New-York tribune., 1907-10-26
EYPLAINS BANKS ACTION.
Amdre1o Nils Says Relief Lies an
Importation of Gold.

Andrew Mills president of the Dry Dock Savings
Bank discussed last night the action of the savings
banks of the city in requiring the deposito'S ~ e.
the usual legal notice before Withdrawal.
The savings banks decided to take sucll "o'ioi
mainly because it IS a remedial measure Iof 'lie
general situation" he said. II know the BANK Oh
which president and believe the rest o1 Tue Tue
savings banks are absolutely solvent ana 0o1
tomorrow stand runs but TO meet decided Iui'9
such as we all would probably have to face IN the
morning If we had not taken advantage OF the
sixty-day clause would necessitate our haNlns ~
draw large sums Of currency from clearing iiOu9o
banks and trust companies. The erect OF sEoI
action on our part would be TO embarrass 1urlher
those institutions and make d se4'ON' "
more acutely critical . 49,.
1.-THE relief for the present situation ne SdlO' %
long as depostors insist upon withdla"Iie l'e
money "a the importation of gold see that al
ready negotiations are under way 70 m oaiI1e n ~ I5
country at once from S1OOOOOOO 10 $l5oOoN In soiu
from Paris and London. This seems TO me 10 De De
an admirable remedial measure. and thinK II WIN
do much TO restore public confidence ana 'eie'0
embarrassment "a,
.T do not believe that there is anything funda-
mentally wrong I believe that even those banks
and trust companies which have closed their doors
are solvent and WILL If given time. be able 10 pay
their depositors 100 cents on every ooIaE'
oo,rsa the stockholders may suffer to some extent
That cannot be determined yet. but Will say uo
not think the depositors will lose at all
.~The situation is unquestionably serious but II
would not be If depostors would use gooo 1uus-
rnept and let their deposits stand livery oePoS-
itor who withdraws his account now acts against
his own best interests, but what can you expect
of the general mass when men or intelligence get
paniclSy and do that very thing?
There is undoubtedly at present great de-
1nand for currency, and the demand is so large
that the supply is overtaxed- However, despite
the failures or should say the closing OF some
hanks to-day I believe the situation is better
than it was twenty-four hours ago. and shows
signs OF clearing
yesterday we. the presidents Of the savings
banks got together and discussed the question or
enforcing the sixty-day provision. We decided
then 10 walt another twenty-four hours before
such nature as to render such action unneces-
and we decided 10 enforce that provision. Acting
unitedly puts in better position than acuhs
sngly Now that we have all taken the same ac-
tion the public will probably reason that we sim
ply did II as a safeguard 10 the interest OF the
depositors and our interests, which IS just the
truth.
'Of course IN the morning we all expect a crowd
Of depostors asking for their money we VIII sim
Div tell them that they withdraw It after CIV
ing us the notice required by law OF course, there
will be more or less discomfort, especially from
the foreign and ignorant element, but we do
not expect any serious demonstration. At the end
of sixty days every depositor who wants to with
draw his account certainly do So I believe
all the savings banks are In safe and good condi-
ton and the depositors in danger Of los
ing any OF their money"