The Columbia herald. [volume] (Columbia, Tenn.) 18??-1935, 1907-11-01
LOCAL BANKS TO
PROTECT CASH
Continued from First Page

- - AN-0ANNa NuaA AAOAu duu allE
this date the banks composing THU
association will not until further no
tice pay exceeding the sum OF twenty
; ave dollars cash in any week upor
, any account. Provided that whenever
; currency may be deposited aztec thiu
; date the same may be drawn upon by
the party depositinE It until exhausted.
II Resolved further, that this resolu-
ton so into eject the morning Of Oct.
o. asoI, l..
| GEO. T. HUGHES, President. !
/ -. F. BRowNLow, Secretary"
| Mr., Hughes stated that the course
pursued by the banks was the only
and this must be obvious to every
safe and sane course for them to take.
one who will reflect for a moment. He
said; ,
The banks of this county have not
been borrowers from the foreign
banks. On the contrary they are cred
itors and large part of their cash re-
serves are now held in the cities of
Nashville, Louisville. Cincinnati, st.
Louis, Chicago and New York. Be-
tween these various cities and the
banks of this county there is daily
interchange of business, especially
SO Of Nashville. 1t can readily be
seen that If our banks pay to their
patrons the cash upon drafts drawn
upon either of these places and in
turn pay the drafts drawn upon their
own customers here by persons away
from here 1t would be but a question
of time, il we can draw nothing in re-
turn, until our cash resources would
be exhausted to the gain Of the very
institutions which already hold the
money of our banks and decline to
pay.
AT first was disposed to criticise
the bankers of Nashville for the
course taken by them, but upon re-
1ecting that their relations to other
banks was the same as our own to
the Nashville banks my views were
entirely changed.
AS to how far the business of the
county may be affected by this action
If the banks will depend to a large
extent upon the manner in which the
Iction is received by the public. IL
hey view it as having been intend
ID. as 1t certainly was, for the best in
crest of the public and give to the
anks their aid and confidence as they
ave in the past, no disturbance will
esult in the ordinary and usual
curse of business.
1T is amazing what a small amount
[ currency is used In actual business.
1 business OF hundreds of thousands
[ dollars transacted in our banks
very week but a few thousand dollars
| actual currency is used.
THE present plan simply continues
lsiness on this plan. Checking and
,unter checking will go on as before,
IMPLY on a more extended plan.
There is another class of patrons
the bank who deserve consideration
such times as these. TO have pur>
led any other course than the one
ken must have resulted inevitably
shutting off every character of loan,j
ID forced the banks to a collection
maturing paper. This would have
oduced distress and possibly indi-
iual disaster and the banks and the
tire community made to suffer. Such
nditionse ought not to be brought
out If it is possible to avoid it.
AS to our local banks, believe
cry citizen of the county is or ought
be justly proud of these institu-
MS. No banks in the country have
en- more conservatively or wisely
ninistered. There is not, and can =
, be, the slightest suspicion as TO
'ir solvency Their Boards of Di-
tors are made up of the nltt
vent, able and respected men ii.eiifc
nty There has never been iiae
ce / have known the county when
gpeople at large swere so frseSfrom
It or had so much money, and there
enough agricultural products. live
tx, and minerals, ready for market
only waiting for the cars to move
upon which money can be real
SO soon as 1t is moved, to bring In
iy cash to the county, at least
million dollars. Much of the
ley Of our banks Is represented by
10 products Of mine and field. And
t is true of Maury county is meas
bly, true of the entire country.
sent conditions, briught about
ely by species of hysteria cannot
he very nature of things exist but
a short while. The very moment
New York banks resume payment