The Grenada sentinel. [volume] (Grenada, Miss.) 1868-1955, 1905-12-09
THE PROPOSED BANKING LAW.

NOt OSIO O1tNNuNO GftUs
No feature Of the new Code is re-
eefving as much attention as the Chap
ter 0a banks and their supervision.
Outside OF the banks, the general pub.
tic seems to be a little shy of the new
law lest there be hidden away some
where in its provisions something more
than is apparent. We can see no good
reason why any bank, properly organ
lied and doing a safe business, should
object to inspection. Certainly the
deposition and the man without bank
stock-and they number ninety
five per cent Of Jul citizenShip-Should
favor bank supervision. We are sur
prised that so many of the bankers of
the state are making complaint of the
proposed law, some using the argu-
meat that it is too drastic and
that state supervision and inspec-
tion, as provided for in the chapter
ca banks and banking in the new
code just prepared and which will
come before the legislature in Janua.
~ for its approval, would give too
much publicity to the inner workings
ct our financial institutions and there.
By be detrimental rather than help.
fuI- Many complaints are made at
the small and u~nimportant provisions
az the chapter, and nearly all possibly
have some suggestion of change or
modification to offer. We have read
the new banking law carefully and it |
occurs to US that its aim is to meet a
hong felt want Of the business interests
az the state. When we say ''busi-
interests. we mean the farmer,
the mechanics, the merchant, the Ia
herer and every nan endeavoring to
an hOoest dollar. To those
bankers raising objections, we beg to
1sggest to them that they read the
OF their annual meeting
held at McoonbC City where a very
and CONCISE paper was read in
favor Of state bank supervision. The
minutes OF the meeting fail to disclose
single objection thereto. At the
laanual meeting at Hattiesburg, the
rear following. another paper, very !
lhic and f~OFceful. was read, and while I
here were q few who opposed the
Measure, If We are correctly informed, '
ret the evidence, favoring supervis- \
"a. from 50 many states, was SO strong q
Nd unmistakable, that the more con-
eryative among the bankers at that .
on invention, freely admitted that su- .
ervision in some fosm was essential. Y
1t the annual meeting held at Tupe- y
D a report waS unanimously adopted '
mich contained q short clause favor. a.
ag supervision without going into de- X
aiis. We are unable too see how the =,
law could In any way, be detri. II
rental to the banking interests OF fo
he state. 1t contains no provisions OF
{ requirements more severe in any pl
Spect, than does our National Bank
e laws and IN many instances, Ia del.
dedly more liberal to the banks "
,emselves. That part of the pro- !"
ssed law comprised under Chapter IA ~,
I'd sections 4se, Y. 3 and ga should St.
eliminated and we are charitable pr
lough to believe that the Commits 20
oners incorporated those sections vi
.rough mistake. "a
What sane or satisfactory reason an
n be given for not requiring that pc
e capital stock of banks shall not tri
paid in cash? It is a we'll known
that banks have been organized in po.
is state within the last few years 80.
d that notes were given ia pay -.
mt of a good part Of the subscrip- ~,
q to the capital stock. No. good
nker will admit that this practice
either safe OF conservative. The
n law provides that the entire cap sen
| shall be paid and that it shall new poi
be less than e25, 900. The public dis,