The Brookings register. [volume] (Brookings, Brookings County, S.D.) 1903-1971, 1907-10-31
BANK PLAYING
GAME OF SAFETY
Banks of NeWLYOrk Have a Little
Touch Of Frenzy"
LOCAL BANKS PROTECT
THEIR INTERESTS ALSO
No Reason for Alarm as Banks
are Strong and Safe

Inc disturbance In the nnanClal pool,
which has excited people having
money, during the past week seems to
have been wholly uncalled for and GER
tainly 1t was unprecedented.
AS near as one can Judge from
newspaper reports the furry started
through the suspension of few banks,
or perhaps one bank in New York
city which had been making heavy
loans to stock brokers' gamblers pure
and simple. AS soon AS these parties
failed to liquidate their debts people
became frightened and commenced to
withdraw their funds from the other
banks. For selfpreservation all the
banks in New York city issued
statement that they would pay out no
more money only in small amounts
each day. This has led the hanks
all over the country to do likewise,
and we believe it is the best thing
that could have been done.
When it realized that not more than
five per cent Of the business of this
nation is done with cash and that
checks, drafts, statements of credit,
money orders, and express orders take
the place of money it will be seen
that no material Inconvenience can
come from this conclusion Of the bank
ers.
There is an abundance of money in
the banks and calm deliberation on
the part of those having money In
those repositories will greatly assist In
adjusting the matter.
Back of it all the real trouble comes
through the gamblers, commonly
known as spectators, who plunge into
anything and everything they can find
on which they can get money or credit
to create an advance, or speculate
(gamble) on advancing. 1t is these
fellows who are responsible for the
whole trouble.
President Roosevelt has called at.
tention to this evil and has been hold
ing their methods UP to the public
gaze He has been fighting them dur
ing his terms Of Office and by showing
them up has saved the people from
many wrecks.
The finances of this nation are safe
and sound 1t is the method of handl-
ing money in New York city that al
ways causes trouble and we hope to
see the day when CANDLES in stocks
will be kicked into space.
There Is nothing in the present local
financial condition that need alarm
anyone. The several banks have seen
fit to fall in line with practically all
banks throughout the country as a
matter of self preservation, but the
Register is informed by the several
cashiers that their banks were never
In as strong a financial condition as
they are at present, and that people
still have confidence in them is shown
in the daily increase of deposits since
the first reports of the crisis in the
east
When it Is understood that checks
and drafts can be used in all large
business transactions to any amount,
the fact that the banks are endeavor-
ing to protect their cash on hand
should restore confidence in itself, and
the matter of drawing but $500 in
currency becomes of little moment
Conditions in the east are reported
better to day and in all probability
before the week Is gone the crisis VIII
have passed and the money market
will have assumed it's normal condl-
ton.
The following letter has been issued
by the banks Of the city to its corre-
spondents and patrons:
Owing to the unprecedented actlon
taken by the Clearing Houses or New
York, Chicago, st. Paul, Minneapolis,
Omaha, Sioux City, Sioux Falls and or
practically every city OF any size In the
country, whereby they absolutely re-
fuse to fill any orders for currency or
to pay out any currency over the
counter-as will be described in the
press despatches-the banks in Brook
ings have deemed it necessary to adopt
the same rule and until further notice
the banks of this city will fill no orders
for currency or pay out currency over
the counter to exceed 5000 on any
one account in any one day.
We regret exceedingly the neces-
sity for this action as the banks OF thls
city were never before in as strong
a condition as at present, but unless
our correspondents will pay us the
balance due we cannot furnish cur
rency. First National Bank,
Horace Fishback, Cashier.
Farmers National Bank,
r. l.. Chappell, Cashier.
The Bank of BroOkings,
H. Fl. Reeves, Cashier.
This action Of the banks Is endorsed
and recommended by the comptroller
of the currency, by the National bank
examiners, and by nearly all OF the
state bank examiners OF the northwest.
Yesterday the Brookings County Bar
association passed series OF resolu-
tions endorsing the action taken by