The Mena weekly star., 1907-12-12
FOR SENATORIAL INQUIRY
Senator Tillman Wants Investign tion of Recent Financial Acts
 of Secretary Cortelyou.
WOULD HAVE FINANCE COMMITTEE PROBE
Resolutions Introduced In Senate tc Investigate Panama Bond Issue, Certificates of Indebtedness and Also the Legality of Clearing House Certificates.

Washington. Dec. 10. - Senator Tiliman Monday introduced resolu- tions directing the committee of f. nance to investigate the recent pro eeedings of the secretary of the treas. ury in connection with the f1nancia. crisis and also to make inquiry con, cerning clearing house certificates. The resolutions were presented ia two series the first dealing with ths operations of the treasury depart. ment and the second with clearing house certificates, both being divided into three subdivisions.
 The first of the resolutions directs the committee on finance to investi- gate and report to the senate as foh lows:
 First, whether the issue of certifi- cates of indebtedness bearing three per cent interest, bids for which were invited by the secretary of the treas ury November IS, 1907. were for the purpose of borrowing money "to meet public expenditures" as pro- vided by section 32 of the act ap- proved June IS, 1899, and if not whether there Is any warrant of law for the isue of said certificates.
 Second, whether the issue of $50,- 100000 of bonds of the Panama ca nal loan, bids for which were called for by the secretary of the treasury on November IS, 1907, was required to "defray the expenditures of said canal, there being at that time when both of these loans were made, up wards of $200,000,000 in the treasury for current expenditures"
 Third, whether any legislation was necessary to protect the people and business interests of the country from the issue of unlawful money, if clearing house certificates were such, and to prevent the illegal increase of the public debt in time of peace."
 The second series of resolutions direct the finance committee ito in- vestigate and report to the senate as soon as practicable" on the follow ing points:
 First. whether clearing house cer tiicates with which the country is now flooded have been issued under authority of law or contrary to the same.
 Second, whether the Issuing of such certificates by an association of banks, both state and national, and the use of the same as money sub jects such certificates or notes to the tax of 10 per cent provided in section s412, United States revised statutes. Third, whether 1t would be permis- sible under the law as it is, for an association of banks, warehouses and elevators to issue certificates based on cotton, wheat and tobacco, stored in such warehouses and elevators, and fully insured, to be used as mon ey in marketing said crops in the same way as clearing house certif1- cates are now used.
 Senator Culberson also called up his resolution asking for information concerning the isue of s50.000,000 of Panama canal bonds and the total number of banks in operation on De- cember and November IS, 1907 and the amount of public money on deposit in the banks of each state and territory on those dates. These resolutions were allowed to go over.
 The same action was taken on the resolutions concerning deposits of public money in national banks.