftel
year that, provision must be made up
on a larger scale to take care of the
This is, perhaps, more important in
Iowa than anywhere else. Senator
Fowler of New Jersey, will be here to
morrow to tell us whether his plan is 8
good one or not. We must all work to
gether here in Iowa to perfect or helr
perfect some such plan. think thai
is legitimate subject for discussion
for this association. To be sure, each
individual banker will use his owr
wits to carry out this purpose, but oul
combined wits ought to be even better
| and more to the point"