The Minneapolis journal., 1905-10-11
BANKERS EXTOI
THE PRESIDENT
National Association Praises MIR.
Roosevelt for His Peace
Achievements. "

Achievements.
Washington, Oct. 1.-THE thirtyfrst
annual convention of the American
Bankers association was opened IN the
new National theater here today, with
more than two thousand member pres
ent Standing during the, Invocation
Of Rev. DR.. Mckim, the bankers re-
peated the words OF the Lord s prayer,
at it's conclusion. .a..,.< -.
The convention enthusiastically adop-
ted resolution thanking President
Roosevelt for his action in bringing
about peace between Russia and Japan.
The resolution was presented BY
former Representative g.. A. Pugsley OF
Peeksl1ill. N. Y, who said in explana-
tion that where a man had wrought a.
great deed in a great way, he was de,
serving of great credit. He believed
that it was eminently fitting that the
bankers convention should pause In
its deliberations to express its appre-
citation of the magnificent work OF Pres
1dent Roosevelt in the interest OF peace.
Thanks the President. y...
The resolution extends the thanks OF
of the association to the president for
his untiring efforts "in the interest o-
humanity and civilization, which We're
30 abundantly crowned with success IN IN
the treaty of peace of Portsmouth
which has restored tranquility to kls-
sia and Japan and has made for the
greater civilization and betterment OF
mankind ,.
The resolution was seconded by MI MI
Jennings of Florida, relative OF WIZ
liam J. BRYAN, whose words moved the
hearty applause of the convention.,
ItWe love peace,' he said. and we
love the president: I would not feel
satisfied to remain silent and hear words
of patriotism that thrill all Americans
without rising here, to- second TINS .reso,
luton. and move tor ITS unanimous MN u.
adoption - 7"'4 Iu,4 -
President Swinney remarked that u
would be more appropriate to take
rising vote. The resolution was unan1-
mously adopted. -
Presidents Address.
President E. F. Swinney, addressing
Che association, said
We have cause to. congratulate our
selves upon the abundant evidence llla
the past year has been In the man
marked by prosperity in all lines OF bus1-
ness and comparatively few bank fallures
have occurred All such periods have
however, produced feeling OF over
confidence and led to- the hoatlng OF un
sound Industrial enterprises. The lie"
bank failures Of the past year are mosti9
~ traceable to excess loans MADE 10 sucl
ENTERPRISES or their promoters. --~.
Statutes Inadequate.
The present statutory provision OF tn
national banking acts, limiting loans u
any one individual firm or corporation II
10 per cent Of the capital STOCK OF III
lending bank, seems to be Inadequate.
would recommend a change IN tn
banking laws permitting banks to loa1
one-tenth Of their combined capital am
surplus to one individual, firm or corpora
tion, and provide suitable penalties TO
any bank violating the law. At the sam
time I would recommend that any fund
passed to surplus be reported TO the con
troller of the currency and be not there
after allowed to be In any way 1mpalre
under the same penalties and condition
as now prescribed for impairment OF cap
ital stock. -
move the incentive tOs' excess loans an
also provide a. larger loaning power OF tn
banks Similar provisions In state law
could and doubtless would be enacted.
More Serious Abuse.
A much more serious abuse lies in tn
not infrequent acts Of managing officer
of banks making large discounts to them
selves out of the banks funds 1t is a
observable fact that in a great number
bank failures there have been foun
among assets the worthless notes Of h1g
officers Of the bank for large loans, fire
quently without any security at ali,
with "straw" security, which proved I
be absolutely worthless. This is mo-
fragrant and reprehensible violation 4
law, to say nothing Of business ethics.
ichN oSfx
is a wanton disregard Of the fundament
conceptions that such officers are tt
chosen guardians Of a trust fund.
opens wide the door to peculation ar
fraud, and it Is a travesy upon legit1ma
banking.
We should urge congress to deal r1go
ously with these abuses by pronouncir
them as felonies with extreme pains al
penalties; and we should urge this ass
citation and the state bankers associ
4'- tions to take this matter before the
respective state legislatures, so as to con
pei protection where there Is wanting OF
cial integrity and a proper sense of pr
prtety.
From the Northwest.
Nearly all the delegates to the GO
vention Of the American Bankers 6
sociation had registered at headuarte
this morning; Foll9wing l9 a is a. LIST Hs,
ata those from MlnueSOId auo Iue Deth
tas:
Minnesota D; Monford, St. Par I
G. Pfoferkers, st. Charles; J: R. Mite
ell, Winona; N. F. Banfeld, Austin;
S. Bishop, Duluth; G. J. Bradley, NJ
wood; J. G. Chapman, Jr:, Minneapoli
a. A. Crane, Minneapolis; D. s; q
D. Griffith, Sleepy Eye; G.. H. Havi
St. Cloud; M: H: Hegerle, St. Bo1
facius; F. B. Kellogg, St. Paul; G.
Lawrence, St. Paul; W. H. Putna
Red Wing; F.xC. Thornton, Benson.
North Daketa---T. P. Page, Leeds.
South Dakota--S., Drew, Highmo1
G.. T. Stebbins, Spearfsh: Mrs. T..
Batcheller, Fingal; T: M. Braaer, Dea
wood; H. R. Dennis, Sioux Falls; j..
Platt, Clark. ~.-'-..
BODY is IDENTIFIED.
Hancock. Mich, Oct. 11.-One Of t
several bodies Of the seamen who perish
in the wreck Of the steamer Iosco a
barge Olive Jeanette, and whose RENAL
were inferred in the cemetery at Ian:
( r.