The news & observer., 1905-10-13
SUBSIDIES FOR
SHIP BUILDING
The Bankers Association
Favors the Law.
THREE FOURTHS VOTE
The Currency Committee Submits its
Report. Fletcher OF Little Rock Op-
poses Subsidies and Refuses to
be SiIenCed While ExtoIIing
3ha Cnuth
The South.
lBy the Associated Press }


Washington, oct. 12.-The Ameri-
can Association of Bankers today put
itself squarely on record as favoring
government subsidies for the upbuild
ing of the American Merchant Marine
Resolutions reviewing the growth of
American commerce, and the decline
in American shipping and pledging
the association to throw the weight of
it's influence towards the enactment of
ship-subsidy law were presented by
the executive council OF the associa
ton and adopted by a rising vote, in
which it was estimated that three
quarters of the delegates took the
affirmative side. Robert J. LOwery,
of Atlanta, the author of the resolu-
tions, spoke in their favor.
Mr.. Fletcher, president Of the Ger
man National Bank, of Little Rock
Ark, opposed Subsidies" for any
American industry. This declaration
evoked the first applause on the sub
iect He hoped the resolutions would
Upon a rising vote the resolutions
were agreed to.
The resolutions recite that the MEM
bers of the association are deeply in
terested in the commercial and indus
trial interests of the whole country;
that it favors and most respectfully
urges upon Congress the passage of
some measure to foster and encourage
the upbnilding of the American Mer-
chant Marine; that the ship-subsidy
measure which haE received the con-
sideration OF Congress is favored; that
members of the association recon-
mend and urge upon their respective
Senators and Congressman the neces-
sity of action; and that as an associa-
ton, Congress be memorialized with
q copy Of the resolutions.
Currency Committees Report.
The report OF the currency commit
tee was received, but no action taken
thereon. The report followed sug
gestions made yesterday by Secretary
Shaw in his address before the con-
vention for an emergency currency.
Former Representative Pugsley, of
Peekskill who submitted the report,
expressed the opinion that Congress
would enact finfrcial legislation
should the bankers present a united
demand for some specific measures.
The report outlined several changes in
the system which it might be advisa-
BILE to make by legislation.
1t was given as the opinion of the
committee that such legislatiorS should
provide that United States notes of
legal tenders should be retired if prac-
ticable. Also that a sufficient re-
serve fund should be set aside in the
United States Treasury to provide for
the redemption in gold of about $780,
100000 of silver outstanding; that
the Secretary of the Treasury should
have discretionary power to deposit
in the national banks such portion OF
the surplus fund in excess of $50,-
600 000 whether derived from Gus
toms receitps or internal revenue as
he may deem proper, to prevent alb
sorption of money by the treasury the
issuance in times of great financial
stress of supplemental currency, along
the lines suggested by Secretary Shaw,
SO as to appear identical with the
present national bank notes, but
heavily taxed SO as to secure its re-
tirement as soon as stringent condi-
tions had passed; this currency not to
appear as any new form of money,
but to be guaranteed by the govern
ment, and banks holding fifty per cent
of the capital in government bonds to
be permitted to issue the supplemental
currency in limited amounts.
An address by Walker i'll, president
of the Mechanics American bank, of
st. Louis, on the practical benefits of
membership in the American Bankers
Association, was delivered.
Five minutes description OF the
business prosperity of different partc
of the country were indulged in by the
convention for a half hour, when ad-
journment was taken until tomorrow
morning. The convention was invited
to meet in Detroit, Mich, in 1907.
No action was taken.
An amusing incident in the discus
sion of business conditions was oc-
casioned by the refusal of Mr. Fletch-
er, of Little Rock, Ark, TO discon-
South at the end of the prescribed
time. The convention good naturedly
voted him off the floor only to have
him interrupt the next speaker and
continue his own remarks.
PROGRESS AT MEBANE.