The Newtown bee., 1907-04-12

| SuOWu US uduu dU Uuo CdplUOl UulS SeS- sion, and there have been some threats about are to be believed, but through 1 it all the committee on banks has stood it's ground and insisted that I something be done to put the trust 1 companies on the same footing as the savings banks so far as the savings de- | pOSitS are concerned.
 During the week the trust compan- | ieS evidently began to fear that a de- cidedly radical bill would be passed and they uDbent long enough to in | form the committee Ona banks that 1 they would like to consider matters together. The result will probably be that substitute bill will probably be introduced embodying the principle for which the bank committee is con- tending, and that is the main thing by Representative Hooker of Hartford, who has made special study of the banking system, was this:
 Section l. All corporations other than savings banks, chartered by this state maintaining a savings depart ment, or soliciting or receiving deposits of sa vlngs shall invest all such depos- it's so received according to the re- quirementS of the statute laws of this state concerning the investment of de- posits in savings banks. Said corpora tions shall pay to the state, on the de posits so received, the same tax which is required to be paid by the savings banks by section 2422 of the general statutes as amended by chapter 1S9 of the public acts of 1903, on the deposits held by them; and said corporations shall also transmit to the bank com missionerS, on or before the first day of October in each year, and Oftener if required by said commissioners, a sworn statement of the amount of such deposits and the securities in which %l11 !, T, other information as may be required to be given to said commissioners in the annual statements of banks and trust companies. [.
 Section ?. All such savings deposi ts which are not now invested in accor d. ance with the provisions of section one of this act, shall be so invested be- fore October l, 1908.
 Section 3. The reserve fund required by section 34OO of the general statutes in the case of state banks and trust companies shall not apply to the de- posits mentioned in section one of this act.
 The substitute bill will read as follows:
 AN ACT CONCERNING DEPOSITS FOR SAVINGS IN CORPORATIONS OTHER
 THAN SAVINGS BANKS.
 Section l. All banks, trust com panies, corporations, partnerships, or
 
 partment, or soliciting or receiving de- posits as savings shall invest all such | deposits hereafter so received accord | ing to the requirements of the statute | laws of this state concerning the in- veStmentS of deposits in savings banks. | Section 9 All savings deposits which are not now invested in Accordance with the provisions of section one of | this act, when re-inveSted according to | the requirements of the statute laws of this state concerning the invest ment of deposits in savings banks, and all savings deposits shall be so invest | ed before January l, 1908.
 l Section 3. The reserve fund required | by section 3400 of the General Statutes | in the case of state banks and trust companies shall not apply to the de- posits mentioned in this act.
 | Thursday, in the House, Represen- | tative-Gunn offered an amendment providing that all trust companies or | ganiZed before January l, 1907, with a capital stock paid in of S1OO,OOO or over, should not come under the law, and that liability for the savings funds should be a double liability.
 This substitute bill will be quite as effective as the original, and the radi- cal features of the former are elimin- ated. If the trust companies are wise they will accept this substitute. It may be that the lobby of the trust companies might be able to block the bill in the Senate, though I doubt if they would be able to do so in the House. In case of the passage of the bill in the House and the nOn-cOn- currence of the Senate with the House, | then the present unsatisfactory bank ing laws Of Connecticut would remain as they are. But the results that
 would follow in the way of disaster to
 savings banks in Connecticut in the years to come would be laid at the l of 10 mn nj ir
 some future legislature, unless it is
 owned body and soul by the lobby
 there would be sure to come legislation
 of such a radical nature that the trust
 companies themselves might be very
 much embarrassed.
 The broad question is whether Con
 necticut wants to continue it's policy
 of mutual savings banks or does il
 want to change and let the stock say
 ings bank take the business, and >be
 fore a great while force the mutua
 savings banks out of business? Three
 days were given to the hearing of thes
 bills relative to the savings deposits il
 trust companies and during thOS
 three days not a soul appeared agains
 those bills except those persons per :, sonally interested in the profits of tn trust com panieS doing a savings ban = business. And these were in favor o d the bills several trust company official . whose companies do not maintain }. savings department.
 Now what is for the best interests (
 the state and all the people, the mJ ., tual savings bank conducted for N
 profit to stockholders but entirely fC = the benefit of the DEPOSITORS, ( the stock savings bank RUN for tn profit of the STOCKHOLDERS? It should be remembered that tn State of Connecticut has NEVE d chartered stock savings bank, bu y ten trust companies are engaged i le that line of business. Suppose an al of plication was made to the General A US Sembly for charter for 1c stock savings bank. Would it I
 granted? Most assuredly it wou
 not. I don't believe anyone wou 4l.--> f1 ,rlx f1,s ..xal.