The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-09-10

cial redress or the Franco fIussihh "dI, IN
answer TO the source of the vast sum re-
quired, Napoleon replied X would come
from the blue stockings of the French peo-
pie and IL did come ,d from ins , nS4nsg
ly better IL is for a state or nation 10 nave
such banking system and such a meas
ure OF public confidence that oy oeposlt
of these savings, earnings would accrue 20
the depositors. and the money enter the
circulation OF the country through the
channels of business. This feature OK
savings departments In connection win
trust companies has merited the conf1dence
of the people resultant in this splendid de-
post As a safe intermediary Tor the max
ing of investments IL is no less Deneiac-
ton. The trust companies have simplified
fiduciary responsibilities and have given 70
the settlement of estates an atmosphere
of adjustment quite different from the fasS
and loose details Of old-t!me methods. 80
long as the State meets the demands OF
development along these approved lines OK
better ideals, and the confidence or the pup.
lie is maintained. this admirable record or
this comparatively recent financial develop
ment will increase with the growth OF the
communities and Of the commonwealth.
BUILDING ASSOCIATIONS.
There is an important financial interest
the State has been derelict in properly pro-
tecting. and because of such neglect many
thousands of dollars lost to those who
were virtually the victims of misplaced
confidence. / refer to building and loan
associations. Very generally, the local
association is and has been a success This
is because II was mutual In management
careful I'm investment, and not looted by
salary attachments. 1t should always be
remembered that to the ordinary every
day citizen a certificate with the States
seal and the signature of a State officer
is accepted as token that the State would
withhold authority to any unworthy cor
poration. Unfortunately, this has not
been the rule, and IL has been the fault Of
the statutes. The unvarnished truth Is.
the promoters Of certain State building
associations that branched out into series
of pretentious amounts. cleaned from ana
took advantage of the building and loan
law, that makes supervision next 10 i'm
possible. The savings of the people were
got because of confidence in the States
authority and purpose 10 treat building as
sociations the same as banks, when no
such power was given, and hence enormous
expense funds were collected and appro-
priated by an official retinue or supernuoue
people of prominence, loans made and lost
because of scant security, and q reyelry
of mismanagement that was a piracy on
the investors, and that continually.
1.-The rise. decline and lingering death OF
some OF these State building associae
lions is an object lesson of a law that. be-
cause of absence of corrective powers, can
be prostituted to selfish purposes. The law
trammeled examination within the control
of the state auditor. 1t should prevent
the borrowing of money. the trespassing on
the province Of banks. The local associa-
ing, and thousands Of homes are the fruits
of their honest and unselfish management.
In the 400 associations Of Indiana there are
LOG 600 members. A capital stock in force
of $50 900, with loans OF s2s 2ls s12 7s, with
81, 3Os, 600 on hand and dividends paid OF
s41s, o. This important interest has not
had the States guardian care, the
investors have had right to believe was
present in the statute, and while the local
and several of the State associations have
of the pretentious State institutions have
been delusion and a snare. The invest
ment' companies that are being born in the
darkness of every night, and the darker the
better, are given too wide range by our
statutes for chicane and imposition. Never
before, even when imitation was at It's
of 'get-rich- quick concerns. oil. minerals.
| gas, wind, water and blue sky! The State
| should not permit an Incorporation where
minimum of paid-up capital stock. The
| first analysis, when the State reviews the
| character Of a corporation, Is the proper
occasion to pass upon the validity of any
| enterprise, and not the last analysis. after
the public has been inveigled and a receiver
TRIBUTE TO BANKS.
1.-THE banker, from time immemorial. has
| occupied a central and conspicuous posi-
ton in the social business and political
life of the community. State and Nation.
The successful banker has an endowment
of Biblical talents in the flower Of frui-
ton. The facial pinch OF selfishness and
| acquisitiveness often marks the touch of
| the caricaturists, but the faithful historian
cannot record the annals OF any country
| worthy of perpetuation without tribute
to its inancicrS always prominent IN Its
national, civic and individual life. In times
of national distress. the banker IS appealed
| to for aid and counsel in providing for the
| exigencies of war or the avoidance or
| panic. When floods, famine or any calami-
ty visits the country. the banker in gener-
Gus relief, like the name Of Abou- Ben:
| Adhem, leads all the rest. In practical
| works of organized charity his substantial
subscription Is the s,. mainstsy Of depend,
| its ashes; the plague-stricken South, raw
| aged with yellow fever; the Johnstown
catastrophe and the recurring floods in the
| Kaw; the thousand and one alamities,
| local in character. but with an instant and
| widespread necessity for relief. ind the
deeds of both executive and financial aid.
| The army corps OF bankers that under
Salmon p Chase followed the fortunes OF
the nag in sustaining the policy of Lin
coin and the credit Of the Nation, gave to
| the world an example or patriotism coeQual
with the heroism of the soldiers at the
| ways and means committee. and in State
| politicians unanimously elect him the cap
| tain Of industry for campaign contribu.
| tons. He is the first citizen in the de-
| pendence of the public for the advance
| ment of every public interest: too often he
| is the last citizen in public appreciation foz
| the results accomplished through his un-
| selfish worth and work. He Is the asses
! sors shining mark, Is nominated by county
officers on their bonds, and the preferred
| occupant of the ground floor in every
seductive investment Colonel Selars brings
TO town. kipling well said: 1T takes more
than christening TO make ship. IL
| slides into the placid waters, is there laden
| and fitted for the test of actual conditions.
| Its nose touches the waves OF the angry
seas and 1t is tested from mast TO hull as II
plows over the white caps and bids def
| ance TO the storm. IL moves on; It's
mechanism and construction perfect.
| anchoring In safety; not an experiment
but ship In its majesty OF perfection
| christening of a bank Is not all III IL has
| the pilots, IL IL has integrity and solidity,
If IL has the essentials within itself 10 meet
| and master the problems Of its mission
| then and only then, will IL measure up &c
the merit OF public confidence and be
| endowed with the assurance of superb
| success. If there is any one demand thar
Is ever present, yesterday, to-day and to-
morrow, beneficial mutually 20 the none
| tary interests of State, Nation and people
| IL is that bankers, practical and trained
| as you are, should become members OF
the Legislature and of Congress; get into
| politics within your party lines and IN
| stead OF combating pernclous measures
| through Hobbies, battle In committees and
| on the floor the fallacies that always have
and always will come ambling into the
| halls OF legislation, chaperoned too otter
| by a statesman with fad or prejudice
| who would not probably be cock-sure as tc
whether capital stock Is an asset or q
| liability