The Washington times., 1907-12-05
Cortelyou Gives Critics
Slap for Disparage-
mentS.
Report to House Deals
With Recent Money
Troubles.
He Suggests Laws That
Should be Promptly
Enacted.

secretary or the treasury OOIiei-
you called upon Congress today for
the speedy enactment "Of wise laws
for the prevention in the future Of
disasters due, in part at least, to
the imperfect organization of our
monetary system"
In so doing he placed upon the
Congress full responsibility for
failure in the past to meet the de-
mands for currency reform, and by
his language slapped the face of
Chairman Fowler, OF the House
Committee on Banking and Cur
rency, who recently denounced Sec
retary Cortelyou for his issue of
emergency certificates of indebted
ness
Slap for His Critics.
Secretary Cortelyou deals with his
critics with startling bluntness. "The
Secretary of the Treasury" he saws.
''is given wide discretion in many mat
ters wherein he is rarely called upon
II exercise It, and little If any, in
others where Il is reeded daily, par
ticularly as 10 certain Of those having
to do with the vitally important sub
Ject OF our currency. In times Of
emergency his hands are virtually tied.
II in such periods OF stress, in an ef-
fort TO avert calamity and serve the
interests Of all the people. he is obliged
TO resort 10 unusual measures, criticism
is unfortunately IN many instances di-
rected not to the inadeuuacy Of the
system, but solely to the effort to give
relief. even though II be successful in
accomplishing that purpose. 1t should
not be forgotten that he has TO deal
with the practical II ther than the the
oretical side Of the currency question.
'The failure of the adherePts of
the various suggested plans Of eur
rency reform to cooperate or to
agree UpOE a practical measure
would hardly appear to be a
sufficient reason for holding him
responsible for their indeclsiOn and
inactiOn. The laws under which
he administers his office should be
made TO meet the daily needs of the
people, and his duties, sufficiently
OnerOus as they are, should not be
made more bUrdensOme by Testric-
tiOns which leave him with the re-
spOnsibiIity, but with no adequate
means ut his disposal TO meet It."
Bold Stand of Secretary.
The Secretary's appeal IS made in his
annual report, presented TO Congress
today. Although it sets forth an hitherto
unparalleled utilization Of the Govern
ment funds for bank deposits. there is
in it no suspicion Of evasion or excuse
not an intimatCn Of a desire TO ex-
tenuate the action taken. Rather. Il is
a clearly cut portrayal of a Secretary
Of the Treasury who. having been un-
Intentionally shackled by neglectful
Congresses, has broken his bounds and
adopted unexpected methods Of pro-
cedUre to save a country from what
he believed to be q disastrous panic.
The Secretary thinks there should be
no delays. Il believe that simplicity
Of plan and promptness of action are
what the people need ana Will de-
mand," he declares. He urges no spe-
cihc plan.
What particular form this proposed
legislation should take must De left
10 Congress- he says. II have no pride
Of opinion as TO the method. but 1 have
the deepest concern that the result shall
be adequately beneficial"
If no action is thought advisable al
this time fully to meet the need fOI
Improvement Of a substantial and per-
manent character" he declares, u
deem It important that something be-
done as speedily as may be consistent
with thorough consideration to provide
under Government guaranty a greater
elasticity 10 the currency-sOmething
which shall be automatic in its opera,
tion and which shall tend to- equaliz,
rates OF interest not only in different
sections of the country, but at differ
ent periods OF the year Provision
should be made either for such elias
ITCHY without the necessity Of inter
VentiOn on the part Of the Secretary o.
the Treasury or he should be granted
the authority TO supply it by properl!
safeguarded measures
Caused by Hoarding Money.
The Secretary attributes the panic t,
boarding of money by banks and in
divRiuals. He says that prior to the
forced suspension OF several institution:
the shipment Of currency to the West
by Eastern banks had been insignif.
cant. To use his words, There hnt
been n important shipments Of golC
abroad. so the monetary stringency
seemed to be due, IN large measure
to the boarding of funds by owner.
thereof. VINO had become apprehenslvt
of their financial safety. As the crisi.
approached the department adopted tn,
strongest measures to give material as
siStance"
He saws that the S226. 100000 nIaced ir
public repositories was distributeC
among national banks In every Stat,