Daily press. [volume] (Newport News, Va.) 1896-current, 1907-11-22
Nebraska Man Believes That GOV.
srRmsnt Can and Should
Protect Dsp0sIlOrs
LOSSES COMPARATIVELY SMALL
threads Into the Billions in the Treas,
ury Would Be Trinine-ereat Com
mOner in Washington to Attend a
Wedding, Blu, Finds Time to Talk
on Finance.
fDy Assoclatcd Prcssl

WASHINGTON, y. g.. Nov. u -
William jennings Bryan arrived here
a, O'Clock this morning and went
at once To the residence OF Cottrr
I. fridc ON Capitol liill. He was al
guest this afternoon AT the wedding
Of Mr.. Brides daughter. his attend
ance on the ceremony being ono oil
the objects of his visit TO Washing
ton.
MIR. Bryan received many callers
a~d about noon he boarded a down.
town street car to keep nm engage.
meat Tor conference with POLITICAL
friends
NJ BRYAN gave out the following
statement in regard TO the financial
situations
II do not know what The effect oil
The new bend issue will be- but i'll
seems to me that the relief ough, tol
come from tho other direction. Thcl
plans so far have been intended toll
furnish government money To thcl
banks. whereas the most important
thing now Is TO restore confidence in
bank depos!tois. and thus not onlyI
prevent Withdrawals. bu, secure de-
pc,its. While the banks are good
aud Willie the depositors are not jus
uiied In being frightened, some de-
posNors arc unreasonable and theirl
timidity may cmbarrass the banks
II the money that Is being hidden and
boarded can be brought bacl; into cir
cuiation. the present strmgcncy will
d saprear at once. II does no good
to supply money fiom the Treasury
If an equal or aggregate amount is
drawn out by dcposiors
Postal Savings Barks.
The administration IS prepared. so
We are informed to recommend n pos
tai savings bank While this would
doubtless encourage dopositors and
while the deposits in turn would be-
handed over 10 the banl2s. il does
not furnish complete relief because tho
plan rs presented limits deposits and
does not contemplate The opening oil
checking accounts The business fra.
tern!ty, therefore. cannot use the pos,
tai savings banks TO any great cx-
tent, besides ii would take some time
to inauguratc a postal savings sys.
TEN and secure the necessary num-
Der OF employees TO make the plan cl-
fectlve throughout the country.
a Plan of Relief.
/ believe H. is possible for th,. gov.
erhment to give immediate relief by
providing for the guarantee by the
government of all deposits in national
banks. the banks thus guaranteed to
agree 20 reimburse the government
Tor any losses Incurred. and to make
reimbursemants in proportion TO their
deposits The advantage OF this plan
is; First-Evcry depositor in guaran.
,ccd banks will be secure. Second
The expense of IT, would be paid by
banks who get the benefit of it and
this expense will be small! compared
with the benefit gained Third-It
can be put into effect Immediately
and thus restore confidence and enable
business to he resumed.
1T is probable that an of the ma.
tionai banks would be willing to take
advantage of this guarantee because
ne additional Sccu lily given to their
deposits would be of great advantage
to the banks. During 40 years the
average annual loss of depositors has
been small. less than onc.tcnth of ono
per cent. per capita on the deposits.
o small that it would be an insignifi.
cant tax on tho four or five billion
dollars Of deposits Tho government
would have ample security in the
capital and surplus the banks which
would voluntarily Join in the plan.
AS each bank would become interest.
cd in the proper management Of cv-
cry other guaranteed bank il would
be easier 10 secure The legislation ne
cessiry for The correction OF such n
business MS mas exist ana for the
bcitcrmcnt Of the banks
For Instance. legislation prevent.
ins over Borrowing by directors ana
officials of the bank. and legislation
preventing speculation by officials"
II proposed when in Congress- the
raising of guarantee fund for the
protection Of dcpositors. but the bill
was defeated by thc larger banks on
The ground that the big banks would
have no advantage over The little
ones"