Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1907-11-28
'OFFERMlNYCUR!ES'
Secretary cortelyou Hears Details
Of Plans for Relief Of FL
nancial Conditions.
some FAVOR CENTRAL BANK.
For First Time In Many Years Such
d Project VIII Be Seriously
s Advocated In Approaching
II t Session Of Congress.


Washington. Nov. 25.--letails Of
many new projects for improving the
currency are being submitted to the
l,resldent and Secretary Cortelyou
and are receiving such attention as
4 tne other exigencies Of the financial
situation permit. Secretary Cortel
Won is a good listener and usually
.ltgests quickly essential points Of the
various plans which are submitted to
him. Measures relating directly to
the currency, which are being lis.
crssed among bankers and incoming
members of congress may be roughly
grained under four heads--a central
bank OF issue; a central organization
OF the existing national banks; the is.
sne Of additional circulation against
various classes Of bonds other than
tinted States bonds; and the issue
Of circulation upon general assets
with the security Of guaranty fund.
The project of central bank based
upon the general outlines Of the banl'
Or France or the Imperial Bank OF
Germany, has apparently been attract
ing more attention Of late than at any
previous time in recent years. Sen
ator Hansbrough, Of North Dakota,
yho is a member Of the finance com.
Tiittee, has announced that he will in.
troduce a bill for such an institution.
Mr.. Wexler, vice president OF the
Whitney.C Central National bank Of
New Orleans, is openly in favor Of a
central bank and says that the New
Orleans press, taught by the strain Of
the cotton situation, is generally with
min. #f8
Those who favor a central bank
Tolnt to the recent crisis e. the best
evidence Of the aid which It could
have afforded had It been in opera
ton. Their view is that the national
tanks would have been able to redis-
count their paper at such an institu-
ton and obtain Its notes to any
amount necessary to relieve the
strain. 1t is considered somewhat
significant in some quarters that Mr..
Ridgely, the comptroller of the cur
rency, has Just declared for central
bank Of issue after having in previous
reports recommended only general
credit currency for the existing
banks.
The uttefances Of Mr.. Ridgely are
not, however, considered to commit
the administration since Treasurer
Treat has q sufficient plan which he
Is advocating whenever he is invited
70 deliver public address on the
subject. 4
i It IL SO long since a central bank |
existed or was even seriously dis. |
cuBsed in the United States that there |
is much difference Of opinion AZ to
the details Of the organization. Those
who advocate general insist, how. |
ever. that the secretary Of the treas.
ury and the comptroller Of currency
should De ex-officio members Of the
board Of directors and that the presi-
dent should appoint or approve the
selected Of the head Of the bank. The
provision Of the German bank charter
In regard to circulation finds a good
deal Of iavor,--that after a certain
Fixed limit Of circulation additional is.
sues which are not covered dollar for
dollar by gold, should be taxed at the
rate Of 5 per cent. Others. however,
prefer the greater freedom Of the
French system, where the volume Of
note issues is practically under the
control Of the bank, and where the
accumulation Of a large reserve per.
nfits the bank to serenely maintain 4