The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-01-23
WHAT OTHER PEOPLE THINK
NELSON'S BANKING BILL
Northdeld News Changes It's Position
with Reference to It.

. = Al g III
The Journ a is in receipt Of the
following communication from the pro-
! prietor of the Northfeld News: .l..
To the Editor Of The journal. s-l~ .... "a 81
| Il e j our | last Saturday evening
! said that the Mortified News 'complete-
by misconceived and mis-stated the Ian
guage and purpose of the BILL" introduced
by Senator Nelson, which proposes to au-
| thorlze national banks to make loans on
real estate mortgages. The article in the
News was based upon information OBJ
tanned from Washington dispatches ap-
| pearing in such metropolitan newspapers
as L n u r n a l., which stated in sub
! stance that the bill was intended to af-
feet favorably national banks in cities of
10000 or more. Mr. Nelson introduced
two bills, Dec. and 8, copies of which
were received by me from him Jan. IL.
/ Correction was promptly made in an edi-
| torial in the News Of the following day.
Seven days after the correction T h e
| 10 a attacks the News - s.s*
No doubt TIL j ourna1 wants to be
fair; therefore there is reason to expect
| that it will reproduce both editorials from
the News, those of Dec. 80 and Jan. 10.
Judging from the source of my first in
formation regarding the. bill, and the
promptness with which. the News made
the correction, TIL g. j o u rnal editorial
Of last Saturday evening appears both
! tardy and unwarranted. The News
1 criticism Of the bill, as it was first re-
ported in the public prints, still holds
4 good: also that part referring, to the OBJ
| fashionable bankruptcy law. - ...
| l. believe III 9 J. o;urnal has no ,;n-
J., tention of knowingly making statements
l which do not conform to facts, and trust
that the two editorials which appeared in
the News will be- printed in YOUR col
umns with this ). communication. Very
truly yours, IN .a-sytJoel R5 tHeatwole. Z
+ ~ ~ Proprietor NQrthfeld News.
+ Mortified, Jan. 22>rt,rH~.f:f5 r:.s..>..e.} F..
The Journal certainly has no de.
sire to misrepresent the Mortified
| News in any particular, and, while il
cannot for reasons Of" space publish
/ both editorials, st will endeavor to- ado
whatever may be necessary to correctly
1 represent the position Of the News.
! In the first editorial the News in adj
dition to its criticism of the senators
bill: providing for loaning money on rea
/ estate, intimated that it would be more
to the purpose if the senator had giver
a little attention. to the present bank
ruptcy law, which it describes as "a
standing incentive to fraud and dishon
1 esty, and one which ought to be amend
Fed or repealed without further delay
Bankruptcy legislation is another story
and doesn't belong in this discussion.
It appears that on the 18th of. Jan
uary, however, the News discovere,
its error in the first instance, and mad
a correction as to the size of the town
) to which the bill was, to apply. Tha
, correction we had not seen. It con
!, tended that the senator was still i
fault in basing the percentage of mort
: gage loans on capital and surplus in
$ stead Of deposits; that the needs of
f locality are more accurately registere
and determined by it's deposits than b
its bank capital. The deposits, the New
thinks, represent the condition Of tn
community rather than the amount O
banking capital; but that instead o
e loaning half of the deposits, tina
IS to say, interest or time dt
posits, the amount should not exceed 2
. per cent. The demand deposits shout
!. be kept in the hand or invested in sho1
), time loans. This is the view of til
News, and it will support the bill mod
fed in this way. Whether the crit
r cisms of the measure by the News al
il wise or not, it is, not our purpose to di
t cuss here, but rather to give that pull
t lication an opportunity to present il
g views of the matter in the same co
d umns in which the original criticism al
: peared. @