West Virginia argus. [volume] (Kingwood, W. Va.) 1877-1946, 1903-10-22
SHAW AND THE BANKERS
The Secretary Loans More
Millions Without Interest.
FAvoRIrEs OF ADMINISTRATION.

The Secretary of the Treasury Il
Backed by President Roosevelt.
Old League with the Money Power
Once More In FUN Force snA ne
feet.
The amateur statesman and flnancier
who has been placed by the Republic
an leaders In charge OF the United
States treasury has been adding to tho
amusement OF the world by telling
how he would settle the currency ques-
ton and how he would build up Alner-
lean shipping. II thcorizing about
what he would do. II he had the power.
was oil there was TO laugh about, Sec
rotary Shaw could go on with his va
porings and no harm would DO done.
AZ secretary OF tho treasury no has
however. enormous opportunities for
mischief, and his zeal for the Wall
street bankers. born OF numerous In
tcrviews with the astute masters Of
finance who control tho money and
stock markets, has led him to Violate
the plain enactments OF congress. Sec
retary Shaw at tho evident bidding Of
the stock gamblers has been and f.
doing the very acts that the Aldrich
bill that congress refused to pass would
have authorized.
That Secretary Shaw IL entirely In
capable Of comprehending the simple
law that governs tho movement Of
money is shown by his extraordinary
efforts to increase the currency volume.
With one hand he deposits with the
banks the treasury surplus and with the
other is retiring circulation, which tho
banks find It profitable to do, Ms the
bonds that secure 1t have 30 advanced
in price that the banks find It 10 moro
profitable to sell them. The increased
premium on bonds has been brought
about by the demand for them MS 30
curity for the surplus cash Mr.. Shaw
is loaning to favored banks without
interest SO far as increasing the mon
ey supply goes this Is merely robbing
Peter to pay Paul, the only restriction
being that the retirement OF bank cir
culation is limited to $8,000OO0 q
month.
Secretary Shaw has evaded, II not
disobeyed, the law that provides for
public money being deposited with
banks by depositing 100000 with
the St Louis banks without requiring
them to deposit United States bonds as
security. In this case he accepted state
and municipal bonds as security, and
bankers all over the country are de-
handing, on the same terms, their
share of the $40.0OO,00 that Secretary
Shaw says he will loan, besides the
$1o6,0O0,000 already loaned.
1t Is rather discouraging to those who
believe in strict construction of the
law in all that relates to the care of
the public money that the evasion of
the law In the interest OF the bankers
by the secretary of the treasury In In
dorsed by President Roosevelt. It
shows the desperate condition of at
least some Of the banks that the presi-
dent has been forced to yield to their
opportunities for help. 1t likewise
shows that the boosted independence
OF the present administration of the
money power and Wall street, II such
ever existed. has been adjusted for
political reasons and that the old ALI
ance between the Republican leaders
and the banks, trusts and corporations
Is In full force and effect. 1t Is not
difficult to believe that these loans,
without interest, of nearly $500, 900 900
or the peoples money Will return am
pie interest to the next Republican
campaign fund, In which President
Roosevelt has such great personal in
tereSt