The Mena weekly star., 1907-11-14
.F(R REFORM IN CURRENCY
Comptroller Ridgely Will Urge upon Congress the Need of More
 Elasticity.
FINANCIAL LEslslATlon IS EXPECTED
Mir. RidgeIy Plans the Issuance Of Bank Notes Uncovered by Bank De- posits-Week opsns In New York With Cheerful Tons-St. LouIs Bank Imports Gold.

Washington, Nov. 12.-Comptroller of the Currency William B. Ridgely will urge more vigorously than ever upon the next session of congress the passage of new currency bill. That there will be legislation of this charac. ter is generally accepted in view of the prevailing financial conditions, and Senator Elkins of West Virginia the other day predicted the passage of such law.
 Mir. Ridgely's scheme, in brief. is to authorize all national banks which have been in operation for not less than two years. and which have an un- impaired surplus of not less than 20 per cent of their capital stock, to be permitted to issue not to exceed 50 per cent of their capital stock in notes uncovered by bond deposits. In addi- tion. the provision limiting the retire ment of the present bond-secured notes to $3,000.000 per month is not to apply, under MT. Ridgely's scheme, to gold reserve notes. and this limit Is to be repealed or greatly extended at the discretion of the secretary of the treasury in its application to bond secured notes.
 Mir Ridgely believes that there are several special reasons why such elasticity is very necessary to our cur rency system, such as the great varia- ton in the amount of currency which is needed for cash transactions owing to the vast extent of our territory, our varied interests and enormous busi- ness and the great value of crops and products which have to be moved at certain seasons, calling for very large and varying amounts of cash. In the comptroller's opinion there is no good way to provide this needed elasticity but by means of bank notes, if they can be made quickly available when and where needed and as quickly re- deemed and retired when the work is done and the demand for them ceases.
 New Y ork. Nov. 12.--The week opened with cheerful tone in the fi- nancial district. The two trust com panies against which there has been severe runs were transacting business on normal basis Monday, receiving deposits and paying out money on checks as though nothing had ever happened out of the ordinary.
 The flow of gold from Europe to the United States continues. The first en- agreements of the metal for import an. nounced Monday were the Mercantile Trust company of St. Louis for $500. 900. and the Illinois Trust and SavinGp bank of Chicago for $200,O00. Both engagements were made in London. The St. Louis engagement is said to he the first instance in which a finan- cial institution in that city has taken gold direct from London. The total engaged since the beginning of the financial stringency is thus brought up to s51.S31.S10.
 The United States secured practi- cally all of the $3O00. 900 gold offered in the London market Monday. There was little competition for the days offerings and the American bankers secured the precious metal at a price 5-sd per pound sterling cheaper than the price of last week.
 The stock market showed a steady tone during the early trading, con- siderable investment demand for stock being reported by brokers.